Yes, CU*BASE supports risk based lending. CU*BASE provides tools for pricing loans as based upon the Credit Score/ Paper Grade received. A credit union should check with its applicable credit bureau(s) for Decisioning Products available to facilitate this process.

If a person or organization is added to lending denial of service block list, an employee cannot open a loan under any membership owned by that SSN/TIN. They will see messaging that the “SSN/TIN appears on block list” directly after selecting the membership when attempting to create a loan application for that SSN/TIN in CU*BASE. Additionally, for online loan applications, the loan officer will see messaging “On Fraud Block List” when working an incoming loan application   More...

Yes, using Non-member Notes . These were intended to be a sort of mini-Tracker for non-member records only, and many CUs use them for referral notes and details about loan applications for which the non-member applied but was denied. Check out the related link below for more details on non-member notes in our online help. If the non-member ever becomes a member, those notes can be automatically copied into a Tracker record. In order for this to happen, you will need to adjust your configura  More...

No, the 1Click Offers feature does not specifically support MLA requirements. MLA grants a number of protections for active duty service people and imposes specific requirements on the credit union in granting credit. At the heart of the matter is the calculation of the Military Annual Rate (MAPR) and the disclosures required prior to or at the time of extension of credit. The act requires that a unique APR be calculated incorporating things such as fees and credit life or disability. The MAPR   More...

To exclude persons or organizations on the lending fraud block list from receiving your 1Click Offers, exclude the members on the Block New Loans (BLOCKLNAPP) table/file when creating the list of accounts that will be included in the offer.

Refer to the resources below for more information. Lender*VP My Favorite Dashboards and Reports brochure AuditLink My Favorite Dashboards and Reports brochure (specifically Loan with Interest Due Above Payment Amount and Loan Portfolio Concentration Risk Summary) Automated Reports and Queries booklet Lender*VP Reports and Dashboards training Lender*VP Custom Query services

A discrepancy in the number and amount of loans is because the reports gather the information differently. The Selective Loan Info report (sometimes referred to as the Loan Trial Balance ) is gathering the loans using “Total number of payments” and the Loan Maturity Report is calculating the length of time to maturity from the appropriate date (as specified for “Calculate length of time from maturity from”) and gathering the loans that fall into the maturity ranges ent  More...

These days, electronic communication is becoming more and more vital to your relationship with your members. Start by verifying your credit union's From: email addresses are set up properly. You can use a DNS tool to verify your domain, learn more in this Knowledge Base item . This is where bounced-back emails are delivered, one for loan status change emails (configured as part of your Underwriting Codes and generated by items in your lending queue) and all other general emails that CU*BAS  More...

Within CU*BASE the Participation Lending software is for managing member loans and investor positions. With this the member record is serviced by your credit union and therefore recorded as an actual member loan. If your credit union is purchasing into a loan serviced by someone else and you would like to manage your investment in participation offerings by others, this can be done through the CU*BASE Investments subsidiary software. Some pointers to keep in mind: You will use Tool #993 INV 1:  More...

Unfortunately not all of the files used for Participation Lending reports are run using month-end E files (the EOM snapshot), but rather pull from current participation lending files. When a loan is deleted from Participation all PLLOAN and PLHIST records are deleted with that – this is why rerunning any reports are changed; there is no history to include in those new reports. We recommend the following: Always make sure you create and ARCHIVE the reports needed when processing end of m  More...

There are multiple ways to do this, but here's one of our favorite methods. Launch Tool #1855 Lending Opportunities Dashboard Use the Loans to Analyze button Choose a loan type from the list (Auto Loans, Mortgages, Credit Cards, Unsecured, or Other Secured) and use Enter to return to the dashboard The top two thirds of the screen shows statistics from your portfolio for that type of loan The bottom third of the screen will show opportunities, divided into two groups: members without that  More...

You can add an entry to the new membership fraud block list as an individual or organization. This fraud block list is different than other service denial lists in that it allows you to enter a name on the list without a Social Security Number. See more about the rules for adding a name to the new membership list in the other topic linked to this Answer Book item. This fraud block list is designed as a supplement to the “Deny Membership” check box available on the non-member recor  More...

The following services and transactions can be denied with a denial of service block list or transaction attribute block list. All lists are accessed from Tool #892 Update Fraud Alert/Blocked Persons List . Denial of Service Block Lists Bill Pay enrollment (all vendors) P2P (Person to Person) enrollment (all vendors) Outgoing wire transfers (performing a wire transfer) Incoming wire transfers (performing a wire transfer) Online/mobile banking (enrollment) Lending (creating a loan application   More...

