Industry-leading accuracy from our fraud management solutions
As residential mortgage fraud continues to evolve and escalate, lenders, servicers and investors need increasingly advanced detection and decision analytics to keep pace. Our fraud management solutions leverage data, analytics and risk indicators to deliver industry-leading accuracy.
Data – Covius has access to the industry’s mortgage data leaders. By aggregating data from multiple sources, we help our customers reduce the challenges and errors of rooting out all types of mortgage risk.
Analytics – Track behavioral norms and quickly pinpoint loan application or property anomalies by incorporating innovative econometric modeling of neighborhood-level collateral risk with predictive-analytic models of mortgage fraud.
Precision – False positives drain resources and can lead you to ignore genuine alerts. Efficiently incorporating pattern-recognition and econometric scores dramatically reduces false positives, while catching significantly more fraud or collateral issues. Our Fraud Solutions also incorporate alerts, risk indicators, and recommended actions to ensure dynamic insight and superior decisioning.
LoanSafe Risk Manager Suite
The LoanSafe Risk Manager Suite is composed of the LoanSafe Collateral Manager and LoanSafe Fraud Manager modules. They work together to minimize collateral risk and maximize fraud detection – an unbeatable combination that delivers a meaningful and lasting impact on mortgage risk management practices.
LoanSafe Risk Manager Suite supports:
- Originators and lenders
- Mortgage investors
- Mortgage and bond insurers
- Credit advisory services and rating agencies
- Government agencies
LoanSafe Collateral Manager analyzes property and neighborhood characteristics to estimate each loan’s early payment default and loss severity risk. The proprietary risk management engine evaluates numerous elements, including multiple relationships and comparisons between key collateral metrics, property characteristics, pricing and appraisal attributes, geographic conditions, and others. In addition, LoanSafe Collateral Manager references foreclosure and volatility models to ensure the most accurate risk picture possible.
Its features include:
- Create prefunding appraisal review workflows
- Improve appraisal quality
- Maximize efficient use of automated and human-based appraisal tools
- Reduce early payment defaults and associated losses
- Detect and stratify risk within existing portfolios
- Add nontraditional collateral risk indicators to internal credit and fraud models
LoanSafe Fraud Manager uses patented predictive analytics scoring technology to identify suspicious mortgage loans, enabling you to quickly estimate each loan’s fraud risk. It detects fraud based on historical patterns of fraudulent and legitimate loans. The solution draws on the widest array of proprietary and consortium data, creating and applying fraud risk patterns to determine the likelihood a loan may result in a fraud driven loss.
Its features include:
- Cost effectively scoring loan applications prior to approval
- Improving productivity by utilizing rank-ordered fraud scores to drive underwriting processes, saving time and review expense by zeroing in on high fraud risk
- Leveraging one of the industry’s most vast proprietary and consortium fraud, property, ownership, and mortgage loan databases
- Improving loan performance and quality by driving down fraud-related losses.
- Reducing early payment default
- Complementing credit and compliance review tools
OwnerConnect – Property Ownership Information
OwnerConnect helps servicers, lenders, collectors and due diligence professionals understand borrower motivations and behaviors through insight into their property ownership. OwnerConnect provides valuable property ownership information and reveals borrowers’ property values, lien information, mortgage application activity, and occupancy, whether or not it is disclosed.
OwnerConnect uses powerful data and analytics to connect mortgage information to property data sources for all borrower-owned properties, disclosed or not. Whether screening applicants, creating offers or evaluating your portfolio, OwnerConnect helps reveal borrowers’ property values, lien information, mortgage activity and occupancy.
- Uncover Hidden Properties – Linking a complex combination of lender, credit and public records information, we can help uncover properties for an accurate ownership picture.
- Predict Occupancy– OwnerConnect links accurate property valuation and characteristics data to address histories to help you verify (or expose) borrower occupancy.
- Spot Pending Activity – We present all pending activity on each property to signal the possibility of ulterior motives or fraud that might otherwise go unnoticed.
- Understand related liens – OwnerConnect compiles voluntary lien information for each property to estimate CLTVs and identify terms for first and second liens.
IdentityPro delivers the edge that lenders need to stay ahead of dishonest borrowers. By harnessing advanced pattern recognition technologies, IdentityPro clearly distinguishes borrower patterns often associated with fraudulent activity. IdentityPro works by modeling borrower transactions and other relevant data to more precisely determine borrower risk. In addition, IdentityPro includes compliance and misrepresentation capabilities to spot identity theft, straw borrowers and owner-occupancy misrepresentation.
IdentityPro can deliver critical assistance during loan application, underwriting or pre-funding review by spotting a borrower’s living, buying and selling patterns. Its easy-to-use interface and reports provide alerts for questionable activity, including transient behavior, owner occupancy, property value change and SSN activity.
Powering Your Workflow
Once IdentityPro is incorporated into the workflow, lenders can increase production and pull-through rates by streamlining the approval process for acceptable loans. Alerts and flags included in the IdentityPro report act as guideposts to speed review and decision-making. Business moves faster, on solid footing, as the organization’s decision intelligence grows. IdentityPro is the business tool for verifying and categorizing borrower fraud risk.
Reliable Data and Analytics
Our database is updated daily with the latest information you need such as comparable sales, property valuations, household demographics, neighborhood analyses, school information, crime records, flood data, appraisal data and other proprietary and supplemental information.
Instantly and Accurately Assess Borrowers’ Claimed Income
IncomeAdvisor helps detect income fraud early in the origination process with actionable alerts and provides an income estimate with confidence levels. It uses advanced analytic models to instantly evaluate the reasonableness of a borrower’s claimed income for better decisioning and enhanced profitability.
IncomeAdvisor also provides a real-time assessment of income reasonability at the individual borrower level. This helps dramatically reduce income fraud and enables more efficient income verification strategies, effectively filtering applications for further income investigation.
IncomeAdvisor enables lenders and issuers to:
- Assess claimed income reasonableness – even on borrowers with thin and no credit histories
- Evaluate claimed income using an income fraud score and a predicted monthly income amount
- Instantly see deviations between borrower reported income and the monthly income estimate
- Know specific areas for investigation and verification based on easy-to-use alerts
- Customize risk and confidence thresholds
- Approve more customers with real-time income assessment