System and method for processing data pertaining to financial assets

• US 9,928,546 B2
• Filed: 09/12/2012
• Issued: 03/27/2018
• Est. Priority Date: 12/30/2002
• Status: Active Grant

• Current Assignee: Fannie Mae
• Original Assignee: Fannie Mae
• Inventors: Oppenheimer, Dror, Bastnagel, Maryann, Nixon, Jr., William P.
• Primary Examiner(s): Baird, Edward J
• Application Number:
  US13/612,752
• Publication Number:
  US 20130066765A1
• Time in Patent Office: 2,022 Days
• Field of Search: 705 35- 40
• CPC Class Codes: G06Q 20/382 insuring higher security of transaction
• 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

Abstract

A method of processing data in connection with a security is provided. The security is collateralized by a plurality of home mortgage loans or by portions of the plurality of home mortgage loans. The method comprises generating payment projections regarding principal and interest payment projections for the plurality of home mortgage loans; determining that the payment projections have errors; and modifying loan characteristic data to eliminate errors in the loan characteristic data that cause errors in the payment projections. According to another embodiment, a method comprises receiving payment data regarding the plurality of loans a plurality of times separated by a plurality of days during the reporting cycle. Each time the payment data is received, the payment data is processed and the opportunity to make corrections is provided.

Claims

1. A method of processing data in connection with a security, the security being collateralized by a plurality of home mortgage loans or by portions of the plurality of home mortgage loans, the method comprising:

retrieving, via servicer and investor reporting logic of a data processing system, a first set of loan characteristic data for a plurality of home mortgage loans, the first set of loan characteristic data comprising loan characteristics, including historical loan level data and loan interest rate data;

decomposing the plurality of home mortgage loans into cash flows;

mapping the cash flows to one or more packets, the one or more packets structured to build linkages between assets associated with the plurality of home mortgage loans;

generating, via the servicer and investor reporting logic, payment projections regarding principal and interest payments for the plurality of home mortgage loans based on the first set of loan characteristic data;

retrieving, via the servicer and investor reporting logic, a second set of loan characteristic data for the plurality of home mortgage loans, the second set of loan characteristic data comprising updated values for the same types of loan characteristics retrieved for the first set of loan characteristic data, wherein the first set of loan characteristic data and the second set of loan characteristic data is received by the data processing system in real-time, and wherein temporal information associated with the first set of loan characteristic data and the second set of loan characteristic data is synchronized between acquisition logic, securitization logic, and the servicer and investor reporting logic;

determining, via the servicer and investor reporting logic, whether the payment projections have errors, the errors in the payment projections arising from discrepancies in the loan interest rate data in the first set of loan characteristic data relative to loan interest rate data in the second set of loan characteristic data;

alerting, via the servicer and investor reporting logic, a loan servicer upon determining errors in the payment projections;

generating, via the servicer and investor reporting logic, a new first set of loan characteristic data by incorporating the second set of loan characteristic data into the new first set of loan characteristic data;

generating, via the servicer and investor reporting logic, a report including the first set of loan characteristic data and the new first set of loan characteristic data;

providing, via a graphical user interface displayed in a computer system comprising the servicer and investor reporting logic, the payment projections to the loan servicer; and

providing, via the graphical user interface displayed in the computer system comprising the servicer and investor reporting logic, a tool usable by the loan servicer, wherein the tool is configured to access at least one of the first set of loan characteristic data, the new first set of loan characteristic data, and the second set of loan characteristic data and provide information regarding proposed corrections.

2. A method according to claim 1, wherein the determining step further comprises receiving information from the loan servicer indicating that the at least one of the first set of loan characteristic data and the second set of loan characteristic data has errors.

3. A method according to claim 1, further comprising

receiving payment projections from the loan servicer corresponding to the payment projections generated during the generating step;

and

identifying for the loan servicer individual loans in which discrepancies exist between the payment projections from the loan servicer and the payment projections generated during the generating step.

