Stop Fraud Before It Costs You
AI-Powered Fraud Detection with Real-Time ID Verification for Auto Dealerships
Protect Your Dealership from Costly Fraud
Independent and BHPH dealerships lose thousands annually to fake IDs, stolen identities, and fraudulent applications. ACT AI Auto combines advanced AI fraud detection with real-time driver’s license verification to stop fraud before it impacts your bottom line.
Our multi-stage fraud screening engine analyzes every application instantly, flagging suspicious activity and providing real-time alerts—so you can make confident decisions and protect every deal.
🚨 The Rising Fraud Crisis in Auto Retail
Fraud in the automotive industry isn’t hypothetical—it’s happening now, and the risks dealers face are growing significantly as more of the car-buying journey moves online.
Dealer Fraud Is Increasing Rapidly
Recent industry research shows:
- Nearly 9 out of 10 dealerships now view fraud as a top operational concern. A majority of dealers believe fraudulent transactions are on the rise, not isolated incidents.
- Over the past year, dealerships reported an average of about four fraudulent deals completed before detection.
- 45% of dealerships estimate a single fraudulent deal can cost them between $10,000 and $20,000, and nearly a third say losses exceed that range.
- Nearly 50% of dealers say they lost four or more vehicles to identity fraud over the past two years, with some reporting 10 or more.
- A 2022 industry survey found 79% of dealers experienced identity fraud-related vehicle losses in a single year, and many lost multiple vehicles because of it.
These are real bottom-line losses affecting both profitability and resource allocation—and many dealers don’t have adequate prevention tools in place.
The Cost of Fraud in Auto Dealerships
5-10%
Average fraud rate in auto lending without proper detection
80-90%
Fraud prevention rate with AI-powered detection
<60 sec
Time to complete fraud screening and ID verification
🧠 Emerging Fraud Schemes Dealers Are Facing
Dealers are encountering a wide range of increasingly sophisticated fraudulent behaviors:
🔹 Identity-Related Fraud
Fraudsters use stolen, fabricated, or synthetic identities—sometimes built over months—to apply for vehicle financing and walk away with a car and no repayment plan.
🔹 Loan Application & Income Fraud
More dealers report forged income statements and fabricated financial documents, which can appear valid at initial glance but lead to uncollectible deals.
🔹 Digital Purchase Vulnerabilities
As more of the transaction process shifts online, identity fraud becomes easier to execute—and harder to catch with manual checks like scanning or photocopying driver’s licenses.
🔹 Synthetic Identity Attacks
Artificial or blended identities—where real and fake data are combined—are increasingly used to gain financing, and reported by a growing number of dealers.
🧾 Why This Matters — The Dealer Reality
Even dealers who haven’t yet experienced fraud often underestimate the risk—but industry data and dealer feedback suggest that it’s not if fraud will occur, but when.
Dealers increasingly recognize that:
- Manual checks like photocopying IDs are not enough to stop sophisticated fraud.
- Waiting to validate identity or credit after the point of sale exposes dealers to unrecoverable losses.
- Insurance and lender coverage often don’t fully reimburse fraud-related damages.
Without proactive screening and robust verification, even a single bad deal can drain profit margins and tie up valuable inventory and staff time.
🛡️ Your First Line of Defense: Multi-Layer Fraud Protection
ACT AI Auto doesn’t just capture leads—it filters out bad ones before they ever reach your CRM or DMS. Our lead screening and prequalification workflow becomes the front-door defense dealers need.
AI-Powered Fake ID Detection
Advanced AI instantly analyzes driver’s licenses for tampering, alterations, and fake documents. Our proprietary fraud scoring algorithm detects anomalies that manual inspection misses.
- Detects fake IDs, forged documents, and altered licenses
- OCR technology extracts data automatically
- Multi-stage verification engine with proprietary scoring
- Real-time SMS fraud alerts
Real-Time DMV Verification
Cross-reference every driver’s license against state DMV databases in seconds. Build a compliance-grade audit trail that meets FTC Safeguards Rule requirements.
