System and method for processing data pertaining to financial assets

• US 20040128229A1
• Filed: 12/30/2002
• Published: 07/01/2004
• Est. Priority Date: 12/30/2002
• Status: Active Grant

• Current Assignee: Fannie Mae
• Original Assignee: Fannie Mae
• Inventors: Kemper, John L., Lewis, Robert A., Farrell, William F., Raines, Franklin D., St. John, Julie G., Quinn, Michael A.
• Granted Patent: US 7,593,889 B2
• Time in Patent Office: Days
• US Class Current: 705/38
• CPC Class Codes: G06Q 40/00 Finance; Insurance; Tax strategies; Processing of corporate or income taxes
• CPC Class Codes: G06Q 40/02 Banking, e.g. interest calculation or account maintenance credit or loans G06Q40/03
• CPC Class Codes: G06Q 40/03 Credit; Loans; Processing thereof
• CPC Class Codes: G06Q 40/04 Trading; Exchange, e.g. stocks, commodities, derivatives or currency exchange

Abstract

A data processing system for processing loan data comprises acquisition logic, reporting logic, and financial asset generation logic. The acquisition logic is configured to receive information pertaining to loan term, interest rate, principal owed and other parameters for a plurality of loans. The reporting logic is configured to receive payment information regarding borrower payments in connection with the plurality of loans. The financial asset generation logic is configured to facilitate creation and maintenance of a plurality of financial assets backed by the plurality of loans. The acquisition logic, the reporting logic, and the financial asset generation logic are provided on a common integrated data processing platform.

Claims

1. A data processing system for processing loan information, comprising:

acquisition logic, the acquisition logic including logic configured to receive acquisition information pertaining to loan term, interest rate, principal owed and other parameters for a plurality of loans;

reporting logic, the reporting logic including logic configured to receive payment reporting information regarding borrower payments in connection with the plurality of loans, perform loan accounting in connection with the borrower payments, and generate accounting output, the reporting information being received on an ongoing basis throughout at least a portion of a term of each the plurality of loans;

financial asset generation logic, the financial asset generation logic including logic configured to facilitate creation and maintenance of a plurality of financial assets backed by the plurality of loans, the creation and maintenance of the plurality of financial assets resulting in the generation of investment information; and

a rules engine, the rules engine comprising a series of business rules; and

wherein the loan information includes the acquisition information, the reporting information, and the investment information, and wherein the rules engine processes the loan information by applying the business rules to the loan information.

2. A data processing system according to claim 1, wherein the acquisition logic, the reporting logic, the financial asset generation logic, and the rules engine are provided on a common integrated data processing platform.

3. A data processing system according to claim 1, further comprising a common data storage system, the data storage system being commonly accessible to the acquisition logic, the reporting logic, and the financial asset generation logic.

4. A data processing system according to claim 3, wherein the data storage system comprises at least two data bases, wherein the at least two data bases are accessible by different portions of the acquisition logic, the reporting logic, and the financial asset generation logic, and wherein the at least two data bases are synchronized on at least approximately a weekly basis.

5. A data processing system according to claim 3, wherein the data storage system comprises at least two data bases, wherein the at least two data bases are accessible by different portions of the acquisition logic, the reporting logic, and the financial asset generation logic, and wherein the at least two data bases are synchronized on at least approximately a daily basis.

6. A data processing system according to claim 1, wherein the rules engine comprises a plurality of rules engines separately provided with the acquisition logic, the reporting logic, and the financial asset generation logic.

7. A data processing system according to claim 1, wherein each of the plurality of loans is described using a series of attributes, and wherein the data processing system is capable of being modified to process loan information for new types of loans by modifying the composition of the series of attributes.

8. A data processing system according to claim 1, wherein the data processing system decomposes the plurality of loans into a plurality of assets represented by a plurality of cash flows, the plurality of cash flows includes a plurality of cash flows pertaining to principal payments, a plurality of cash flows pertaining to interest payments, a plurality of cash flows pertaining to servicing fees, and a plurality of cash flows relating to other borrower payments.