4. A method according to claim 1, further comprising identifying for the loan servicer individual loans corresponding to the errors detected at the determining step.

5. A method according to claim 1,

wherein the security has a reporting cycle in which reports relating to the principal and interest payments for the plurality of home mortgage loans are generated for investors in the security;

and

wherein the method further comprises providing the payment projections to the loan servicer more than one week prior to the reports being generated for the investors.

6. A method according to claim 5, wherein the reports for the investors are generated at an end of the reporting cycle and wherein the payment projections are provided at a beginning of the reporting cycle or during a prior reporting cycle.

7. A method according to claim 1,

wherein the security has a reporting cycle in which reports relating to the principal and interest payments for the plurality of home mortgage loans are generated for investors in the security;

and

wherein the method further comprises receiving principal and interest payment data for the plurality of home mortgage loans, the receiving step being performed less than one week prior to the reports being generated for the investors.

8. A method according to claim 1, further comprising receiving payment data regarding the plurality of home mortgage loans, and wherein only loan level data is received and security-level data is not received from the loan servicer.

9. A method according to claim 1, wherein determining whether the payment projections have errors comprises identifying at least one interest rate error, the at least one interest rate error arising from a discrepancy between loan interest rate data in the first set of loan characteristic data and loan interest rate data in the second set of loan characteristic data.

10. A method according to claim 1, wherein the errors are caused by discrepancies between an interest rate change calculation in the first set of loan characteristic data and an interest rate change calculation in the second set of loan characteristic data.

11. A method of processing data in connection with a security, the security being collateralized by a plurality of home mortgage loans or by portions of the plurality of home mortgage loans, the method comprising:

maintaining, via a data processing system, a set of loan characteristic data for the plurality of home mortgage loans, the set of loan characteristic data comprising historic loan level data and interest rate data;

receiving, via servicer and investor reporting logic, a first set of payment data from a loan servicer for the plurality of home mortgage loans, the first set of payment data being pertinent to a payment cycle;

performing, via the servicer and investor reporting logic, a first error correction in connection with the plurality of home mortgage loans based on the first set of payment data, the first error correction resolving errors arising from discrepancies in interest rate data in the set of loan characteristic data relative to the first set of payment data;

receiving, via the servicer and investor reporting logic, a second set of payment data from the loan servicer for the plurality of home mortgage loans, the second set of payment data being pertinent to the payment cycle, the second set of payment data being received on a day which is one or more days closer to a security reporting deadline than the first set of payment data, wherein the first set of payment data and the second set of payment data is received by the data processing system in real-time, and wherein temporal information associated with the first set of payment data and the second set of payment data is synchronized between acquisition logic, securitization logic, and the servicer and investor reporting logic;

performing, via the servicer and investor reporting logic, a second error correction in connection with the plurality of home mortgage loans based on the second set of payment data;

decomposing the plurality of home mortgage loans into cash flows;

mapping the cash flows to one or more packets, the one or more packets structured to build linkages between assets associated with the plurality of home mortgage loans;

alerting, via a graphical user interface displayed in a computer system comprising the servicer and investor reporting logic, the loan servicer upon determining interest rate data errors;

generating, via the servicer and investor reporting logic, a report including the set of loan characteristic data, and the first error correction and the second error correction to the set of loan characteristic data;

providing, via the graphical user interface displayed in the computer system comprising the servicer and investor reporting logic, a tool usable by the loan servicer, the tool configured to access the set of loan characteristic data and provide information regarding proposed corrections; and

generating, via the servicer and investor reporting logic, a new set of loan characteristic data to eliminate errors in the set of loan characteristic data based on the information regarding proposed corrections.