- Instant DMV database verification
- Compliance with FTC Safeguards Rule
- Complete audit trail for every transaction
- Stop identity theft before it happens
Global Fraud Network Intelligence
Join a network of dealers sharing fraud intelligence. When one dealer reports a fake ID, all ACT AI Auto customers are instantly protected. This shared intelligence stops repeat offenders across dealerships.
- Centralized global fraud database
- Instant cross-referencing against known fraud
- One-click fraud reporting
- Network protection grows stronger daily
Risk Scoring Before CRM/DMS Entry
Rather than dumping every lead into a CRM or dealership management system, send only qualified, verified, and low-risk prospects downstream. Automatically extract customer data from driver’s licenses and deliver verified leads directly to your CRM, email, or DMS.
- OCR extracts all license data automatically
- Seamless CRM integration via webhook
- Customizable lead routing with risk scores
- Filter bad leads before they enter your system
Maximum Protection: Combine Fraud Detection with Soft Pull Prequalification
For the most complete fraud protection, combine driver’s license verification with soft pull credit prequalification. This dual-layer approach adds credit bureau fraud indicators and data consistency checks that catch even sophisticated synthetic identity fraud.
Enhanced Fraud Indicators
Credit bureau fraud indicators add another layer of protection by identifying thin files, data inconsistencies, and patterns common in synthetic identity fraud.
Auto-Prefilled Applications
Soft pull forms automatically prefill with data from the captured driver’s license, eliminating data entry errors and speeding up the qualification process.
No Credit Score Impact
Prequalify customers instantly without affecting their credit scores, providing a better customer experience while adding critical fraud protection.
Why Choose ACT AI Auto for Fraud Protection?
✓ Zero Software Installation
Fully web-based platform accessible via QR code or link. Works on any smartphone, tablet, or laptop. No IT resources needed.
✓ Same-Day Implementation
Most dealers are up and running in less than 24 hours. No implementation fees, no long-term contracts, simple monthly billing.
✓ Fully Customizable
Customize messaging, forms, fraud alert settings, and lead delivery. Use for customer-facing or back-office operations.
✓ Transparent Pricing
Straightforward tiered pricing—the more you use, the more you save. No hidden fees or surprise charges.
✓ Real-Time Alerts
Configure instant SMS fraud alerts sent directly to your phone. Never miss a high-risk transaction.
✓ Complete Audit Trail
Every transaction documented with comprehensive fraud reports available instantly on your admin dashboard.
How It Works
1
Customer Scans QR Code or Follows Link
Simple web-based form, no app download required
2
Captures Driver’s License Photo
AI analyzes for fraud while OCR extracts data
3
Instant Multi-Stage Fraud Screening
DMV verification, global fraud check, AI analysis
4
Get Instant Results & Alerts
Full fraud report on dashboard, SMS alerts for high-risk
Stop Fraud Today—Start Your Free Trial
Get 40 complimentary driver’s license scans for up to 14 days. No long-term contract. Setup in under 24 hours.
Limited Time Offer: 40 Free Scans | 14-Day Trial | No Credit Card Needed
Frequently Asked Questions
Does this work with my existing DMS or CRM?
Yes. ACT AI Auto integrates seamlessly via webhook, secure email, or direct CRM integration. Leads are delivered exactly where you need them with all fraud data included.
How accurate is the fraud detection?
Our AI-powered multi-stage verification engine achieves 80-90% fraud prevention rates in typical deployments. The system combines OCR analysis, DMV verification, global fraud database checks, and proprietary fraud scoring.
What states are supported for ID verification?
ACT AI Auto’s advanced AI-powered visual analysis detects fake IDs and fraudulent documents in all 50 states—providing comprehensive fraud protection nationwide. Additionally, real-time DMV database verification is available in 45 states (excluding CA, UT, MN, LA, and NY). This dual-layer approach ensures maximum fraud detection regardless of your customer’s location.
Is this compliant with FTC Safeguards Rule?
Yes. ACT AI Auto helps dealerships meet FTC Safeguards Rule requirements by providing verified identity verification and creating a complete audit trail for every transaction.
Ready to protect your dealership? Contact us at info@accesscapital.tech or call (833) 896-4ACT