Zest AI to Deliver First Seamless AI Application Fraud Detection for MeridianLink Clients
Expanded partnership to provide financial institutions with smarter, simplified fraud protection
BURBANK, Calif., Jan. 28, 2025 /PRNewswire/ -- Zest AI, the leader in AI lending technology, today announced a partnership with MeridianLink ®, (NYSE:MLNK), a leading provider of modern software platforms for financial institutions. This strategic collaboration gives MeridianLink's 2,000+ customers access to Zest Protect, Zest AI's smarter, configurable, and seamless AI-powered fraud detection tool, to allow for more accurate and quicker identification and prevention of fraudulent activity during the application process.
The Federal Trade Commission estimates that consumer fraud losses in 2023 exceeded $10 billion. Credit unions and community banks reported a 69% surge in fraud cases across consumer accounts, and 79% of credit unions and community banks reported more than $500K in direct fraud (more than any other segment).
To tackle this issue, Zest Protect offers robust layers of protection against compromised identities, first and third-party fraud, as well as misreported income, fully integrated with lenders' existing fraud review processes. This partnership allows MeridianLink customers to maintain their application processes with confidence, providing borrowers with a modern, speedy experience, with the goal of also significantly reducing their fraud losses. Zest Protect is also highly configurable and customizable, giving financial partners the ability to finely tune the risk thresholds by fraud type, portfolio, and more, in one unified solution.
"Zest AI has been a trusted partner delivering proven value to our customer base, and we're excited to expand on that success with Zest Protect to combat rising and more sophisticated fraud in today's ever-changing lending landscape," said Megan Pulliam, SVP of MeridianLink® Marketplace. "The technology will be a game changer as it seamlessly integrates with our loan origination system to cover all application fraud, while streamlining automation workflows, and can be customized for our customers by specific regions and communities."
"Fraud is an escalating challenge for lenders, and we're hearing it directly from our more than 100 shared customers. Every dollar lost to fraud costs financial institutions four times that much in expenses and lost time," said Zest AI Head of Strategic Partnerships José Valentin. "Expanding our partnership with MeridianLink extends the reach of Zest Protect to provide a unified solution for application fraud with no per-application cost - so every application can be evaluated. Our team is dedicated to staying on top of emerging threats, making sure the tool can more accurately detect all types of fraud, including the growing threat of AI-generated fraud. Zest AI's growing partner network will help more lenders outsmart complex fraud now and in the future for quicker, more accurate decisioning."
"Zest AI has become an integral part of our lending process, giving us the confidence to make smarter decisions while tackling the growing issue of fraud head-on. We trust Zest AI for its precision and reliability in underwriting and its innovative approach to fraud detection. This partnership between Zest AI and MeridianLink strengthens our ability to protect our institution and members from fraud, and we're proud to continue working together to stay ahead of evolving threats," said Joel Swanson, CLO, VyStar Credit Union.
About Zest AI
Zest AI is a tech company on a mission to broaden access to equitable lending. Since 2009, we've worked with financial institutions to use AI lending technology to better serve their borrowers. Today, we work with all types of lenders as a catalyst for economic equity by helping them leverage AI's potential for good. Most recently, we were named in the Forbes Fintech 50. Learn more at Zest AI and connect with us on LinkedIn.
About MeridianLink
MeridianLink® (NYSE:MLNK) empowers financial institutions and consumer reporting agencies to drive efficient growth. MeridianLink's cloud-based digital lending, account opening, background screening, and data verification solutions leverage shared intelligence from a unified data platform, MeridianLink® One, to enable customers of all sizes to identify growth opportunities, effectively scale up, and support compliance efforts, all while powering an enhanced experience for staff and consumers alike.
For more than 25 years, MeridianLink has prioritized the democratization of lending for consumers, businesses, and communities. Learn more at www.meridianlink.com.
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SOURCE Zest AI