A new product is making it possible for financial institutions to service all loans using one cost-effective platform, according to Fiserv Lending Solutions — a unit of Fiserv that introduced its“Loan Servicing Platform” at the MBA’s 2007 National Technology in Mortgage Banking Conference and Expo.
According to Fiserv, the Loan Servicing Platform is a cost-effective, one-platform solution that allows users to “configure support for fixed-rate, variable rate, interest-only and optional payment loans, as well as define promotional interest rates and minimum payments.”
The company said, “Since the platform manages both amortized and revolving credit payment calculations, financial institutions will be able to eliminate redundant consumer and mortgage servicing systems and remove the productivity barriers created by outdated mono-product technology.”

Fiserv also promotes the platform as a solution that replaces wrap-around collections, as well as default and workflow systems.
“Fiserv Lending Solutions is committed to providing lenders with ways to contain costs and generate revenue. Servicing all loans on one platform makes operations more cost-effective,” said Cathy Martin, vice president of Consumer Loan Products at Fiserv Lending Solutions.
The one-platform solution also allows users to more easily identify business opportunities in their current portfolio and detect risk.
“This platform makes it easier for a lender to assess total credit capacity and risk prior to approaching a borrower. That means the lender is better positioned to offer additional products or credit line increases,” said Martin. Martin added that the solution “also provides the tools to better manage default scenarios and improve the chances of loss mitigation.”
Joe Dombrowski, an executive consultant for Fiserv Lending Solutions told DSNews.com that the current crises in the subprime market will likely effect the types of default management solutions companies seek out in the marketplace.
“I think you are going to see default technology providers and servicing providers, like Fiserv, think about how they can bring everything to the desktop together for the servicer rather than sitting back and saying ‘we’re open to interfacing,’ “ said Dombrowski. “Instead, you are going to see more partnerships between competitors. People who might compete in one market, but cooperate in another. I think you’re going to see more of that brought together at the servicing desktop,” he added.