Credit rating agency Experian has increased fraud detection rates by 20% after integrating two previously separate hosted applications.
The company said that pooling the data of its proprietary Hunter II and Detect fraud systems had also reduced the rate of false positives for mortgage, loan, credit card and other finance applications on behalf of its financial services customers by a further 20%.
Since integrating the two tools as an enhanced software as a service offering, Experian estimates that, at its current rate of detection, the move will help prevent fraud worth more than £1.6bn across the UK financial services sector.
Integrating Hunter II and Detect has enabled the two applications to pass data between each other and effectively double the size of the database, which links to the application processing systems of financial services organisations, said Gary Wood, head of Experian's Fraud Solutions business.
"Some clients have been using one or other application, and we have proven with some big retail banks that detection rates and false positives are improved by 20% [using both together]," he said.
Woods said the cost of the new service was more than offset by the hosted system's returns, and migration for the companies Experian integrates with had proved relatively straightforward.
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