Homeppl, a London-based startup working to create inclusion in property rentals, has rolled out a business-to-business (B2B) version of its tenant guarantor product, according to a Property Wire report on Wednesday (April 6).
The product, called Homeppl Guarantid, was created in response to an increase in tenancy fraud in recent years.
Rental fraud, as well as the demand for guarantees from rental agents, landlords and Build to Rent properties, has been caused by an increased need to rent due to rising housing prices and a housing shortage.
The latest data from Homeppl shows an increase in lease fraud since 2020, with a particularly steep increase of 75% from January to February this year. The two most common types of lease fraud are forging financial documents and falsifying professional credentials.
The report also noted that Homeppl believed that the way to solve this problem was the development of Guarantid, which would use open banking, machine learning, instant decision engine, fraud detection tools and software. behavioral analysis, which should help rental guarantees.
Guarantid was previously a consumer product, but is now also available to businesses, which will allow it to guarantee the rent of any company-approved tenant, thereby guaranteeing full rental income.
PYMNTS wrote that the pandemic has exposed some issues with companies’ ability to provide secure payment methods to B2B customers.
Read more: PYMNTS Intelligence: Modernizing the digital payment process for B2B customers
Consumer sites like Amazon and DoorDash are growing in popularity, but B2B payments and shopping are lagging the consumer market in automation and speed. The number of global businesses and cross-border businesses has added new challenges and more of a need for B2B payments and the streamlining of associated processes.
A PYMNTS survey of financial institutions found that the pandemic has only added friction for the B2B customer experience in managing bills and payments, with customers reporting issues such as slow sign-up , general invoice reconciliation and working capital management processes.