Ramp

Ramp improves fraud detection efficiency by 75%

Alloy Onboarding has helped Ramp with KYB and KYC checks since their launch in 2019

At a glance

Industry
Fintech
Company Size
800+
Established
2019
Headquartered
New York, NY

Valuation
$7.9B

Ramp is a fintech company building the next generation corporate card. They are the only corporate card and spend management platform designed to help businesses spend less.

When Ramp launched in 2019, they prioritized KYB and KYC checks to avoid costly mistakes and comply with their partner bank's requirements. They enlisted Alloy to manage their customer onboarding process, ensuring they are AML compliant, while minimizing risk and fraud.

By automating identity and business verification processes with Alloy Onboarding, Ramp's team has more time to focus on solving complex business problems, such as how to optimize their risk thresholds to approve more customers.

75%
Fraud detection efficiency improved by 75%
25%
Application review time reduced by 25%
90%
Over 90% of applications sent to manual review are resolved

Ramp needed to be compliant the day they started onboarding customers

Unlike traditional corporate credit cards that encourage customers to spend more in order to rack up points, Ramp changes the focus and does away with the points system in favor of transparent 1.5% cash back. They provide virtual and physical corporate cards with built-in controls that eliminate expense reports. Ramp offers 10-20x higher limits and no fees for their customers that range from start-ups to established enterprises. Their spend management platform focuses on digitizing expense policies and preventing out-of-policy spend before it happens. Given their product and streamlined operations, Ramp strives to only provide legitimate companies a line of credit that fits their needs and is affordable to pay back.

To prevent fraud and to comply with regulations, Ramp is required to verify the identity of businesses and individuals before an account is opened. As a startup company, Ramp's Risk Operations team did not have the bandwidth to build and manage the KYB and KYC processes on their own while figuring out ways to optimize how much risk they were willing to take on.

If you were only worried about risk, you wouldn’t be giving anyone a card. So the question becomes, what return do we get for the additional risk? Alloy automates part of our underwriting process so our Risk Operations team can spend their time figuring out this tradeoff between risk and return.

Jacob Wallenberg, Risk Operations at Ramp

Alloy Onboarding automates Ramp’s KYB & KYC processes to help them onboard new customers fast

Ramp was looking for an industry-recognized platform that could address their KYB needs. Alloy got them up and running quickly, accurately, and provided a record of every workflow for Ramp's partners to audit.

Alloy Onboarding allows Ramp to cut application review time by 25% . Its flexibility enables Ramp to create workflows that map to the list of requirements needed for auditing purposes. The team can also test different data sources for KYB and KYC checks, ultimately increasing the number of legitimate businesses it can onboard and the amount of credit they can offer these businesses.

In situations where fraudulent applications are submitted, the Ramp team can identify the mismatched criteria in minutes and action it accordingly, preventing fraudsters from becoming customers in the first place.

During the manual review process, Alloy makes it easy for Ramp's customers to upload verification documents securely. Ramp's team can manage the documents within the dashboard to eliminate the risk of downloading and housing sensitive documents on their servers.

By using Alloy Onboarding since launch, Ramp was able to scale their business quickly, improving fraud detection efficiency by 75%

Alloy arms Ramp with a team that are 100% focused on the identity and business verification process. With this much focus being given to KYB & KYC, the Ramp team knows they can catch fraudulent actors before any damage is done.

I can trust Alloy to do a job that I can absolutely not make a mistake on. They do all the heavy lifting, which frees up my time to focus on other business challenges. Through better risk processes, we’ve been able to take on more customers and figure out ways to give our existing customers better service.

Jacob Wallenberg, Risk Operations at Ramp

Since launching in 2019, Ramp has successfully onboarded thousands of clients with Alloy Onboarding. In April 2021, they secured $115M in new funding, tipping their valuation over $1.6B and making them the fastest-growing New York-based startup. They are the first NY startup to hit unicorn status in less than two years from incorporation.

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