Get set for loan-level pricing

Article Abstract:

Credit providers, particularly the mortgage sector, are expected to undergo a major transition from an average cost pricing system to a risk-based pricing scheme, as the need for efficient mortgage risk management increases. Risk-based pricing system highlights the use of fully-automated loan evaluation systems necessary to determine the risk associated with a particular mortgage band. Analysts further believe that risk-based pricing system would induce greater competition in the market and also generate more accurate information to consumers and credit providers.

Credit Management, Pricing Policy, Models, Management, Pricing, Loans

---

The future is now: advances in technology drive mortgage process re-engineering

Article Abstract:

Technological developments are predicted to strengthen the ties between computer networks and the mortgage industry. The first technology introduced was the Desktop Underwriter to help mortgage lenders process more loans in shorter time and lesser costs. It was followed by the introduction of Loan Prospector to allow more underwriters to review the loan before a purchase is conducted. Another technology adopted by the industry is credit scoring, which is used for assessing trends in loan quality and consistency in credit decisions.

Innovations, Technology application, Mortgages, Reengineering (Management)

---

Drawing an ellipse around risks

Article Abstract:

An ellipse-shaped joint-probability distribution, also called joint-probability ellipse, results when a company has the tendency to simultaneously confront two damaging financial conditions. The joint-probability ellipse determines the group of situations a company has to focus during stress testing. It can also be utilized in administering capital adequacy by providing a company a more precise picture of its risk exposure.

Mortgage Bankers and Brokers, Mortgage Bankers & Brokers, Mortgage and Nonmortgage Loan Brokers, Risk assessment

Similar abstracts:

• Abstracts: Relative cohort size and inequality in the United States. Academic science and technology in the service of the industry: MIT creates a "permeable" engineering school
• Abstracts: A model of the term structure of interest rates in an open economy with regime shifts. Who drives real interest rates around the Pacific Rim: the USA or Japan?
• Abstracts: Market structure and innovation: a survey of the last twenty years. A household production model of paid labor, household work and child care
• Abstracts: Lebanon: billions in contracts coming up for bid. ... Medium-term strategy and the 1999 program

This website is not affiliated with document authors or copyright owners. This page is provided for informational purposes only. Unintentional errors are possible.