Application Fraud On The Rise?

That seems to be the implications of a recent study by TransUnion and Forrester.

"We love being off paper, but sometimes we don’t meet applicants until they move in, so this increases the risk for fraud.” (59% of applicants apply online, according to the study)

Some of the noteworthy findings were:

• 83% of property management companies have experienced fraud up to 20 times in the last two years
• A majority of decision makers in the study believe that over half of all evictions are tied to rental fraud
• Current fraud identification methods are reactive - Over 70% identified fraud within the first six months after move-in, which meant forced turnover and financial loss
• Most deep-dive fraud checks (i.e. corporate audits) are manually reviewed which is time consuming

Some solutions the white paper recommended were to have a tech strategy in place for identifying fraud, ideally one that integrates with your property management software, and to not rely on staff alone to detect fraud patterns.

If you're interested in seeing the full article ping me on LinkedIn or email me at devin.jacob@mrisoftware.com