UniCredit selects FICOs fraud solution

As part of its credit application process, UniCredit will score each loan for its possibility of being fraudulent. Custom fraud models developed by FICO based on UniCredits data will be used to analyze personal loans and models developed by UniCredit and certified by FICO will be used to analyze mortgage loans. FICO will also work with UniCredit to define which criteria to check on each application to detect more fraud and to regularly fine-tune the models and UniCredits fraud rules based on fraud attacks. The solution is aimed at detecting both third-party fraud, where the criminal uses another persons identify to obtain credit, and first-party fraud, where an individual takes out credit under his or her own name but with no intent to repay.

UniCredit is an international financial institution which services 22 European countries and an international network of almost 50 markets. FICO Falcon Fraud Manager provides fraud prevention, detection, investigation, recovery and remediation. The company’s service is based on neural network models that analyze transaction behavior and spending patterns to produce a fraud risk score.