Risk Management Suite
Prevention. Detection. Investigation.
It’s all here
LexisNexis® Risk & Information Analytics Group
LexisNexis® Risk Management Suite:
Problem Statement
Fraud, in various forms, is reaching new levels of sophistication. The implementation of
information and analytical solutions is essential to an organization’s security and profitability.
• Managing risk and fraud from new account creation throughout account management is paramount to
success for today’s financial services industries.
• Identifying and mitigating risk, minimizing write-offs with effective decisioning, complying with
constantly changing regulations requires the right expertise, information and analytics.
• In a recent survey conducted by the American Certified
Fraud Examiners (ACFE), examiners estimate U.S.
organizations lose 5% of annual revenue to fraud.*
• A Bank Systems & Technology article cited that recent
studies show that fraud costs financial institutions and
retailers more than $50 billion each year.**
• The same article stated that this year, more than
8 million Americans will have their identities used for
fraudulent purposes.
The effects of fraud are far reaching —
and continue to grow†
0%
10%
20%
Financial Services
34%
Retailers
21%
3%
Credit Bureau
1%
Insurance
1%
Education
1%
Unavailable
40%
37%
Individuals
Government Agency
30%
2%
Percent of victims with financial loss
Fraud Prevention + Expense Management + Compliance = Profitability
*
**
†
http://www.acfe.com/resources/publications.asp?copy=rttn
http://www.banktech.com/showArticle.jhtml?articleID=188501205
Identity Fraud Trends and Patterns: Building a Data-Based Foundation for Proactive Enforcement, October 2007, Gary R. Gordon, Ed.D., Donald J.
Rebovich, Ph.D., Kyung-Seok Choo, Ph.D., Judith B. Gordon, MLS, Center for Identity Management and Information Protection, Utica College.
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LexisNexis® Risk & Information Analytics Group
LexisNexis® Risk Management Suite:
Compliance Mandate
• The issuance of the final rule of the Identity Theft Red
Flags and Address Discrepancies under the Fair and
Accurate Credit Transactions Act (FACT Act) of 2003
rule implements sections 114 and 315 of the FACT Act
of 2003, an amendment to the Fair Credit Reporting
Act.
• The purpose of the Rule is to attempt to minimize
incidents of identity theft and fraud in the opening and
maintenance of covered accounts by financial
institutions and creditors, as well as addressing issues
of address discrepancies by users of consumer
reports (credit reports and specialty consumer
reports) and debit or credit card issuers.
• Establishing a Risk Management program
• Reporting suspicious activity
• Verifying the identity of customers
• Applying due diligence to certain types of
accounts involving foreign persons
Historically, institutions have been heavily fined for
non-compliance. Actual losses may be 10x – 12x the
compliance penalties due to lost stock value,
loss of reputation and customer losses.*
Red Flags Rule took effect 1/1/08 and gives
organizations until 11/1/08 to have a written
program in place.
* The McKinsey Quarterly 2005 Number 1, Managing operational risk in banking by Robert S. Dunnett, Cindy B. Levy and Antonio P. Simoes.
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LexisNexis® Risk & Information Analytics Group
LexisNexis® Risk Management Suite:
Managing Risk Management Challenges
In today’s constantly changing environment, companies cannot afford to do the absolute
minimum to stay in compliance . . .
• Managing risks (e.g., reputation, fraud, compliance, legal, financial, operational) requires effective and
efficient management of a number of disciplines
• Manual and non-integrated solutions are not viable ways to manage risk
Managing
Approval Rates
Regulations and
Compliance including
Red Flags Rule
Increased Fraud
Sophistication
Effective
Restitution and
Recovery Efforts
Know Your
Customer
Enhanced
Due Diligence
Risk
Management
Challenges
Expense
Management
Employee
Theft
Suspicious
Activity
Reporting
Fraud
Investigations
Public
Records
Management
Bankruptcies,
Liens and Sanctions
Civil and
Criminal Filings
Account
Monitoring
LexisNexis® Risk and Information
Analytics Group provides a fast,
comprehensive solution that helps
streamline risk management
investigations and perform due
diligence research.
Instantaneously authenticate
identities, assess financial risk
and examine assets and
relationships — all within a single,
easy-to-use online resource.
Risk
Exposure
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LexisNexis® Risk & Information Analytics Group
LexisNexis® Risk Management Suite:
Why choose LexisNexis® Solutions?
