Patent ID: 7599886
Filing Date: 2009-10-06
Classification: G06Q

Abstract:
1. A method of processing loan payments, comprising the acts of: receiving, by an automated system, a loan principal amount, a loan repayment computational time frame, an initial loan interest Index value, and a loan interest value; responsive to said received loan principal amount, said loan repayment computational time frame and said loan interest value, by said automated system, a monthly loan repayment amount, said monthly loan repayment amount including a conventional principal loan repayment component and a conventional loan interest component; responsive to calculating said monthly loan repayment amount, calculating, by said automated system, of a modified loan repayment schedule, said modified loan repayment schedule including a modified monthly principal component value and a modified monthly interest component value, wherein said modified monthly principal component value is calculated as the difference between said conventional principal loan repayment component and an average of all of said calculated monthly conventional principal loan repayment components over said loan repayment computational time frame, and wherein said modified monthly interest component value is calculated as the difference between said conventional loan interest component and an average of all of said calculated monthly conventional loan interest components over said loan repayment computational time frame, and wherein the sum of said calculated modified monthly principal component value and said calculated modified monthly interest component value for said loan repayment computational time frame is equal to the sum of said conventional principal loan repayment component and said conventional loan interest component for said loan repayment computational time frame; receiving said monthly loan repayment amount from a borrower, said loan repayment amount including an amount allocated to said modified monthly principal component value and an amount allocated to said modified monthly interest component value; responsive to receiving each said monthly loan repayment amount from said borrower, transferring said amount allocated to said modified monthly principal component value to an interest bearing account; responsive to receiving each said monthly loan repayment amount from said borrower, computing a present loan interest Index value; computing, by said automated system, of a difference between said initial loan interest Index value and said present loan interest Index value and using said difference, computing a present monthly loan interest value and subsequently computing, by said automated system, of a difference between said modified monthly interest component value and said computed present monthly loan interest value; if said computed difference between said modified monthly interest component value and said computed present monthly loan interest value is a positive value, depositing an amount equal to the difference between interest on said loan principal amount computed using said initial loan interest Index value and interest on said loan computed using said present loan interest Index value into one or more interest-bearing accounts, wherein one half of said deposited amount is allocated to a lender's benefit and one half of said deposited amount is allocated to a borrower's benefit; and if said computed difference between said modified monthly interest component value and said computed present monthly loan interest value is a negative value, determining if there are enough funds in the borrower's benefit portion in said interest-bearing account, if there are enough funds in said borrower's benefit portion in said interest-bearing account, withdrawing the required computed present monthly loan interest value, and if there are not enough funds in said borrower's benefit portion in said interest-bearing account, collecting the required computed present monthly loan interest value from another account or from said borrower.