2 Every Company Will Be a Fintech Company

Every Company Will Be a Fintech Company



You can pick almost any nine-digit number that doesn’t start with nine at random and it could be a legitimate social security number. Say you then go apply for a loan. The first time, the lender will ping the credit bureau who will return “No, we’ve never seen this person.” But the next time you apply for a loan, the lender will ping the credit bureau, and the credit bureau will recognize that yes, there’s been an inquiry. Chances are, you can find a lender that, for a high enough cost and a low enough dollar rate, will give you a loan. These synthetic, made-up people pay back the loan, ladder up, and borrow more and more money until they bust out.



This is a very difficult type of fraud to catch. But now we have a company like Sentilink, which does it as a service. Turns out that fake people take out loans at much different rates than real people. And if you’re focused on it, you can stop this kind of fraud much more effectively.