SYSTEM AND METHOD FOR DYNAMIC CUSTOMER ACQUISITION PROBABILITY AND RISK-ADJUSTED RETURN-ON-EQUITY ANALYSIS

• US 20150348186A1
• Filed: 05/27/2014
• Published: 12/03/2015
• Est. Priority Date: 05/27/2014
• Status: Abandoned Application

• Current Assignee: Bank of the Ozarks
• Original Assignee: C1 Bank
• Inventors: Samteladze, Nikolai, Burgess, Trevor, deOliveira, Marcio
• Application Number:
  US14/287,459
• Publication Number:
  US 20150348186A1
• Time in Patent Office: Days
• US Class Current: 1/1
• CPC Class Codes: G06Q 40/03 Credit; Loans; Processing thereof

Abstract

Disclosed is a method of processing a user'"'"'s loan request to a bank and making recommendations to the user and the bank. The invention includes using a computer code that evaluates user submitted loan data, public bank data, and private bank data to calculate a bank'"'"'s risk-adjusted return-on-equity and customer acquisition probability on a given loan. The bank'"'"'s private data may include bank profile settings and bank historical data. The bank'"'"'s public data may include UBPR and bank call reports. Also, the method may be utilized to analyze the bank'"'"'s performance over time.

Claims

1. A computer implemented method of processing a loan request comprising the steps of:

a. providing computing device associated with a bank;

b. loading the bank computing device with a loan evaluation computer code, the loan evaluation computer code comprising;

i. an interface for accepting a loan request containing loan data,

ii. a loan evaluation model, and

iii. a recommendation engine;

c. receiving by the bank computing device, a loan request containing loan data;

d. receiving by the bank computing device, public bank data and private bank data;

e. evaluating by the bank computing device, the loan request;

f. displaying by the bank computing device, an output representing profitability of the loan request; and

g. generating by the bank computing device, user recommendations.

2. The method of claim 1 further comprising the step of generating by the bank computing device, bank recommendations based on the loan data, the public bank data, and the private bank data.

3. They method of claim 1, wherein the public bank data comprises bank performance data and market data.

4. The method of claim 3, wherein the public bank data comprises UBPR or call reports.

5. The method of claim 4, wherein the private bank data comprises the bank profile settings.

6. The method of claim 5 further comprising the step of configuring the bank profile settings by selecting one or more settings from the group consisting of:

penalizing a CRE loan, penalizing a high-risk loan, setting a minimum rate, setting a maximum loan life, and utilizing a combined funds model.

7. The method of claim 6, wherein the private bank data comprises bank historical loan data.

8. The method of claim 2, wherein the bank recommendations comprise:

risk-adjusted return-on-equity suggestions, bank profile settings changes, or user efficiency suggestions.

9. The method of claim 1, wherein the loan data comprises:

a loan amount, a loan rate, a loan fee, a maturity period, an amortization period, an interest only period, a loan purpose code, an amount of noninterest bearing deposits, and a loan risk code.

10. The method of claim 1 further comprising the step of updating the public bank data and the private bank data daily, weekly, monthly, or quarterly.

11. The method of claim 1, wherein:

a. the loan evaluation computer code further comprises a bank dashboard; and

b. the method further comprises the step of reporting to the bank via the bank dashboard aggregate customer acquisition statistics and aggregate risk-adjusted return-on-equity.

12. An out-of-the-box computer implemented method of processing a loan request comprising the steps of:

a. providing computing device associated with a bank;

b. loading the bank computing device with a loan evaluation computer code, the loan evaluation computer code comprising;

i. an interface for accepting a loan request containing loan data.

ii. preloaded bank profile settings,

iii. loan evaluation model, and

iv. a recommendation engine;

c. receiving by the bank computing device, a loan request containing loan data;

d. receiving by the bank computing device public bank data;

e. evaluating by the bank computing device, the loan request;

f. displaying by the bank computing device, an output representing profitability of the loan request; and

g. generating by the bank computing device, user recommendations

13. The method of claim 12 further comprising the step of generating by the bank computing device, bank recommendations based on the loan data, the public bank data, and the preloaded bank profile settings.

14. The method of claim 13, wherein the bank recommendations comprise:

risk-adjusted return-on-equity suggestions;

bank profile settings changes; and

/or user efficiency suggestions.

15. The method of claim 12, wherein the public bank data comprises bank performance data and market data.

16. The method of claim 15, wherein the public bank data comprises UBPR or call reports.

17. The method of claim 12 further comprising the step of configuring the preloaded bank profile settings by the bank by selecting one or more settings from the group consisting of:

penalizing a CRE loan, penalizing a high-risk loan, setting a minimum rate, setting a maximum loan life, and utilizing a combined funds model.

18. The method of claim 12 further comprising the step of updating the public bank data daily, weekly, monthly, or quarterly.

19. A computer implemented method of processing a loan request comprising the steps of:

a. providing computing device associated with a bank;

b. loading the bank computing device with a loan evaluation computer code, the loan evaluation computer code comprising;

i. an interface for accepting a loan request containing loan data,

ii. an interface for accepting public bank data,

iii. an interface for accepting private bank data,

iv. a loan evaluation model, and

v. a recommendation engine;

c. receiving by the bank computing device, a loan request containing loan data, the loan data comprising loan amount, a loan rate, a loan fee, a maturity period, an amortization period, an interest only period, a loan purpose code, and an amount of noninterest bearing deposits;

d. receiving by the bank computing device, public bank data comprising market data, a UBPR report, and a call report;

e. receiving by the bank computing device, private bank data comprising bank historical data and bank profile settings;

f. evaluating by the bank computing device, the loan request using the loan data, the public bank data, and the private bank data

g. displaying by the bank computing device, a risk-adjusted return-on equity and a customer acquisition probability;

h. generating by the bank computing device, user recommendations based on the loan data, the public bank data, and the private bank data, the user recommendations comprising risk-adjusted return-on-equity suggestions; and

i. generating by the bank computing device, bank recommendations based on the loan data, the public bank data, and the private bank data, the bank recommendations comprising bank profile settings changes or user efficiency suggestions.

20. The method of claim 19 further comprising the step of updating the public bank data and the private bank data daily, weekly, monthly, or quarterly.