Case Study: Online Lending Company boosts fraud detection 92% and cuts lending costs 15% with Explorium

Mitigating Application Fraud Risk for Online Lenders

Online Lending Company, an online lender facing industry-wide spikes in application fraud, struggled with remote applications that relied on minimal checks (business/owner name, address, IP, creation date). To strengthen its fraud detection, the Online Lending Company worked with Explorium to enrich its underwriting data using alternative external sources and improved predictive models.

Explorium integrated diverse external signals—online reviews, social media and web data, economic and financial health indicators, and cross-region vendor relationships—into the lender’s scoring process to identify fictitious businesses and flag suspicious applications earlier. As a result, Explorium’s data enrichment helped boost fraud detection by 92% at the initial form stage and cut lending costs and charge-offs by 15%.