9. A data processing system according to claim 8, wherein the data processing system includes a cash flow mapping system, the cash flow mapping system permitting outgoing cash flows associated with the plurality of financial assets to be traced back to individual cash flows associated with specific ones of the plurality of loans.

10. A data processing system according to claim 9, wherein the plurality of financial assets generated by the financial asset generation logic includes a packet used by the cash flow mapping system.

11. A data processing system according to claim 8, wherein the data processing system decomposes each of the plurality of loans such that the plurality of cash flows represent substantially all possible sources of cash flow associated with the plurality of loans.

12. A data processing system according to claim 8, wherein the plurality of cash flows include negative cash flows.

13. A data processing system according to claim 1, wherein the plurality of financial assets generated by the financial asset generation logic includes a mortgage backed security backed by the plurality of loans.

14. A data processing system according to claim 13, wherein the investment information includes financial performance information regarding the mortgage backed security.

15. A data processing system according to claim 14, wherein the data processing system includes logic configured to determine a guarantee fee, the guarantee fee being a fee for guaranteeing timely payment of the plurality of loans that back the mortgage backed security.

16. A data processing system according to claim 1, wherein the financial asset generation logic includes a portfolio monitor, the portfolio monitor being capable of monitoring financial performance of the plurality of loans in substantially real time as the information regarding borrower payments is received.

17. A data processing system according to claim 1, wherein the reporting logic is configured to receive the information regarding borrower payments on a sub-monthly basis.

18. A data processing system according to claim 1, wherein the reporting logic is configured to receive the information regarding borrower payments on approximately a daily basis.

19. A data processing system according to claim 1, wherein the reporting logic is configured to receive the information regarding borrower payments in approximately real time.

20. A data processing system comprising:

acquisition logic, the acquisition logic including logic configured to receive information pertaining to loan term, interest rate, principal owed and other parameters for a plurality of loans;

reporting logic, the reporting logic including logic configured to receive payment information regarding borrower payments in connection with the plurality of loans, perform loan accounting in connection with the borrower payments, and generate accounting output, the payment information being received on an ongoing basis throughout at least a portion of a term of each the plurality of loans;

financial asset generation logic, the financial asset generation logic including logic configured to facilitate creation and maintenance of a plurality of financial assets backed by the plurality of loans; and

wherein the acquisition logic, the reporting logic, and the financial asset generation logic are provided on a common integrated data processing platform.

21. A data processing system according to claim 20, further comprising a common data storage system, the data storage system being commonly accessible to the acquisition logic, the reporting logic, and the financial asset generation logic.

22. A data processing system according to claim 21, wherein the data storage system comprises at least two data bases, wherein the at least two data bases are accessible by different portions of the acquisition logic, the reporting logic, and the financial asset generation logic, and wherein the at least two data bases are synchronized on at least approximately a weekly basis.

23. A data processing system according to claim 21, wherein the data storage system comprises at least two data bases, wherein the at least two data bases are accessible by different portions of the acquisition logic, the reporting logic, and the financial asset generation logic,, and wherein the at least two data bases are synchronized on at least approximately a daily basis.

24. A data processing system according to claim 20, wherein the system further comprises a process controller, the process controller being coupled to the acquisition logic, the reporting logic, and the financial asset generation logic;

wherein the payment information is cash flow information, and the cash flow information further comprises information pertaining to payments made to holders of the financial assets backed by the plurality of loans; and

wherein the process controller has embedded therein information on processing interdependencies between the acquisition logic, the reporting logic, and the financial asset generation logic, the process controller using the embedded information to control processing of the cash flow information by the reporting logic and the financial asset generation logic.

25. A data processing system according to claim 20, further comprising an Internet-enabled user interface, the Internet-enabled user interface permitting a user to access the data processing system by way of the Internet or an Intranet.

26. A data processing system according to claim 20, wherein the acquisition logic further comprises committing logic configured to permit a seller of the plurality of loans to enter into a commitment to sell the loans, pricing logic configured to determine selling prices for the plurality of loans, and deal management logic configured to track terms of deals entered into with a seller of the plurality of loans.

