CoPilotNon-Real Estate Loans - American Bank Systems · Commercial Loans: Beneficial Owners 22 Beneficial Ownership rules became effective May 11, 2018 Applies to business entities

CoPilot Non-Real Estate Loans

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American Bank Systems, Inc 2019 ABS User Conference 1

CoPilot Customization

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Introduction of Presenter and Assistant

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Disclaimer

This material is current as of October 22, 2019, and is designed to provide accurate information about the subject matter covered. American Bank Systems makes no representation or warranties of any kind or nature with respect to the contents of this material and specifically excludes any such representations or warranties, including without limitation, the implied warranties of MERCHANTABILITY and FITNESS FOR ANY PARTICULAR PURPOSE. This material is for training purposes and should not be used to verify regulatory requirements. To determine compliance with any requirement, please consult the Federal Register publication of these amendments, the Regulation and related Commentary, and the CFPB’s Guides.

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CoPilot Tools: Loans – Loan Calculator

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The Loan Calculator is used to calculate different types of loans based on specificparameters. The Loan Calculator is a sophisticated tool that accurately performs a variety ofcomputations. It has been tested against the Office of the Comptroller of the Currency (OCC)Annual Percentage Rate (APR) Calculation Program (http://www.occ.treas.gov/apr.htm).

The Loan Calculator can be run as a stand-alone tool even when a transaction is running. For example if a customer calls wanting a payment quote, the calculator can be accessed from the Loans menu and calculation performed without having to exit the current transaction.



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The stand-alone calculator allows the selection of collateral to display the Miscellaneous Fees and Finance Charges related to the collateral types checked. The default collateral is Unsecured and only the fees available for Unsecured collateral will be available. By clicking Select Collateral and choosing the appropriate collateral types, the fees will change from Unsecured to the fees based on the collateral types chosen. Any default amounts will also populate as if within a transaction.

Example: Unsecured Vehicle and Deposit Account



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Calculations can be saved outside of a product and imported into a transaction. If a calculation is performed using the stand-alone tool, the Quick Save feature can be used to save the calculation after the calculation is computed.

Enter the Name and Quick Search and select Save As at the bottom of the screen.

When processing the loan for a calculation that has been saved, select Import in the Actions box. You can toggle between your saved and all by checking or unchecking the Show Mine Only box. Select the saved calculation and click Import to load the saved calculation.



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The previously saved calculation will be loaded automatically selecting the calculation type and importing all entered data.

Calculations can also be saved within a transaction. Once the calculation has been computed, the Quick Save button is available and the calculation can be saved and used in another transaction.


Consumer Loans: MLA Lookup

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MLA LookupJuly 26 MLA site update requires User Account Login


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Account needed to perform MLA Lookup


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MLA Lookup opens https://mla.dmdc.osd.mil/mla/#/login login pageWebsite does not allow automated interactionPerformed on each borrowerResults can be saved and uploaded for Document Imaging


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Certificates can be uploaded on the Borrower screen in the Loan InterviewSelect file and print to PDF to save report


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Certificates can be uploaded on the Borrower screen in the Loan InterviewSelect Upload MLA Report to save the report with the dataset


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Browse to the saved location and select fileChoose Upload to save the file to the Document Checklist

Once uploaded the report can be previewed or removed on the Borrower screen


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Uploaded reports can be accessed from the Document ChecklistReports will be transfer to BankManager through Docs Direct to eliminate scanning


Commercial Loans: Nested Entities

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• Enter the business that is the borrower• Check Business Borrower Only• No Loan Signers will be entered


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Add a second Borrower as business signer


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Check Business Signer Only for the signing businessEnter a Business Title, optional


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Add Loan Signers for the signing business


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If collateral is taken, select both businesses as the collateral owner to sign as a nested entity


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Commercial Loans: Nested EntitiesBusiness Borrower Only prints in title

Signature name prints with signer name and both business namesWill include Business Signer Title if entered


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Commercial Loans: Nested EntitiesNested Entities Signature FormattingSigner Name, Signer Title of Business Signer Name, Business Title of Business Borrower NameTed Smith, President of Smith Consulting LLC, Member of Fred’s Mexican Restaurant


