CLEAR1 Flags 5,400 Rental Fraud Cases in Six Months, Saving $10M

Biometric identity verification integrated into Snappt’s rental screening platform blocked more than 5,400 fraudulent applications and prevented over $10 million in potential bad debt during the first six months of deployment, according to a case study released today by CLEAR and Snappt.

The results cover the integration of CLEAR1, CLEAR’s enterprise identity platform, into Snappt’s Applicant Trust Platform, which serves property owners and operators overseeing more than 2.3 million multifamily units. At the rate documented in the case study, the system flagged approximately 30 fraudulent applicants per day before they reached leasing teams.

The deployment also showed strong adoption metrics: 97 percent of applicants successfully completed CLEAR1 verification, and more than 40 percent of applicants were already CLEAR members at the time of the integration’s launch. Existing members confirm identity instantly via selfie. Applicants new to CLEAR complete a one-time setup in under 90 seconds. The verification layer draws on biometrics, documents, and device signals corroborated against verified data sources.

The case study frames the performance data against a backdrop of rising rental application fraud. The release cites industry figures showing 93 percent of multifamily owners and managers report experiencing fraud, and that one in four eviction filings traces back to a fraudulent application. Fraud tactics documented in the release include AI-enabled identity fabrication.

“Rental fraud is evolving fast, and the industry needs stronger identity infrastructure to keep pace,” said Jon Schlegel, Chief Security Officer at CLEAR.

Kyle Nelson, EVP of Corporate Strategy and Growth at Snappt, described the dual objective of the integration: “Fraud is rising across multifamily, but renters shouldn’t pay the price. Our goal is to make it easier for applicants to move through the leasing process while giving operators greater confidence in who they’re approving.”

Kevin Owens, President of Arqline, a customer featured in the case study, described the integration as simplifying verification while improving operational confidence across a managed portfolio.

The Snappt results arrive days after CLEAR1’s FedRAMP In Process designation signaled the platform’s broader push into regulated enterprise verticals. The multifamily housing deployment also extends CLEAR’s earlier move into real estate fraud prevention, which previously focused on home-sale closings through a partnership with Fidelity National Financial.

CLEAR, which counts more than 39 million members globally, and Snappt have stated plans to continue expanding the integration across markets, with a focus on detecting identity fraud earlier in the screening process. The partnership is targeting coverage of 3 million homes by the end of 2026.

Sources: CLEAR Investor Relations, CLEAR Identity Case Study

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By the ID Tech Editorial Team