It can prove to be time-intensive to task your lending professionals to work incomplete loan applications from members via online banking. Your credit union now has the option to move these applications to another tool. Through this change in procedure, you can assign the task of following up on leads to another team, such as your call center. First, ensure you have configured a loan delivery channel code for “incomplete application” for the HB Online Banking delivery channel in Tool  More...

A file is sent each night to all indirect vendors for dealer additions/deletions. The vendors may take up to 48 hours to process the change requests on their end before the relationship is terminated. NOTE: Also ensure the dealer is removed from CU*BASE via Tool #245 Configure Dealer Info for Indirect Lend . NOTE: For Route One and Dealer Track, you must also remove the dealer from the Integration Manager. Refer to the reference booklet below.

Here are some ideas of ways you can use existing CU*BASE tools to fulfill your credit union’s responsibility to comply with this requirement: Option 1: Add verbiage to your delinquency notice event(s). Option 2: Send a notice to all home banking members via a Home Banking comment. Option 3: Create a Misc. Member Account Form to be printed on demand and mailed to the member after a new membership is opened, or when creating a new loan account. IMPORTANT: Since this notice cannot be inclu  More...

ALM is the forward-looking, simultaneous management of both assets and liabilities for the purpose of measuring, monitoring and controlling the potentially adverse effects of changing interest rates on income, liquidity, market values, competitiveness, and the financial reputation of the institution. This process is becoming increasingly important as mortgage lending emerges as the core business of credit unions. The long-term nature of mortgage loans can create a structural imbalance between th  More...

No. In the instance of a job screening process, the format for the credit report is significantly different than a credit report used for a lending decision. Your first step is to insure that the job appplicant knows and agrees that the report will be reviewed. You can contact your credit bureau processor (Equifax, Trans Union or Experion) to gain access to their web-based product that will keep you in compliance.

Institutions that are not actively involved in mortgage lending will have smaller loan portfolios and larger holdings of lower yielding investments. Interest income will be lower thus making it more difficult to pay competitive rates on savings, maintain profitability, and grow. The auto loan market, once the mainstay of consumer lending, has been permanently disrupted by extreme competition resulting from dealer incentives, zero percent financing, and indirect lending where loans are won or l  More...

The statement cycle changes to the end of the month. This is so the credit card statement/payment coupon can be sent in the same envelope as your member's normal transaction statement. The due dates for the credit card payment will be on the 25th of the month. The member has access to the credit card loan information just like their other loan accounts through Audio Response and Online Banking. You can even allow for payment transfers and cash advances available to your members at any time.   More...

Interest rate risk is the risk of an adverse effect on the earnings and liquidity position of a financial institution resulting from changing interest rates. A sound ALM position has a balance sheet structure such that management is able to raise deposit rates in a rising rate environment in a manner that is consistent with rising asset returns so that the net interest income (NII) remains reasonably stable. This can be difficult to accomplish if a long-term asset structure is primarily financed  More...

The ALM process is constantly evolving with new developments in modeling methodology, risk measurement, the financial markets, and the regulatory approach toward risk management. The regulatory environment as it relates to ALM in particular has changed dramatically over the past decade. On-going ALM education for both management and the Board is also important as both the interest rate and competitive environments change. For example, in recent years many institutions have found that mortgag  More...

When you have a pending pre-membership loan application, you should always open the account when you process the loan. There is an option to do so, when you process the loan from the pre-membership lending screen. pre-membership lending

This is the first in a series of articles about multi-featured open-end lending. Watch for more articles in 2006. After reading the title to this article, you may be asking “What in the world is multi-featured open-end lending?” You may think of open-end lending as credit cards, overdraft protection, and other lines of credit. But, to paraphrase a recent car ad, “this isn’t your father’s open-end lending.” Actually, the phrase multi-featured open-end lending is derived from The Commentary to Reg  More...

Not at this time. As the nearly 90-page user manual will show, the PIB system is too complex and the methods for implementing it too widely varied to lend itself to a simple online demonstration. In fact, although the online PIB maintenance tool may be the most interesting thing to look at, many credit unions will likely decide not to activate that tool, at least at first, in order to keep the implementation simple and allow for a faster rollout. But because PIB is a work in progress, it is p  More...