Loan IQ’s collateral management module provides financial institutions with an advanced, sophisticated tool to easily view, track and manage their collateral. Its flexible design allows financial institutions to treat collateral in the way which best meets their requirements and allows them to more accurately manage and reduce collateral-related operational and credit risks.

Updating and keeping collateral information current is very easy to manage within Loan IQ. APIs enable the bank to set up accounts / holdings and perform collateral updates and repricings. Collateral information within Loan IQ is seamlessly interfaced with other internal bank systems or outside systems. Pricing can be updated daily, weekly, monthly or at specific scheduled times set by the financial institutions. In addition, discount factors can be tiered into the pricing so that the information does not have to be manually entered.

Collateral Management Highlights

• Advanced Flexibility
  • Collateral types and sub-types are defined in tables which are fully configurable
  • Collateral accounts can be set up at the borrower level with single or multiple accounts
  • Accounts can be single currency or multi-currency, and can hold single or multiple holdings
  • Collateral can be tied to a single or multiple deal / facility / outstandings or merely stored in the system for recordkeeping
• Superior Risk Management
  • Additional fields can be customised to meet Basel II requirements
  • Automated warning alerts signal when the collateral value against loans is violated