Equifax Inc. has acquired Fort Worth, Texas-based Rapid Reporting Verification Co. The addition of Rapid Reporting will enhance Equifax's ability to provide lenders with improved products, quality and services to help them better control fraud. Equifax will pay $72.5 million in cash for the company.
Rapid Reporting, a national provider of IRS tax transcript information and Social Security number authentication services, offers products including IncomeChek, which provides IRS verification of income tax information and DirectChek, which provides verification of Social Security numbers and also meets USA Patriot Act compliance requirements.
Rapid Reporting's products, which operate through a secure Web-based portal, offer financial institutions a means to confirm borrower identity and income."Lenders need better tools to determine creditworthiness before qualifying a loan. Rapid Reporting's capabilities will allow us to offer lenders new and improved products, as well as more advanced fraud management services," said Trey Loughran, Equifax's senior vice president of corporate development.
Jay Meadows, president and CEO of Rapid Reporting, said in a statement that this acquisition is the "logical next step" for Rapid Reporting, since "the combination of Rapid Reporting's assets with Equifax's mortgage-related and employment verification services will enable us to effectively mitigate fraud and offer more advanced products for mortgage lenders."
Mr. Loughran added that this transaction will enable Equifax to compete more effectively in the changing market and offer "more effective, value-added fraud verification services."
