Documentation Index
Fetch the complete documentation index at: https://docs.profiledrisk.com/llms.txt
Use this file to discover all available pages before exploring further.
Lending events represent requests to issue credit or increase exposure to existing users. These decisions carry financial risk because default, synthetic identity abuse, and loan stacking can occur if behavior is not thoroughly evaluated.
ProfiledRisk provides real-time lending risk intelligence by combining:
- Your custom lending rules tailored to product risk appetite
- ProfiledRisk intelligence assessing historical activity, device consistency, and identity stability
Each lending event returns a decision via the status field:
- allowed — continue loan approval workflow
- blocked — reject request
- pending — hold for additional checks or analyst decision
This ensures loans are issued only when risk signals align with expected borrower behavior.
When to Use This Use Case
Use the Lending category when:
- A user submits a loan application
- Borrower profile or credit eligibility is updated
- A new loan request is made for an existing borrower
- Exposure changes require re-evaluation (credit limit increase, top-up)
Common triggers include:
- Salary advance applications
- Personal or SME loan requests
- Buy-Now-Pay-Later (BNPL) onboarding and repayment approvals
- Rapid repeat borrowing behavior
If the event increases business exposure, ProfiledRisk should evaluate it as a lending risk event.
A Lending event should clearly describe the loan request, the borrower profile, and the context in which the request occurs.
Required signal groups:
| | |
|---|
| Category | Example Fields | Risk Purpose |
| Loan request | amount, purpose, loan_term, interest_rate | Detect high-risk product misuse and affordability issues |
| User profile | employment status, income, tier, KYC | Validate credibility and repayment capacity |
| Behavioral context | registration_time, recent credential changes | Prevent fraudulent credit access and ATO abuses |
| Device & network | device_id, OS, IP | Identify identity sharing, collusion, and takeover risk |
| Address & location | declared addresses and geography | Support jurisdiction checks and fraud clustering detection |
"loan": {
"id": "87554303-3f75-4883-8fb8-48fce003859f",
"time": "2022-12-12T12:15:05.391Z",
"amount": 10000,
"channel": "mobile",
"purpose": "Salary Advance",
"interest_rate": 18.5,
"loan_product": "personal",
"loan_term": 24
}
Decisioning Logic
Evaluation combines:
1. Your Rules
Configured in Flows, such as:
- Employment and income validation requirements
- Minimum credit score thresholds
- Rules preventing excessive exposure per borrower
- Enhanced verification for first-time lending customers
2. ProfiledRisk Intelligence
Including:
- Loan stacking detection across shared devices or profiles
- Spike in risk signals preceding requests
- Weak identity correlated with high credit appetite
- Cross-entity behavioral anomalies (e.g., same device, different users)
Response Example
{
"status": "pending",
"risk_score": 78,
"risk_level": "high",
"case_created": true
}
Client Enforcement Behavior
| |
|---|
| Status | Action Required in Lending Workflow |
| allowed | Continue credit assessment or disbursement |
| blocked | Reject loan request |
| pending | Require analyst or step-up verification before decision |
Case Management
A Case is typically generated when:
- Borrower profile changes shortly before request (ATO suspicion)
- Loan request is high-value relative to user history
- Device/IP suggests collusion or synthetic identity clusters
- Required borrower documentation triggers compliance review
Analysts may escalate or finalize decision inline with lending policies.
Example Lending Rules
| | |
|---|
| Objective | Rule Concept | Output Status |
| Prevent loan stacking | If 2+ applications within 24 hours from same device but different profiles | blocked |
| Flag high-risk applications | If first-time borrower + amount > profile affordability threshold | pending |
| Compliance review | If income/employment fields missing or inconsistent | pending |
| Detect synthetic identity | If identity score below threshold across combined KYC checks | blocked |
Summary
ProfiledRisk supports credit operations by:
- Preventing high-risk accounts from receiving funds
- Reducing default exposure through behavior-based evaluation
- Ensuring compliance alignment with lending obligations
- Improving analyst efficiency through automated segmentation
This use case should be applied whenever borrower exposure or credit risk changes.