Commercial Loans: Beneficial Owners

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Beneficial Ownership rules became effective May 11, 2018Applies to business entities such as borrowers, cosigners, and deposit ownersInstitutions required to identify individuals with 25% or more ownership in a business

Select an exemption option if business type is classified as an exempt entity



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Enter Business Legal Entity Identifier if not exempt20-character identifierMultiple search sites online to find the number

Beneficial Owners process available if not exemptComplete even if no individual owns 25% or more



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Select Add to add a Beneficial Owner or Control Individual

• Beneficial Owner – an individual who directly or indirectly in any contract, arrangement, understanding, relationship or otherwise, owns 25% or more of the equity interests of a legal entity customer (e.g., each natural person who owns 25% or more of the shares of a corporation).

• Control Individual – an individual who has significant responsibility to control, manage, or direct a legal entity customer, including, an executive officer or senior manager (e.g., a Chief Executive Officer, Chief Financial Officer, Chief Operating Officer, Managing Member, General Partner, President, Vice President or Treasurer) or any other individual regularly performing similar functions.



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Beneficial Owner Only Individual owns 25% or more of the businessNot a control individual

Control Individual Only No ownership or less than 25% ownershipIs the control individual

Beneficial Owner and Control Individual Individual owns 25% or more of the businessIs the control individual

Select Beneficial Owner Option

If no individuals own 25% or more, select Control Individual OnlyEnter the information for the Control IndividualNo Beneficial Owners will be entered



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Select Full Name if entered in Loan Interview

Do not select Full Name if not entered in Loan InterviewHost Lookup/Recent Customers availableComplete all information needed



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Enter Ownership Percentage for all individuals entered owners 25% or more

Verification of ownership cannot exceed 100%Does not have to total 100% since owners with less than 25% are not included

Beneficial Owners Certification form• Signed by primary Loan Signer to certify informationBeneficial Owners Verification form• Used to perform CIP verification on each individual



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A Beneficial Owners manual is available with additional information on the website



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*** New Admin Navigation ***Go To Section added in Institution Settings for each Area to easily go to the section needed


Commercial Loans: Marijuana Related Business

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AdminInstitution SettingsLoan SettingsGeneral Loan Settings

Marijuana Related BusinessInput for Business BorrowersSelect applicable option



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New Certificate Regarding Marijuana Related Business (CRMRB) form added



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Line of Credit

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Supported Calculation Types:• Balloon• Installment• Interest Only• Fixed Principal• Single Payment• Irregular

Select Line of Credit as Interest TypeLoan Amounts Changes from

Amount Given To Customerto

Amount Left to DrawInitial Draw Amount

Amount Left to Draw (Amount remaining to draw from)+ Initial Draw Amount (Amount advanced at closing)

Total Line Amount


Line of Credit

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Open End Credit – Commercial Loans Only• Checked = Revolving• Unchecked = Multiple Advance not revolving

Multiple Advance Conditions• Defaultable in Admin• Defines any conditions that must be

met to draw an advance from line

Loan Calculator: Interest Type = Line of CreditOpen End Credit not checked

Checks Multiple AdvancesOpen End Credit checked

Checks Revolving Credit


Line of Credit

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Prints on back


Irregular Loan Calculation – Commercial Only

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Irregular loan calculation available in Commercial Loans onlyEnter Loan Terms and Amounts



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Select the Payment Type for each payment stream neededCustom Payment Schedule option added



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Custom Payment Schedule allows free form input of repayment scheduleIf used, Commercial Note incorporating irregular memo for repayment will generate replacing addendum previously generating


Release Notes

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Release Notes are included with every updateLists changes in updateRetains notes for all updatesDocuments instructions if needed


Release Notes

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Website Tools

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Online videos and manuals are availablePlease contact Customer Care for access to the Customer Support Portal


American Bank Systems, Inc.

14000 Parkway Commons Drive Oklahoma City, OK 7313414000 Parkway Commons Drive Oklahoma City, OK 73134

405.607.700043

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