System and method of detecting and assessing multiple types of risks related to mortgage lending
First Claim
1. A system for detecting and assessing lending risks, the system comprising:
- a computer system comprising one or more computing devices, the computer system programmed, via executable code modules, to implement;
a combined risk detection model for detecting and assessing data indicative of a plurality of risks in loan application data, the combined risk detection model adapted to receive as input a plurality of input features extracted from two or more of a plurality of risk detection models, the plurality of risk detection models comprising;
a fraud model that detects the presence of data indicative of fraud in the loan application data, the fraud model configured to generate a fraud model score that is indicative of the presence of fraud in the loan application data;
a multi-component risk model that assesses risks associated with a loan referenced by the loan application data, the multi-component risk model based at least in part on external data not within the loan application data, the multi-component risk model configured to generate a multi-component risk score indicative of risk associated with the loan; and
a default risk model that detects the presence of data indicative of a risk of early payment default in the loan application data, the default risk model configured to generate a default risk score indicative of the risk of early payment default,wherein the computer system is further programmed to;
determine combinability of the plurality of risk detection models based at least partly on evaluating predictive performance of scores from one or more combinations of the risk detection models against historical transactions data; and
extracting input features from the risk detection models that are determined to be combinable, the input features created from a mathematical combination of the scores and additional data, wherein the scores from the models determined to be combinable include one or more of the fraud model score, the multi-component risk score, or the default risk score;
generate a composite risk score based at least in part on the scores from the models determined to be combinable and the extracted input features; and
a score reporting module that reports the composite risk score generated by the combined risk detection model.
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Accused Products
Abstract
Embodiments include systems and methods of detecting and assessing multiple types of risks related to mortgage lending. One embodiment includes a system and method of detecting and assessing risks including fraud risks, early payment default risks, and risks related to fraudulently stated income on loan applications. One embodiment includes a computerized method that includes creating a combined risk detection model based on a plurality of risk detection models and using the combined risk detection model to evaluate loan application data and generate a combined risk score that takes into account interaction of different types of risks individually and collectively detected by the plurality of risk detection models.
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Citations
28 Claims
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1. A system for detecting and assessing lending risks, the system comprising:
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a computer system comprising one or more computing devices, the computer system programmed, via executable code modules, to implement; a combined risk detection model for detecting and assessing data indicative of a plurality of risks in loan application data, the combined risk detection model adapted to receive as input a plurality of input features extracted from two or more of a plurality of risk detection models, the plurality of risk detection models comprising; a fraud model that detects the presence of data indicative of fraud in the loan application data, the fraud model configured to generate a fraud model score that is indicative of the presence of fraud in the loan application data; a multi-component risk model that assesses risks associated with a loan referenced by the loan application data, the multi-component risk model based at least in part on external data not within the loan application data, the multi-component risk model configured to generate a multi-component risk score indicative of risk associated with the loan; and a default risk model that detects the presence of data indicative of a risk of early payment default in the loan application data, the default risk model configured to generate a default risk score indicative of the risk of early payment default, wherein the computer system is further programmed to; determine combinability of the plurality of risk detection models based at least partly on evaluating predictive performance of scores from one or more combinations of the risk detection models against historical transactions data; and extracting input features from the risk detection models that are determined to be combinable, the input features created from a mathematical combination of the scores and additional data, wherein the scores from the models determined to be combinable include one or more of the fraud model score, the multi-component risk score, or the default risk score; generate a composite risk score based at least in part on the scores from the models determined to be combinable and the extracted input features; and a score reporting module that reports the composite risk score generated by the combined risk detection model. - View Dependent Claims (2, 3, 4, 5, 6, 7, 8, 9, 10, 11, 12, 27, 28)
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13. A computerized method of detecting and assessing mortgage lending risks, the method comprising:
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receiving, on a physical computer processor, mortgage transaction data that includes loan application data and historical transactions data; determining, on a physical computer processor, combinability of a plurality of risk detection models, the determining comprising determining predictive performance of scores from one or more combinations of the risk detection models as compared to the historical transactions data, wherein the plurality of risk detection models further comprise two or more of; an income fraud detection model that detects the presence of data indicative of fraud in income data within the mortgage transaction data, the income fraud detection model generating an income fraud score indicative of fraud in the income data; a default risk model that detects a risk of payment default in the mortgage transaction data, the default risk model generating a default risk score indicative of the risk of payment default; and a multi-component risk model that detects risks in loan transactions, the multi-component risk model further comprising scores from one or more of the following components;
a collateral component, a broker component, a borrower component, and a market component, themulti-component risk model generating a multi-component risk score indicative of risk in the mortgage transaction data; extracting, on a physical computer processor, input features from the risk detection models that are determined to be combinable, the input features created from a mathematical combination of the scores and additional data; applying, on a physical computer processor, a combined risk detection model to the mortgage transaction data to generate a composite risk score, wherein the combined risk detection model is configured to receive the extracted input features from the plurality of risk detection models determined to be combinable and mortgage transaction data not output by the risk detection models, the extracted input features further being selected as based at least in part on a modeling method used to construct the combined risk detection model; generating, on a physical computer processor, a report including the composite risk score generated by the combined risk detection model. - View Dependent Claims (14, 15, 16, 17, 18, 19, 20, 21, 22)
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23. A method for creating a model for detecting loan risks, the method comprising:
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receiving loan transaction data linked with historical loan performance data related to risks including fraud and default risks; executing a plurality of risk detection models on the loan transaction data to obtain a respective model score from each of a plurality of risk detection models, wherein the plurality of risk detection models further comprise two or more of; a fraud model that detects the presence of data indicative of fraud, the fraud model derived from loan transaction data, the fraud model generating a fraud score indicative of the presence of fraud in the loan transaction data; a multi-component risk model that detects risks in loan transactions, the multi-component risk model based at least in part on data external to the loan application data including credit data and public records data, the multi-component risk model generating a multi-component risk score indicative of the risk in the loan transaction data; and a default risk model that detects the presence of data indicative of a risk of early payment default, the default risk model generating a default risk score indicative of the risk of early payment default; determining the combinability of the plurality of risk detection models based at least partly on evaluating predictive performance of scores from one or more combinations of the risk detection models against the historical loan performance data; extracting input features from the risk detection models that are determined to be combinable, the input features created from a mathematical combination of the scores and additional data, wherein the scores from the risk detection models determined to be combinable include one or more of the fraud score, the multi-component risk score, or the default risk score; and constructing a combined risk detection model based on the extracted input features, the receiving, executing, determining, extracting, and constructing performed by a computer system that comprises one or more computing devices. - View Dependent Claims (24, 25, 26)
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Specification