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“Fraud has never been higher” || Frank McKenna, Cofounder and Chief Fraud Strategist, Point Predictive

·30 min·1 clip

Frank McKenna says there are over 100,000 Telegram channels dedicated to fraud training.

1. Dealer News Today covers auto-dealer fraud with Frank McKenna and Point Predictive. 2. Derek D. hosts Frank McKenna, co-founder and chief fraud strategist at Point Predictive, and McKenna says he has worked in fraud management for about 33 years. 3. The episode asks how dealerships can fight fraud while making car buying faster and easier. 4. McKenna says fraud has never been higher and estimates $8.1 billion to $8.3 billion in auto-lending fraud this year. 5. He says many fraudsters became more active during COVID because of stimulus funds and then shifted into auto lending after those funds ended. 6. He describes five major fraud types, including identity theft, synthetic identity, income fraud, and employment fraud. 7. McKenna says synthetic identity fraud can be built in about 20 minutes using a stolen Social Security number, a changed name, and fake pay stubs. 8. He says income fraud is now the biggest category, with borrowers sometimes inflating earnings by 50% to 100%. 9. He says about 70% of loans that fail in the first six months have fraud in them, which can trigger dealer buybacks. 10. He says some dealers who had never seen fraud before were suddenly seeing three fraud cases a month. 11. McKenna says Telegram has more than 100,000 fraud-training channels and that each channel can have 1,000 to 10,000 members. 12. He says fraud is no longer limited to career criminals and can involve an 18-year-old learning techniques online. 13. He explains that Point Predictive uses driver’s license scanning, bank-statement automation, and one-time passcodes to replace slower manual checks. 14. He says knowledge-based authentication surveys are slow, disliked by dealers, and sometimes answered correctly by fraudsters using information from Credit Karma. 15. He says Point Predictive uses a consortium of more than 150 million applications to validate income patterns and flag only the riskiest one in 15 borrowers. 16. He says the company also reviews pay stubs in the background and has helped dealers identify fraudulent documents. 17. The conversation is informal and conversational, with Derek D. adding jokes about radio, Jersey beaches, and his own irregular income. 18. McKenna gives direct, practical answers and uses examples from dealership operations, lender workflows, and consumer documentation. 19. Dealership managers, F&I teams, and auto lenders worried about fraud. 20. Casual listeners looking for entertainment news, not dealership operations.

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Fraud prevention, explained in dealer language.

Dealer News Today keeps this episode practical. Frank McKenna of Point Predictive walks through fraud prevention in dealership terms, with the clearest points tied to workflow: driver license scanning that can fill in a credit application, checks for counterfeit licenses, and…

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Need a plain-English fraud check for dealership lending and paperwork today?

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