Demyst Team

Demyst Team

Layered Solutions to Fight SMB Lending Fraud

Lenders serving small and mid-sized businesses (SMBs) need to match the resilience and adaptability being displayed by their clients. 

Entrepreneurs around the world have upended traditional operating models and found novel solutions to pandemic-imposed restrictions, supply chain disruptions, and shifting customer demands: 

However, criminals have been equally innovative, advancing from creating synthetic individual identities to fabricating entire businesses. SMB lenders have seen larger numbers of fraud incidents, and a substantial amount of them involve business details stolen from legitimate companies.

Despite these new fraud attempts, the tension between security and accessibility has remained unchanged. Customers still demand frictionless digital experiences, and any lender who inadvertently denies legitimate transactions will quickly lose business to their competitors.

Marketplace companies have addressed this challenge with more effective ways to use APIs in their onboarding processes, and SMB lenders need to follow suit. Automated checks can verify business registry details, confirm email addresses, and review online activity to flag suspicious entities. 

Many providers offer data that can help spot fraudulent businesses, but the most effective solutions conduct several layers of investigation by drawing on information from different sources. The external data landscape for SMB lending solutions includes many specialized providers that each have their own strengths and weaknesses.

The Demyst platform makes it easy to combine the strengths of multiple providers through a single API — create a free account and explore the thousands of data sources that are available.  

SMBs have risen to the challenge of doing business in an online environment. Lenders can assist them by upgrading their workflows to rapidly identify the legitimate businesses that are actively innovating.

Don't settle for half the story

Demyst gives you access to all of the data you need. Evaluate thousands of data attributes from hundreds of possible data connectors all pulled into your own custom-built APIs for instant data deployment.