27. A data processing system according to claim 26, wherein the reporting logic further comprises comparison logic configured to calculate expected payment information pertaining to the plurality of loans and to compare the expected payment information with the received payment information, accounting logic configured to generate accounting records reflecting the received payment information, and aggregation logic configured to aggregate cash flows from the plurality of loans to generate payment information for the plurality of financial assets.

28. A data processing system according to claim 27, wherein the financial asset generation logic further comprises portfolio monitor logic configured to monitor real time financial status of the plurality of financial assets.

29. A data processing system according to claim 20, further comprising stored cash flow maps, the cash flow maps comprising information that defines cash flows reported in the reporting information map to cash flows described in the investment information.

30. A data processing system according to claim 29, wherein the plurality of financial assets generated by the financial asset generation logic includes a packet used by the cash flow mapping system.

31. A data processing system according to claim 20, wherein the plurality of financial assets generated by the financial asset generation logic includes a mortgage backed security backed by the plurality of loans.

32. A data processing system according to claim 31, wherein the investment information includes financial performance information regarding the mortgage backed security.

33. A data processing system according to claim 32, wherein the data processing system includes logic configured to determine a guarantee fee, the guarantee fee being a fee for guaranteeing timely payment of the plurality of loans that back the mortgage backed security.

34. A data processing system according to claim 20, wherein the reporting logic is configured to receive the information regarding borrower payments on a sub-monthly basis.

35. A data processing system according to claim 20, wherein the reporting logic is configured to receive the information regarding borrower payments on approximately a daily basis.

36. A data processing system according to claim 20, wherein the reporting logic is configured to receive the information regarding borrower payments in approximately real time.

37. A data processing system comprising:

(A) acquisition logic, the acquisition logic including logic configured to receive acquisition information pertaining to loan term, interest rate, principal owed and other parameters for a plurality of loans, the acquisition logic including

(1) committing logic configured to permit a seller of the plurality of loans to enter into a commitment to sell the loans,

(2) pricing logic configured to determine selling prices from the plurality of loans, and

(3) deal management logic configured to track terms of deals entered into with the seller of the plurality of loans;

(B) reporting logic, the reporting logic including logic configured to receive payment reporting information regarding borrower payments in connection with the plurality of loans, the reporting information being received on an ongoing basis throughout at least a portion of a term of each the plurality of loans, the reporting logic including

(1) comparison logic configured to calculate expected payment reporting information pertaining to the plurality of loans and to compare the expected payment reporting information with the received payment information,

(2) accounting logic configured to generate accounting records reflecting the received payment information, and

(3) aggregation logic configured to aggregate cash flows from the plurality of loans to generate payment information for the plurality of financial assets.

(C) financial asset generation logic, the financial asset generation logic including logic configured to facilitate creation and maintenance of a plurality of financial assets backed by the plurality of loans, the creation and maintenance of the plurality of financial assets resulting in the generation of investment information; and

(D) a rules engine, the rules engine comprising a series of business rules;

(E) a common data storage system, the data storage system being commonly accessible to the acquisition logic, the reporting logic, and the financial asset generation logic;

wherein the loan information includes the acquisition information, the payment reporting information, and the investment information, and wherein the rules engine processes the loan information by applying the business rules to the loan information; and

wherein the acquisition logic, the reporting logic, and the financial asset generation logic are provided on a common integrated data processing platform.

38. A data processing system according to claim 37, wherein the data storage system comprises a first data base accessible to the reporting logic and a second data base accessible to the financial asset generation logic, and wherein the first and second data bases are synchronized on at least approximately a weekly basis.

39. A data processing system according to claim 37, wherein the data storage system comprises a first data base accessible to the reporting logic and a second data base accessible to the financial asset generation logic, and wherein the first and second data bases are synchronized on at least approximately a daily basis.

40. A data processing system according to claim 37, wherein each of the plurality of loans is described using a series of attributes, and wherein the data processing system is capable of being modified to process loan information for new types of loans by modifying the composition of the series of attributes.

