System and methodology for processing debt management plans

• US 20050283418A1
• Filed: 06/17/2005
• Published: 12/22/2005
• Est. Priority Date: 06/18/2004
• Status: Abandoned Application

• Current Assignee: John R. Thornborough, William Cullinan
• Original Assignee: John R. Thornborough, William Cullinan
• Inventors: Cullinan, William, Thornborough, John R.
• Application Number:
  US11/155,173
• Publication Number:
  US 20050283418A1
• Time in Patent Office: Days
• US Class Current: 705/35
• 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

Abstract

A system and method for creating and managing debt management plans on an automated basis. The system is provided with various personal and financial information from a debtor and/or a credit counselor and then automatically generates a debt management plan for the debtor subject to creditor approval. In one embodiment, each of the creditors is provided with the specifics of the proposed debt management plan and may approve it, reject it or approve it conditionally. Once finally accepted, the system can implement the debt management plan on behalf of the debtor, creditor and credit counseling agency. In one embodiment, a DMP score may also be associated with each debt management plan indicative of the attractiveness of the plan to the creditors. It is also possible for each individual creditor to influence the calculation of the DMP scoring by adjusting weightings of multiple factors associated with the DMP.

Claims

1. A method for processing a debt management plan for a debtor comprising the steps of:

entering personal information associated with said debtor into a database;

entering financial information associated with said debtor into said database;

generating a debt management plan for said debtor based upon said personal information and said financial information;

submitting said debt management plan to at least one creditor of said debtor, each of said at least one creditors holding an account referenced in said debt management plan;

awaiting approval or denial of said debt management plan from said at least one creditor;

upon receipt of said approval or denial from each of said at least one creditors, and in the event that said debt management plan is approved by said at least one creditor, implementing said debt management plan.

2. The method of claim 1 further comprising the step of determining whether any of said approvals from any of said creditors are conditional and wherein if any of said approvals are conditional, modifying said debt management plan in accordance with said conditional approvals and then implementing said debt management plan.

3. The method of claim 1 further comprising the step of generating a DMP score associated with said debt management plan.

4. The method of claim 3 wherein said DMP score is determined according to a predetermined algorithm and wherein weightings of a plurality of factors are used in association with said algorithm.

5. The method of claim 4 wherein said weightings are configurable by a debt counselor.

6. The method of claim 4 wherein said weightings are configurable by at least one of said creditors.

7. The method of claim 3 wherein each of said creditors applies said DMP score in accordance with its decision with respect of approval or denial of said debt management plan.

8. The method of claim 1 wherein a debt counselor is notified of said acceptance/denial decisions by said at least one creditor via email.

9. The method of claim 1 wherein said at least one creditor presets at least one determinant for automatically accepting or rejection said debt management plan.

10. The method of claim 9 wherein said automatic acceptance or denial may be overridden by said at least one creditor.

11. The method of claim 1 wherein said at least one determinant comprises a DMP score.

12. The method of claim 1 further comprising the step of said at least one creditor inputting specific fair share data in response to said debt management plan.

13. The method of claim 1 wherein at least one of said personal information and said financial information is entered into said database by said debtor via an on-screen user interface.

14. A debt management plan processing system comprising:

a user interface for entering personal and financial information associated with a debtor;

a processor for creating a debt management plan for said debtor based upon said entered personal and financial information;

a creditor interface, said creditor interface transmitting said debt management plan to at least one creditor for approval or rejection; and

an implementation module for implementing said debt management plan after said debt management plan has been approved by said at least one creditor.

15. The processing system of claim 14 further comprising a DMP score generator, said DMP score generator generating at least one DMP score to be associated with each said debt management plan.

16. The processing system of claim 15 wherein a plurality of DMP scores are associated with each said debt management plan.

17. The processing system of claim 16 wherein each of said DMP scores are calculated by said DMP score generator based upon at least one weighting selection by at least one of said creditors.

18. The processing system of claim 14 wherein said personal and financial information is entered by a debtor through an application interface available through the internet.

19. The processing system of claim 14 wherein each of said creditors determines acceptance or rejection of each said debt management plan automatically based upon at least one predetermined factor.

20. The processing system of claim 14 wherein said implementation module allocates a portion of any payment received by a debtor to a fair share payment made to a debt counseling agency.