Systems and methods for decisioning or approving a financial credit account based on a customer's check-writing behavior

• US 7,556,192 B2
• Filed: 08/04/2005
• Issued: 07/07/2009
• Est. Priority Date: 08/04/2005
• Status: Active Grant

• Current Assignee: Capital One Services LLC (Capital One Financial Corporation)
• Original Assignee: Capital One Financial Corporation
• Inventors: Wokaty, Robert Dwane Jr.
• Primary Examiner(s): LE, THIEN MINH
• Application Number:
  US11/196,416
• Publication Number:
  US 20070033135A1
• Time in Patent Office: 1,433 Days
• Field of Search: 235/379, 235/375, 235/380, 235/382, 235/385.5, 705/35, 705/38
• US Class Current: 235/379
• CPC Class Codes: G06Q 40/03 Credit; Loans; Processing thereof
• CPC Class Codes: G06Q 40/08 Insurance

Abstract

Embodiments consistent with the invention provide a computer-implemented method for determining a credit risk associated with a customer. The method comprises receiving a credit request from the customer, electronically requesting check-writing behavior information associated with the customer, electronically determining the credit risk of the customer based at least in part on the check-writing behavior information associated with the customer, and presenting a determination of credit eligibility based on the credit risk to the customer.

Claims

1. A computer-implemented method for determining a credit risk associated with a customer, comprising:

receiving a credit request from the customer,

wherein the credit request includes demographic information related to the customer and includes a request for at least one of an installment loan, a credit card product, an auto loan, or a mortgage;

electronically receiving check-writing behavior information associated with the customer, wherein the check-writing behavior information includes information regarding whether the customer is associated with one or more bad checks;

electronically receiving credit bureau information reflecting a credit worthiness of the customer determined by a credit bureau;

electronically determining the credit risk of the customer for the credit request based on a determined combination of factors related to the demographic information, the check-writing behavior information associated with the customer, and the credit bureau information;

determining a credit eligibility for the customer based on the determined credit risk; and

presenting the determination of credit eligibility to the customer.

2. The method of claim 1, wherein the steps of electronically receiving check-writing behavior information, electronically determining the credit risk of the customer, determining a credit eligibility for the customer, and presenting the determination of credit eligibility are repeated after a predetermined time to re-evaluate the credit risk associated with the customer.

3. The method of claim 2, wherein information regarding a number of payments made by the customer during a billing cycle is considered in re-evaluating the credit risk associated with the customer.

4. The method of claim 2, wherein re-evaluating the credit risk associated with the customer comprises analyzing the check-writing behavior information including information regarding at least one of a time when payments by the customer are made during a billing cycle or a monetary amount for the payments made by the customer.

5. The method of claim 2, wherein the method further comprises providing, after re-evaluating the credit risk associated with the customer, an incentive to the customer to pay down an account associated with the customer.

6. The method of claim 1, further comprising:

determining a credit model based on an analysis of different combinations of the factors associated with the demographic information and check-writing behavior information associated with the customer; and

identifying the determined combination of factors based on the credit model.

7. The method of claim 1, wherein determining the credit eligibility for the customer includes:

determining the credit eligibility for the customer based on the determined credit risk and a group credit risk score for the customer, wherein the group credit risk score reflects a credit risk associated with a number of customers that have similar credit risks.

8. The system of claim 1, wherein the component that determines the credit eligibility for the customer includes:

a component that determines the credit eligibility for the customer based on the determined credit risk and a group credit risk score for the customer, wherein the group credit risk score reflects a credit risk associated with a number of customers that have similar credit risks.

9. A system for determining a credit risk associated with a customer, comprising:

a component that receives a credit request from the customer,

wherein the credit request includes demographic information related to the customer and includes a request for at least one of an installment loan, a credit card product, an auto loan, or a mortgage;

a component that electronically receives check-writing behavior information associated with the customer, wherein the check-writing behavior information includes information regarding whether the customer is associated with one or more bad checks;

a component that electronically receives credit bureau information reflecting a credit worthiness of the customer determined by a credit bureau;

a component electronically determines the credit risk of the customer for the credit request based on a determined combination of factors related to the demographic information, the check-writing behavior information associated with the customer, and the credit bureau information;

a component that determines a credit eligibility for the customer based on the determined credit risk; and

a component for presenting the determination of credit eligibility to the customer.

10. The system of claim 9, further comprising:

a component that re-evaluates the credit risk associated with the customer after a predetermined time by implementing the components that electronically request check-writing behavior information, electronically determine the credit risk of the customer, determine a credit eligibility for the customer, and present the determination of credit eligibility to the customer.

11. The system of claim 10, wherein information regarding a number of payments made by the customer during a billing cycle is considered by the component that re-evaluates the credit risk associated with the customer.

12. The system of claim 10, wherein the component that re-evaluates the credit risk associated with the customer comprises a component that analyzes the check-writing behavior information including information regarding at least one of a time when payments by the customer are made during a billing cycle or a monetary amount for the payments made by the customer.

13. The system of claim 10, further comprising a component that provides, after re-evaluating the credit risk associated with the customer, an incentive to the customer to pay down an account associated with the customer.

14. The system of claim 9, further comprising:

a component for determining a credit model based on an analysis of different combinations of the factors associated with the demographic information and check-writing behavior information associated with the customer; and

identifying the determined combination of factors based on the credit model.

15. A computer readable storage medium storing a program for that, when executed by a processor, performs a method for determining a credit risk associated with a customer, the method comprising:

receiving a credit request from the customer,

wherein the credit request includes demographic information related to the customer and includes a request for at least one of an installment loan, a credit card product, an auto loan, or a mortgage;

receiving check-writing behavior information associated with the customer, wherein the check-writing behavior information includes information regarding whether the customer is associated with one or more bad checks;

receiving credit bureau information reflecting a credit worthiness of the customer determined by a credit bureau;

determining the credit risk of the customer for the credit request based on a determined combination of factors related to the demographic information, the check-writing behavior information associated with the customer, and the credit bureau information;

determining a credit eligibility for the customer based on the determined credit risk; and

presenting the determination of credit eligibility to the customer.

16. The computer readable storage medium of claim 15, wherein the method steps of electronically receiving check-writing behavior information, electronically determining the credit risk of the customer, determining a credit eligibility for the customer, and presenting the determination of credit eligibility are repeated after a predetermined time to re-evaluate the credit risk associated with the customer.

17. The computer readable storage medium of claim 16, wherein information regarding a number of payments made by the customer during a billing cycle is considered in re-evaluating the credit risk associated with the customer.

18. The computer readable storage medium of claim 16, wherein re-evaluating the credit risk associated with the customer comprises analyzing the check-writing behavior information including information regarding at least one of a time when payments by the customer are made during a billing cycle or a monetary amount for the payments made by the customer.

19. The computer readable storage medium of claim 16, wherein the method further comprises providing, after re-evaluating the credit risk associated with the customer, an incentive to the customer to pay down an account associated with the customer.