Proof launches AI-powered fraud detection tool

By BrokerOwner.net May 15, 2024 Housing News

Remote
online
notarization
(RON)
firm

Proof
has
launched
an

artificial
intelligence
(AI)-powered
fraud
detection
tool
called
Defend.
According
to
the
company’s
announcement
on
Tuesday,
the
tool
is
built
into
the
Proof
platform.

The
firm
said
it
was
inspired
to
create
the
tool
due
to
a
desire
to
stop
the

$81
billion
in
annual
losses
in
the
U.S.
caused
by
falsified
records,
forged
signatures
and
identity
theft.

According
to
its
news
release,
when
someone
buys
something
with
a
credit
card,
there
are
active
fraud
detection
tools
in
place
to
keep
both
the
merchant
and
the
consumer
safe
from

fraudulent
activity.
But
that
is
not
the
case
when
someone
signs
a
document
or
makes
an
authorization,
as
there
is
little
protection
against
impersonation
or
forgery.

“These
transactions
carry
enormous
economic
value
but
also
create
billions
of
dollars
in
liability
for
businesses
when
documents
are
falsified,”
the
release
states.

Defend
provides
firms
with
a
“risk
score”
for
every
transaction.
The
risk
score
highlights
specific
fraudulent
issues
behind
each
authorization,
signature,
notarization
or
identity
verification.
According
to
Proof,
Defend
is
built
to
detect
traditional
forms
of
identity fraud as
well
as
emerging
methods
like
synthetic
identities
and
deepfakes.

Defend
gives
firms
the
ability
to
detect
fraud
in
real
time.
It
allows
users
to
block
or
approve
a
transaction
and
set
policies
that
automate
decisions.
The
product
also
automatically
sets
up
identity
verification
to
meet
a
company’s
unique
business
requirements
for
any
transaction,
if
fraud
is
detected.

“We
couldn’t
be
more
excited
about
this
game-changing
technology
that
Proof
is
bringing
to
its
platform,“
Aaron
Davis,
the
CEO
of

Florida
Agency
Network,
the
state’s
largest
independent

title
agency,
said
in
a
statement.
“Real
estate fraud threatens
the
integrity
of
our
industry.
As
a
title
agency,
we
sit
on
the
front
lines
and
we
need
tools
like
Defend
to
ensure
that
we
can
protect
our
customers’
most
precious
assets
with
the
documents
we
collect,
get
signed,
and
notarize
at
the
closing.“

In
the
future,
Proof
said
that
businesses
will
be
able
to
set
custom fraud policies
to
manage
specific
risks,
according
to
their
business
needs.

Defend
was
developed
in
collaboration
with
several

Fortune
100
customers
and
is
being
used
by
businesses
in
the
banking,
retirement,
auto
and
real
estate
industries.

The
feature
does
come
at
an
additional
cost
to
Proof
customers.

The
product
is
powered
by
AI
and
Proof
said
that
when
it
learns
of
new
fraudulent
behaviors
or
attacks,
“it
can
reduce
the
operational
overhead
of
internal fraud teams
by
automatically
remediating
risks,
reducing
the
cases
that
need
to
be
manually
reviewed
and
ultimately
helping
more
customers
securely
sign
with
their
identity.”

The
AI-powered
tool
uses
data
from
sources
like
the
Proof
platform,
credit
networks,
identity
databases,
public
records
and
other
proprietary
sources.

So
far,
Proof
has
executed
more
than

$374
billion
worth
of
real
estate
transactions,
as
well
as
billions
of
dollars
in
transactions
in
other
industries,
such
as
financial
services
and
retirement.

“Electronic
signatures
have
significantly
increased
convenience
by
eliminating
paper.
However,
real
estate
transactions
rely
heavily
on
these
digital
documents
and
records,
so
it’s
crucial
that
the
integrity
of
an
electronic
signature
can
be
trusted
and
that
it’s
verifiably
not
forged,“
Paul
Hurst,
chief
innovation
officer
at

First
American,
said
in
a
statement.