41. A data processing system according to claim 37, wherein the data processing system decomposes the plurality of loans into a plurality of assets represented by a plurality of cash flows, the plurality of cash flows includes a plurality of cash flows pertaining to principal payments, a plurality of cash flows pertaining to interest payments, a plurality of cash flows pertaining to servicing fees, and a plurality of cash flows relating to other borrower payments.

42. A data processing system according to claim 41, wherein the data processing system includes a cash flow mapping system, the cash flow mapping system permitting outgoing cash flows associated with the plurality of financial assets to be traced back to individual cash flows associated with specific ones of the plurality of loans.

43. A data processing system according to claim 42, wherein the plurality of financial assets generated by the financial asset generation logic includes a packet used by the cash flow mapping system.

44. A data processing system according to claim 41, wherein the data processing system decomposes each loan such that the plurality of cash flows represent substantially all possible sources of cash flow associated with the plurality of loans.

45. A data processing system according to claim 41, wherein the plurality of cash flows include negative cash flows.

46. A data processing system according to claim 37, wherein the plurality of financial assets generated by the financial asset generation logic includes a mortgage backed security backed by the plurality of loans.

47. A data processing system according to claim 46, wherein the investment information includes financial performance information regarding the mortgage backed security.

48. A data processing system according to claim 47, wherein the data processing system includes logic configured to determine a guarantee fee, the guarantee fee being a fee for guaranteeing timely payment of the plurality of loans that back the mortgage backed security.

49. A data processing system according to claim 37, wherein the reporting logic is configured to receive the information regarding borrower payments on a sub-monthly basis.

50. A data processing system according to claim 37, wherein the reporting logic is configured to receive the information regarding borrower payments on approximately a daily basis.

51. A data processing system according to claim 37, wherein the reporting logic is configured to receive the information regarding borrower payments in approximately real time.

52. A data processing system comprising:

acquisition logic, the acquisition logic including logic configured to receive information pertaining to loan term, interest rate, principal owed and other parameters for a plurality of loans;

reporting logic, the reporting logic including logic configured to receive payment information regarding borrower payments in connection with the plurality of loans, perform loan accounting in connection with the borrower payments, and generate accounting output, the payment information being received on an ongoing basis throughout at least a portion of a term of each the plurality of loans;

loan process and compare logic, the loan process and compare logic including logic configured to monitor and validate information and activities regarding the plurality of loans; and

wherein the acquisition logic, the reporting logic, and the loan process and compare logic are provided on a common integrated data processing platform.

53. A data processing system according to claim 52, wherein the loan process and compare logic is configured to receive and validate information generated by the reporting logic.

54. A data processing system according to claim 53, wherein validating information and activities regarding the plurality of loans includes comparing data received from the reporting logic to data received from the acquisition logic for each of the plurality of loans.

55. A data processing system according to claim 52, wherein the system further comprises a process controller, the process controller being coupled to the acquisition logic, the reporting logic, and the loan process and compare logic;

wherein the payment information is cash flow information, and the cash flow information further comprises information pertaining to payments made to holders of the financial assets backed by the plurality of loans; and

wherein the process controller has embedded therein information on processing interdependencies between the acquisition logic, the reporting logic, and the loan process and compare logic, the process controller using the embedded information to control processing of the cash flow information by the reporting logic and supply information for analysis to the loan process and compare logic.

56. A data processing system according to claim 52, further comprising an Internet-enabled user interface, the Internet-enabled user interface permitting a user to access the data processing system by way of the Internet or an Intranet.

57. A method of processing data in connection with a plurality of loans, the method comprising:

receiving payment reporting information regarding borrower payments in connection with the plurality of loans, the reporting information being received from a servicer;

performing loan accounting in connection with the borrower payments to generate accounting output;

providing an interactive tool accessible to the servicer by way of a network that allows the servicer to obtain access to information regarding the accounting output.

58. A method according to claim 57, wherein the interactive tool is accessible to the servicer by way of the Internet.