Customized consumer loan product search system and method

• US 8,666,885 B1
• Filed: 11/15/2012
• Issued: 03/04/2014
• Est. Priority Date: 03/27/2006
• Status: Expired due to Fees

• Current Assignee: Loaninsights LLC
• Original Assignee: Loaninsights LLC
• Inventors: Strike, Jonathan, Bramlage, William
• Primary Examiner(s): Poinvil, Frantzy
• Application Number:
  US13/678,230
• Time in Patent Office: 474 Days
• Field of Search: 705 10- 44
• US Class Current: 705/38
• 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 40/12 Accounting

Abstract

A method and system for using Loan Level Pricing Adjustments corresponding to specific consumer input to determine or calculate the interest rates of a plurality of loan products, comprising searching from a plurality of available, relevant loan products with associated pricing, wherein the searching is based on input consumer criteria, and includes creating and updating a centralized and searchable database of lenders'"'"' underwriting and pricing guidelines that can be utilized by a consumer; and matching and optimization of loan products or pricing for a consumer wherein the consumer'"'"'s qualifications and needs are matched to the best available loan products with associated rate pricing and wherein the system comprises a single or plurality of wireless handheld devices each comprising an interactive interface through which are communicable customer attributes, and through which are returned results of determined or calculated customer eligibility.

Claims

1. In a computer automated system comprising a processing unit and a memory element having instructions encoded thereon, a method for using Loan Level Pricing Adjustments corresponding to specific consumer input to determine or calculate the interest rates of a plurality of loan products, the method comprising:

creating, organizing, and updating a centralized and searchable lender database or databases comprised of a plurality of lending institutions'"'"' interest rate pricing for loan products, wherein the steps of creating, organizing and updating further comprise;

aggregating interest rate matrices or grids and Loan Level Pricing Adjustment information for the loan products obtained from each lender, wherein said aggregation from a plurality of lending institution'"'"'s interest rate matrices or grids and Loan Level Pricing Adjustments forms part of the searchable and centralized database or databases for use in determining the interest rates for a consumer;

determining or calculating interest rates for the loan products for said consumer based on input consumer criteria and corresponding Loan Level Pricing Adjustments.

2. The method of claim 1 wherein a first subset database and all subsequent lender subset databases are comprised of interest rate pricing that is uniformly collected from each individual lender and is then modified as necessary, organized, and stored in conjunction with like criteria from all other lending institutions.

3. The method of claim 1 further comprising receiving and updating a first lender subset database and one or more subsequent lender subset databases from said plurality of lending institutions.

4. The method of claim 1 further comprising the step of allowing an additional lending institution to contribute that lending institution'"'"'s subset database of interest rates and Loan Level Pricing Adjustments to a loan broker lender database.

5. The method of claim 1 wherein a first lender subset database and all subsequent lender subset databases are organized into a numerical loan broker database matrix with resulting data comprising the aggregated baseline criteria obtained from each subset database required for determining loan pricing.

6. The method of claim 1 wherein determining interest rates further comprises:

performing one or more calculations using the consumer information to obtain credit related values; and

creating a consumer profile comprising consumer information and the results of credit related value calculations.

7. The method of claim 6, wherein consumer information comprises loan and property information, income information, or credit information.

8. The method of claim 7 further comprises receiving credit information by a centralized web server via the Internet.

9. The method of claim 6, wherein the credit related value calculations performed by an additional computer or device comprise loan-to-value ratio (LTV), combined loan-to-value ratio (CLTV), front debt-to-income ratio (DTI), back debt-to-income (DTI), disposable income, principal, interest, property taxes, PITI (principal, interest, taxes, and insurance) reserves, number of late payments, time since bankruptcy, time since consumer credit counseling, or time since foreclosure or notice of default.

10. The method of claim 6 further comprising the step of encrypting consumer identification and the consumer information.

11. The method of claim 1 further comprising defining by each lending institution, their own baseline criteria, and wherein aggregating comprises aggregating the baseline criteria from each institution, wherein the baseline criteria is comprised in the minimum compliance level of data, which is defined by each of said lending institutions, such that each lending institution may have different criteria for defining said minimum compliance level of data.

12. The method of claim 11 wherein said baseline criteria comprised in the minimum compliance level of data is required for determining loan eligibility and pricing, uniformly collected from each individual lender, and then modified, organized, and stored in conjunction with like criteria collected from each other lending institution.

13. The method of claim 12 wherein the said baseline criteria further comprises at least one of credit score, loan amount, down payment, loan-to-value ratio (LTV), combined loan-to-value ratio (CLTV), front debt-to-income (DTI), back debt-to-income (DTI), payment history, bankruptcy history, foreclosure history/information, use of proceeds, property type, occupancy type, property location, and documentation type.

14. The method of claim 13 wherein the said baseline criteria further comprises at least one of cash-out amount, PITI (principal, interest, taxes, and insurance) reserve requirements, tradelines, notice of default history/information, interest only versus fully amortizing, product terms, lien position, and employment type.

15. The method of claim 1 wherein the interest rates are determined using input consumer credit score, scores, ranges of scores, or credit self-ranking.

16. The method of claim 1 wherein the interest rates are determined using input type of property.

17. The method of claim 1 wherein the interest rates are determined using input occupancy type.

18. The method of claim 1 wherein the interest rates are determined using calculated loan-to-value ratio (LTV) or combined loan-to-value ratio (CLTV).

19. A computer automated system for determining or calculating the interest rates of a plurality of available loan products using Loan Level Pricing Adjustments corresponding to specific consumer input criteria, the system comprising a processing unit and a memory element having instructions encoded thereon, wherein the instructions cause the computer automated system to:

create, organize, and update a centralized and searchable lender database or databases comprised of a plurality of lending institutions'"'"' interest rate pricing for loan products;

aggregate interest rate matrices or grids and Loan Level Pricing Adjustment information obtained from each subset database, wherein said aggregation from a plurality of lending institutions'"'"' aggregate interest rate matrices or grids and Loan Level Pricing Adjustments forms part of the searchable and centralized database or databases for use determining the interest rates for a consumer; and

determine or calculate interest rates for said loan products for a consumer based on input consumer criteria and corresponding Loan Level Pricing Adjustments.

20. The computer automated system of claim 19 wherein first and subsequent lender databases are comprised in at least one of an automatically and manually updatable centralized web server.

21. The computer automated system of claim 19 wherein a first lender subset database and all subsequent lender subset databases are organized into a numerical loan broker database matrix functioning as limits with resulting data comprising aggregated baseline criteria obtained from each subset database required for determining loan pricing.

22. The computer automated system of claim 19 wherein the instructions encoded thereon that cause the system to match and optimize loan products or pricing for the consumer, further cause the system to:

perform one or more calculations using the consumer information to obtain credit related values; and

create a consumer profile comprising consumer information and the results of credit related value calculations.

23. The computer automated system of claim 22, wherein the instructions encoded thereon further cause the system to receive credit information from a centralized web server.

24. The computer automated system of claim 22 wherein the instructions encoded thereon further cause the system to encrypt consumer identification and the consumer information.