• Manage risk proactively while fulfilling compliance regulations
• Proven 30+ year track record as a trusted provider and custodian of quality information
• Cutting edge technology
• Unique data resources with unmatched breadth
• Advanced scoring analytics
• Linking capability and supercomputing capacity
• Expertise, information and analytics with solutions that span the customer lifecycle
“LexisNexis has really enabled us to continue to open accounts very quickly
and smoothly…without any kind of delays in the account opening channels.
LexisNexis allows us to tailor our client experience…”
Marc Geeting
BB&T Corporation
Bank Secrecy Act (BSA) Officer
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LexisNexis® Risk & Information Analytics Group
LexisNexis® Risk Management Suite:
Linking and Analytics
Businesses
People
• Quickly verify and validate names,
addresses, phone numbers, voter
registration, professional licenses,
marriage and divorce records, and
criminal history records
• Check OFAC and other global
watch lists
• Tool includes:
– Find a Person Search
– InstantID® Verification
– Phones Plus
– Negative News
– We Also Found
Locate, Authenticate and
Investigate
Assets
• Critical asset information includes:
– Real estate assets
– Personal property records such as motor vehicle, boat and aircraft
registrations
– Records of key events such as incorporations, liens, bankruptcies and
judgments
• Find information on millions of
businesses — active and inactive
records of incorporation, limited
partnership, UCC Liens and
limited liabilities
• Tool includes:
– InstantID® Business Verific.
– Statewide Public Records
– Secretary of State Filings
– SEC filings
– Hoover’s capsules, Dun &
Bradstreet and Experian
Business Reports
Employs sophisticated, flexible search
technologies in order to optimize each
investigation. Start your search with any
piece of the puzzle; there are no mandatory
search fields, and searches are further
enhanced by phonetic ‘sounds like’
technology.
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LexisNexis® Risk & Information Analytics Group
LexisNexis® Risk Management Suite:
Overview
We’ve combined our most powerful tools and leveraged the most sophisticated technologies to develop
a total solution that allows you to perform every aspect of your job, faster and easier.
• Includes everything Risk and Fraud Managers, Risk Analysts, Fraud Operations teams,
and Investigators need to protect their organizations
• Accesses thousands of public records at or near origination and provides proprietary data
on consumers, businesses and assets
• Provides tools for locating, identifying, verifying and investigating prospects and
customers
• Uses advanced technologies to match and link files across multiple, disparate data
sources
• Generates scoring and risk assessment with sophisticated analytics
• Assists in meeting due diligence and compliance regulations
• Includes new enhancements for faster, easier processing and decision-making
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LexisNexis® Risk & Information Analytics Group
LexisNexis® Risk Management Suite:
Powerful Products Combined
LexisNexis Risk Management Solutions® combines all of our best products into one cost effective
solution that addresses all of your searching, monitoring, scoring and investigative needs.
The Risk Management Suite Combines These Powerful Data Tools
LexisNexis Risk Management
Solutions®
Monitor, identify, authenticate and investigate clients and prospects.
InstantID®
Access real-time identity verification and risk scoring.
FraudDefender®
Verify identities and determine profitability or risk potential with numeric score.
FraudPoint®
Consists of fraud attributes that recognize high-risk conditions at applicant and account
management touch-points to improve identity verification and fraud rates.
Negative News
Identify negative news related to businesses and individuals.
InstantID® Q&A
Get instant results with this automated, query-based identity verification tool.
Global Interdiction Solution
Manage and monitor international watch lists.
“Red Flags” Report
Helps to further detect identity crime by displaying identity theft related warning codes to assist in
complying with the Identity Theft Red Flags Rule.
Chargeback Defender®
Identifies fraudulent or high-risk card not present transactions for retailers, reducing costly manual
reviews and improving your bottom line.
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LexisNexis® Risk & Information Analytics Group
LexisNexis Risk Management Solutions®:
Product Enhancements
New search capabilities and features with added intelligence for advanced exception processing and
enhanced research included:
• New user interface with easy and quick navigation
• An easy enhanced invoicing system — Coming soon!
