Method of compensating an employee
First Claim
1. A method of compensating an employee, said method comprising:
- accessing one or more data tables located on a data storage system by one or more computer devices comprising at least one processor, said one or more data tables including product data associated with a product, said product being purchased using proceeds of a loan obtained from a loan originator by a borrower for a benefit of said employee, said product comprising a financial instrument that employs or accomplishes a form of risk transfer and has a portion or component having a potential to grow in value over time, said product data including a current gap value associated with said product, and said current gap value representing a difference between a premium paid and a value of said product; and
executing by said at least one processor a plan management module of said one or more computer devices to generate one or more gap enhancement instruments for execution by one or more parties other than said borrower of said loan, said one or more gap enhancement instruments each addressing said current gap value associated with said product, said one or more gap enhancement instruments comprising;
(a) a promissory note for said loan;
(b) a compensation agreement executed by said employee involving said loan;
(c) a collateral assignment of said product executed by said employee;
(d) a pledge agreement pledging an asset to said loan originator as collateral for said loan;
(e) an agreement to postpone payment of a portion of a commission earned on a sale of said product;
(f) a rider on said product waiving a portion of a surrender fee in favor of said loan originator, said surrender fee representing an amount charged in the event said product is surrendered or said borrower defaults on said loan;
(g) an agreement to deposit funds in a reserve account, said funds representing a portion of a surrender fee, said surrender fee representing an amount charged in the event said product is surrendered or said borrower defaults on said loan;
or(h) an agreement by one or more parties other than the borrower, in the event of a surrender or a default, to extend a gap loan to said loan originator in an amount approximately equal to said current gap value, wherein said loan originator'"'"'s repayment obligation to said one or more parties other than the borrower is ultimately secured by a pledged asset.
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0 Petitions
Accused Products
Abstract
A computer system for monitoring and enhancing the collateral security underlying a set of loans is provided, including a system for calculating the unsecured value of the set at any time and for initiating additional collateral enhancement instruments when the unsecured value exceeds a certain limit. The system may include a variety of modules in communication with a relational database for storing data about the loans and system elements. The computer system may also be configured to allocate, manage, and execute the waterfall or cascade of funds between and among the various participants in a financial plan. The invention also includes a structured finance plan and related methods for enhancing the collateral security of a loan obtained for a life insurance or annuity product, and a system and method for managing a portfolio of such loans in order to obtain favorable financing and to facilitate securitization.
73 Citations
21 Claims
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1. A method of compensating an employee, said method comprising:
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accessing one or more data tables located on a data storage system by one or more computer devices comprising at least one processor, said one or more data tables including product data associated with a product, said product being purchased using proceeds of a loan obtained from a loan originator by a borrower for a benefit of said employee, said product comprising a financial instrument that employs or accomplishes a form of risk transfer and has a portion or component having a potential to grow in value over time, said product data including a current gap value associated with said product, and said current gap value representing a difference between a premium paid and a value of said product; and executing by said at least one processor a plan management module of said one or more computer devices to generate one or more gap enhancement instruments for execution by one or more parties other than said borrower of said loan, said one or more gap enhancement instruments each addressing said current gap value associated with said product, said one or more gap enhancement instruments comprising; (a) a promissory note for said loan; (b) a compensation agreement executed by said employee involving said loan; (c) a collateral assignment of said product executed by said employee; (d) a pledge agreement pledging an asset to said loan originator as collateral for said loan; (e) an agreement to postpone payment of a portion of a commission earned on a sale of said product; (f) a rider on said product waiving a portion of a surrender fee in favor of said loan originator, said surrender fee representing an amount charged in the event said product is surrendered or said borrower defaults on said loan; (g) an agreement to deposit funds in a reserve account, said funds representing a portion of a surrender fee, said surrender fee representing an amount charged in the event said product is surrendered or said borrower defaults on said loan;
or(h) an agreement by one or more parties other than the borrower, in the event of a surrender or a default, to extend a gap loan to said loan originator in an amount approximately equal to said current gap value, wherein said loan originator'"'"'s repayment obligation to said one or more parties other than the borrower is ultimately secured by a pledged asset. - View Dependent Claims (2, 3, 4, 5, 6, 7)
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8. A method of compensating an employee, said method comprising:
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accessing one or more data tables located on a data storage system by one or more computer devices comprising at least one processor, said one or more data tables including product data associated with a product, said product being purchased using proceeds of a loan obtained from a loan originator by a borrower for a benefit of said employee, said product comprising a financial instrument that employs or accomplishes a form of risk transfer and has a portion or component having a potential to grow in value over time, said product data including a current gap value associated with said product, and said current gap value representing a difference between a premium paid and a value of said product; and executing by said at least one processor a plan management module of said one or more computer devices to generate one or more gap enhancement instruments for execution by one or more parties other than said borrower, said one or more gap enhancement instruments each addressing said current gap value associated with said product. - View Dependent Claims (9, 10, 11, 12, 13, 14, 15)
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16. A computer program product, comprising a computer readable storage medium having an executable program code stored thereon, wherein said program code instructs a processor to perform steps for compensating an employee, said steps comprising:
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A) accessing one or more data tables and distinct software modules, wherein said one or more data tables are located on a data storage system, wherein said one or more data tables include product data associated with a product, and wherein said distinct software modules comprise a plan management module and a computer program module; B) facilitating obtaining a loan from a loan originator for a borrower; C) facilitating purchasing said product using proceeds of said loan for a benefit of said employee, said product comprising a financial instrument that employs or accomplishes a form of risk transfer and has an invested portion or component having a potential to grow in value over time; and D) generating one or more gap enhancement instruments for execution by one or more parties other than the borrower of said loan, said one or more gap enhancement instruments each designed to address a current gap value associated with said product, said current gap value representing a difference between a premium paid and a value of said product, wherein said generating is performed by said plan management module in response to being called by said computer program module. - View Dependent Claims (17, 18)
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19. A computer system for compensating an employee, said system comprising:
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one or more data tables located on a data storage system, said one or more data tables including product data associated with a product, said product being purchased using proceeds of a loan obtained from a loan originator by a borrower for a benefit of said employee, said product comprising a financial instrument that employs or accomplishes a form of risk transfer and has a portion or component having a potential to grow in value over time, said product data including a current gap value associated with said product, and said current gap value representing a difference between a premium paid and a value of said product; and a processor configured to execute a plan management module configured to generate one or more gap enhancement instruments for execution by one or more parties other than said borrower, said one or more gap enhancement instruments each addressing said current gap value associated with said product. - View Dependent Claims (20, 21)
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Specification