12. A method of processing data in connection with a security, the security being collateralized by a plurality of home mortgage loans or by portions of the plurality of home mortgage loans, the security having a reporting cycle in which reports are generated for investors in the security, the method comprising:

maintaining, via a data processing system, a set of loan characteristic data describing characteristics of the plurality of home mortgage loans, including interest rate data;

receiving, via servicer and investor reporting logic, payment data regarding the plurality of home mortgage loans a plurality of times, each time separated by at least one day during the reporting cycle, the payment data being received from a loan servicer, wherein the set of loan characteristic data and the payment data are received by the data processing system in real-time, and wherein temporal information associated with the set of loan characteristic data and the payment data is synchronized between acquisition logic, securitization logic, and the servicer and investor reporting logic;

each time payment data is received, processing, by the processor, the payment data to produce processed data, the processed data including error information arising from discrepancies between the set of loan characteristic data and the payment data, and providing information regarding the processed data to the loan servicer;

decomposing the plurality of home mortgage loans into cash flows;

mapping the cash flows to one or more packets, the one or more packets structured to build linkages between assets associated with the plurality of home mortgage loans; and

alerting, via a graphical user interface displayed in a computer system comprising the servicer and investor reporting logic, the loan servicer upon producing error information in the processed data;

implementing corrections to the set of loan characteristic data responsive to the errors identified in the processed data;

generating, via the servicer and investor reporting logic, a report including the set of loan characteristic data and the corrections to the set of loan characteristic data;

providing, via a graphical user interface displayed in the computer system comprising the servicer and investor reporting logic, a tool usable by the loan servicer, the tool configured to access the set of loan characteristic data and provide information regarding proposed corrections; and

generating, via the servicer and investor reporting logic, a new set of loan characteristic data to eliminate errors in the set of loan characteristic data based on the information regarding proposed corrections.

13. A method according to claim 12, further comprising generating data regarding expected payments and identifying for the loan servicer individual loans in which discrepancies exist between the payment data received from the loan servicer and the generated data regarding expected payments.

14. A method according to claim 12, wherein the receiving step is performed less than one week prior to the reports being generated for the investors.

15. A method according to claim 12 wherein, during the receiving step, only loan level data is received from the loan servicer, and wherein security-level data is not received from the loan servicer.

16. A method of processing data in connection with a financial asset, associated with cash flow from a mortgage loan, the method comprising:

maintaining, via a data processing system, a set of loan characteristic data describing characteristics of a plurality of home mortgage loans, including interest rate data;

receiving, via servicer and investor reporting logic, payment data regarding the mortgage loan from at least one lender or loan servicer, wherein the set of loan characteristic data and the payment data are received by the data processing system in real-time, and wherein temporal information associated with the set of loan characteristic data and the payment data is synchronized between acquisition logic, securitization logic, and the servicer and investor reporting logic;

processing, via the servicer and investor reporting logic, the payment data to produce processed data, the processed data including error information arising from discrepancies between the set of loan characteristic data and the payment data, and providing information regarding the processed data to the at least one lender or loan servicer;

decomposing the plurality of home mortgage loans into cash flows comprising incoming cash flows and outgoing cash flows;

mapping the cash flows to one or more packets, the one or more packets structured to build linkages between assets associated with the plurality of home mortgage loans;

alerting, via the servicer and investor reporting logic, at least one lender or loan servicer upon producing error information in the processed data;

receiving, via the servicer and investor reporting logic, data related to the errors identified in the processed data from the at least one lender or loan servicer;

implementing, via the servicer and investor reporting logic, corrections to the set of loan characteristic data responsive to the errors identified in the processed data;

generating, via the servicer and investor reporting logic, a report including the set of loan characteristic data and the corrections to the set of loan characteristic data;

providing, via a graphical user interface displayed in a computer system comprising the servicer and investor reporting logic, a tool usable by the at least one lender or loan servicer, wherein the tool is configured to access the set of loan characteristic data and provide information regarding proposed corrections; and

generating, via the servicer and investor reporting logic, a new set of loan characteristic data to eliminate errors in the set of loan characteristic data based on the information regarding proposed corrections.

17. A method according to claim 16, further comprising generating data regarding expected payments and identifying discrepancies between the payment data received from the at least one lender or servicer and the generated data regarding expected payments.