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HOME>Other Industries>Risk Management / Due Diligence>Automated>Default Propensity Screening - Default Models
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 LPS Loan Default Model™ 

 

Lender Processing Services (LPS) now offers Loan Default Model from its Applied Analytics division. LPS Loan Default Model is the latest tool in a suite of software applications and models developed for mortgage-backed securities (MBS) professionals and that characterize and project a propensity toward prepayment and default for MBS and mortgage loan portfolios of all types.

With the LPS Loan Default Model, you can accurately project the percentage of your loan portfolio that will default each month – in both unit and dollar terms – as well as understand how much of your portfolio population is moving closer to default.

The LPS Loan Default Score Captures Data Complexity

Just as with the revolutionary LPS Prepayment SCORETM, this metric captures the combined impact of several loan characteristics recorded at the time of origination and summarizes them into one value that represents the propensity to default.

Loan-level data used to calculate the LPS Loan Model Default Score include:

  • Issuer (originator)
  • MSA
  • State
  • Borrower’s FICO score
  • Interest-only
  • Level of documentation
  • Residency type (owner-occupied/ investor property)
  • Dwelling type (single-family/multifamily)
  • Loan purpose
  • Loan size

Contact Us

Call us at 415.989.9800 or send us an e-mail to find out more about LPS Applied Analytics and how we can add the power of data analytics to your portfolio.



   

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