Method and system for updating a loan portfolio with information on secondary liens

• US 7,809,635 B2
• Filed: 08/04/2006
• Issued: 10/05/2010
• Est. Priority Date: 08/05/2005
• Status: Active Grant

• Current Assignee: Corelogic Solutions LLC (CoreLogic Incorporated)
• Original Assignee: CoreLogic Information Solutions Incorporated (CoreLogic Incorporated)
• Inventors: Cagan, Christopher L., Crawford, Charles E. Jr., Gussmann, David
• Primary Examiner(s): Colbert; Ella
• Assistant Examiner(s): OJIAKU, CHIKAODINAKA
• Application Number:
  US11/499,341
• Publication Number:
  US 20070033126A1
• Time in Patent Office: 1,523 Days
• Field of Search: 705/38, 705/4, 235/80
• 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
• CPC Class Codes: G06Q 40/06 Asset management; Financial planning or analysis
• CPC Class Codes: G06Q 40/08 Insurance
• CPC Class Codes: G06Q 50/16 Real estate

Abstract

A computer-based method of updating a client loan portfolio with information on secondary liens relatable to portfolio properties includes inputting property data from the portfolio, monitoring a secondary lien database for secondary liens relatable to the property data, and notifying the client if a secondary lien is detected. Notifying the client may include generating a secondary lien report containing an AVM score or a CLTV ratio, and updating the portfolio by generating a new version of the portfolio that includes secondary liens detected during monitoring. A system may include a client station for inputting data for monitoring, an FTP server for uploading the data from the client station, and a mainframe server for standardizing the data, searching databases for secondary liens, calculating the AVM score and CLTV ratio, and generating the secondary lien report for delivery to the client station via the FTP server.

Claims

1. A computer-based method of updating a loan portfolio with information on secondary liens, comprising:

inputting, using a computer, property data from a client loan portfolio for client loans to be monitored;

iteratively monitoring, using the computer, one or more databases for secondary liens relatable to the client loans to be monitored; and

if a previously undetected secondary lien relatable to the client loans to be monitored is detected,

computing an automated valuation model (AVM) score,

computing a combined loan-to-value (CLTV) score based on the previously undetected secondary lien and the AVM score, and

generating a secondary lien report including the CLTV score.

2. The method of claim 1 further comprising updating the input property data from the client loan portfolio according to information contained in the secondary lien report.

3. The method of claim 2 wherein the updating step further comprises sending the secondary lien report to a client upon client demand.

4. The method of claim 3 further comprising if a secondary lien relatable to the client loans to be monitored is detected, obtaining credit report information based on the borrower identification data.

5. The method of claim 3 further comprising:

detecting tax delinquency data from the one or more databases; and

sending the tax delinquency data to the client with the secondary lien report.

6. The method of claim 2 wherein the input property data is received as an electronic file, and wherein the updating step further comprises generating a new version of the electronic file to include secondary liens detected during the monitoring step.

7. The method of claim 1 further comprising, prior to the monitoring step, extracting borrower identification data from the input property data.

8. The method of claim 1 wherein one of the one or more monitoring frequencies is based on a reference interest rate.

9. The method of claim 1 wherein one of the one or more monitoring frequencies is based on an amount of credit card debt of a property owner in the property data.

10. The method of claim 1 wherein the secondary lien report includes at least one of notice of foreclosure, foreclosure rescission or final judgment.

11. The method of claim 1 further comprising the step of detecting tax delinquency data from the one or more databases.

12. The method of claim 1 wherein the step of computing the CLTV score includes computing the CLTV score based on the detected tax delinquency data, the AVM, and the previously undetected secondary lien.

13. A computer-based method of updating a loan portfolio with information on secondary liens, comprising:

receiving property data from a client loan portfolio;

iteratively monitoring for secondary liens relatable to the property data;

detecting previously undetected secondary liens; and

computing a combined loan-to-value (CLTV) score which includes the total loan amount based on the original loan and any previously undetected secondary liens divided by a valuation provided by an automated valuation model (AVM) using the computer; and

creating a report including the CLTV score when a previously undetected secondary lien is detected.

14. The method of claim 13 wherein the property data comprises an address of a property.

15. A tangible, computer readable medium comprising program instructions, wherein the program instructions cause a computer to:

receive property data from a client loan portfolio;

iteratively monitor for secondary liens relatable to the property data;

detect previously undetected secondary liens;

compute a combined loan-to-value (CLTV) score which includes the total loan amount based on the original loan and any previously undetected secondary liens divided by a valuation provided by an automated valuation model (AVM); and

create a report including the CLTV score when a previously undetected secondary lien is detected.