As automotive fraud continues to rise, Cox Automotive has announced a new partnership with Point Predictive to help protect dealers, lenders, and consumers from increasingly sophisticated fraud schemes. The collaboration brings AI-driven identity verification capabilities directly into Cox Automotive’s Dealertrack platform, giving dealers stronger tools to detect fraud earlier in the financing process.
At the center of the partnership is BorrowerCheck, Point Predictive’s AI-powered identity verification and fraud prevention solution. Designed to combat advanced threats such as synthetic identities and deepfake-based fraud, BorrowerCheck uses machine learning to analyze applications in real time. The solution scores fraud risk, detects synthetic IDs, and verifies identity documents directly within the Dealertrack F&I workflow, helping dealers move faster without sacrificing security.
Cox Automotive says the partnership responds to growing pressure across the industry as fraud attempts rise and lenders increase scrutiny. Derek Hansen, Senior Vice President of dealer, lender, and inventory management solutions at Cox Automotive, said traditional red-flag systems are no longer enough to catch modern fraud tactics. By expanding its compliance portfolio with AI-driven identity verification, the company aims to give dealers stronger, next-generation protection while keeping transactions efficient.
BorrowerCheck brings multiple verification layers into a single workflow, including identity and synthetic ID checks, employment and income verification, and identity document validation. Additional features include OFAC alerts, out-of-wallet questions, one-time passcode verification, and Military Lending Act indicators. These tools help dealers identify risk early, streamline compliance, and reduce revenue loss, all while delivering a smoother experience for legitimate buyers.
The need for stronger fraud prevention is growing rapidly. According to industry estimates, fraudulent automotive transactions could reach as much as $10 billion in 2026. Joey Yates, AVP of F&I Services at Cox Automotive, said dealers are actively looking for solutions that reduce risk without slowing down deals. He noted that the integrated BorrowerCheck solution addresses this need by working seamlessly with Dealertrack’s widely used compliance tools.
Point Predictive reports that its solutions help lenders cut early payment default losses by 30 to 50 percent while improving funding rates by up to 60 percent. Using AI-driven analytics and a proprietary risk database built on billions of data points, BorrowerCheck can detect more than 90 percent of fraud missed by traditional systems while significantly reducing false positives.
Dealers already using the integrated solution say it improves efficiency and confidence. David Basha, General Manager at Carriage Auto Group in Woodstock, Georgia, said real-time fraud assessment allows his team to move forward with deals without delaying customers. He added that automated data storage and consistent documentation make audits and lender requirements easier to manage.
From Point Predictive’s perspective, the partnership reflects a broader shift in the industry. Tim Grace, Co-Founder and CEO of Point Predictive, said fraud prevention and compliance are now closely connected. By embedding BorrowerCheck into Dealertrack’s compliance suite, the companies aim to help dealers detect complex fraud while creating a faster, more seamless experience for legitimate buyers.
Together, Cox Automotive and Point Predictive are positioning the partnership as a step toward safer, smarter, and more efficient automotive lending, helping dealers stay ahead of fraud while maintaining trust with customers.