• Select components available online, via machine-to-machine
connection (XML), or in batch
• Enhanced risk management online content to streamline your
research time, including: Foreclosures, Sex Offenders, D&B
Minority and Women-Owned Businesses, Mergerstat, D&B
Private Company Insights, Standard & Poor’s Corporate
Descriptions plus News and more
• Plus! Concealed Weapons, Drug Enforcement
Administrations Registrants, FAA Pilot Licenses, Federal
Firearms & Explosives, Hunting & Fishing Licenses and
Military Personnel (Archived)
Ongoing Enhancements and Improvements
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LexisNexis® Risk & Information Analytics Group
LexisNexis Risk Management Solutions®:
Product Enhancements
New administrative functionality allows you to:
• Turn on/off searches
• Manage user groups and IDs
• Clone IDs
• Run reports
Collectively these enhancements will substantially
increase your daily efficiency
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LexisNexis® Risk & Information Analytics Group
LexisNexis Risk Management Solutions®:
Features
• A fast, easy-to-use and comprehensive online resource that helps
organizations instantaneously authenticate identities, assess risk, and examine
assets and relationships
• People – Verify customers through a variety of means, including InstantID®
consumer verification, Negative News, telephone lookups (including reverse
look-ups), Office of Foreign Assets control (OFAC) and other watch list
checks, voter registrations and professional licenses
• Businesses – Research detailed business information including InstantID
business verification, statewide public records, Experian business reports,
SEC filings, D&B reports and Hoover’s capsules
• Assets – Review details about assets such as motor vehicle registrations,
real estate assets, aircraft and boat registrations
• Court and Administrative Filings – Find court records such as criminal
histories, jury verdicts and settlements, inmate records, UCC liens,
bankruptcies, mortgage and financial sanctions, judgments and tax liens
• News and Finance – Link to the latest domestic and international news
• Enables institutions to comply with regulations, prevent fraud and perform
in-depth investigations to qualify applications or trace incidents of fraud
Highlights
 Enables organizations to
streamline risk management
investigations and customer due
diligence research
 Verifies essential information
about people, businesses, and
assets
 Access to billions of
public and private records,
including a ‘Negative News’
search
 Fast, easy cross-referencing and
improved decisioning
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LexisNexis® Risk & Information Analytics Group
LexisNexis Risk Management Solutions®:
Know Your Customer
Expanded Know
Your Customer
(KYC) section
includes identify
verification,
search of OFAC
and other watch
lists and
employment
validation through
People At Work.
Save time finding
a person or
business with
Quick Search.
Search by SSN,
reverse phone
number, address
or company.
Uncover additional
details such as real and
personal property with
which the subject is
associated, including
buyer/seller information
and assessment data.
For personal property,
reveal details for
ownership of cars,
boats and planes.
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LexisNexis® Risk & Information Analytics Group
LexisNexis Risk Management Solutions®:
Enhanced Due Diligence
Research a
subject while fulfilling
exception
processing and
investigative needs.
Look-up
UCC liens,
judgments and
Offline Civil and
Criminal Court
Records (OCCCR),
as well as mortgage
and financial
services sanctions.
Use risk scoring
to automate
business decisions.
Florida
Accidents NEW
Reduce research time
with extensive
business data and
perform business and
vendor due diligence
with reliable sources
such as Hoover’s and
D&B.
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LexisNexis® Risk & Information Analytics Group
LexisNexis® Risk Management Solutions:
Additional Features and Benefits
• You can use the complete solution, or utilize individual segments of the product
• You only pay for what you need
• Free customer training to meet your needs (onsite, telephonic or Web)
• Customer support available 24/7/365
• Comprehensive user and administrative reporting
• Archive searches and results
To streamline your risk management efforts…
Visit risk.lexisnexis.com/rmsuiteoffer or call 1-866-858-7246
The information provided by the LexisNexis Risk Management Solutions®, InstantID®, InstantID ® Q&A, FraudDefender®, FraudPoint ®, Global Interdiction Solution, SmartLinx®, KYC or KYC ID are not consumer reports as defined in the Fair
Credit Reporting Act (FCRA) and may not be used for any purpose permitted by the FCRA. LexisNexis, the Knowledge Burst logo and LexisNexis Risk Management Solutions are registered trademarks of Reed Elsevier Properties Inc., used
under license. SmartLinx is a registered trademark of LexisNexis, a division of Reed Elsevier Inc. InstantID, FraudDefender, FraudPoint and Chargeback Defender are registered trademarks of LexisNexis Risk & Information Analytics Group
Inc. Other products or services may be trademarks or registered trademarks of their respective companies. ©2008 LexisNexis Risk & Information Analytics Group Inc. All rights reserved.
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