PeerStreet reduces false approvals without affecting auto-approval rates
Overview
PeerStreet’s mission is to bring real estate investing to everyday investors. In the process, they’re democratizing access to one of the world’s largest industries and rebuilding the American neighborhood.
PeerStreet partnered with Sora to scale their customer onboarding process while keeping manual intervention to a minimum. In their previous onboarding process, users were required to fill out long and confusing forms instead of leveraging information PeerStreet already had, like phone numbers and addresses on file.
Using Sora, PeerStreet improved their auto-approval rates significantly, while catching more fraudulent users before they even made a deposit into their account. The result is a better experience for end-users and lower burden on fraud and risk teams.
The Challenge
Peerstreet wanted to deliver a modern customer onboarding experience that allowed more users to instantly verify and begin investing. As such, they wanted to improve their auto-approval rates to at least 75% and stop using KBA questions, which were causing confusion during the onboarding process.
They also wanted to reduce manual intervention during and after the onboarding process. Manual interventions took two forms: one where users needed to be contacted by customer support to complete the verification process, and another where employees manually flagged customers who auto-passed but then had suspicious activity. These accounts were manually disabled after a review process.
Using a pilot implementation, PeerStreet determined that using Sora would catch at least 94% of these disabled accounts before they were allowed to onboard, instead of relying on a reactive process. After implementing, PeerStreet’s fraud and risk teams could spend more time on improving other systems, and less time reacting to individual cases of fraud or onboarding issues.
Key results
“It just seems to work, I don’t have to think about much… it’s just the right way to do things.”
Evan Petrie
Staff Software Engineer
50
%
Reduction in false approvals
50
%
Automatic approval rate
A Better Platform
Sora gives you control of your verification process, with fine-grained results for every approval and rejection. With this data, you can optimize your verification process over time by analyzing the performance of specific checks and tuning your process to optimize conversion in your specific user population.
Sora’s unique portable identity model gives our customers a network of pre-verified users who can verify their identity without any data input. Privacy is built-in, unlike other providers that make money by selling your customers’ data.
Sora’s best-in-class data sourcing gives you the confidence you need for every applicant, and swiftly rejects those with suspicious credentials or known fraud patterns. Traditional signals such as SSN validation can be combined with other data sources such as cell carrier databases for a robust and multi-faceted view of the user’s identity.
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