Nortridge Software Blog

Lending Technology Trends & Forecast for 2014

As we close out another calendar year, a time-honored holiday tradition is the writing of either a top ten list from the year gone by or a forecast for the coming year.

Blog December 11, 2013

Simple Interest vs. Rule of 78s

Should you use simple interest or the Rule of 78s when calculating interest on a loan? Let's compare both to see why it matters.

Blog December 2, 2013

Flexibility: The Difference Between Triumph and Disappointment

The key to staying competitive is the flexibility to execute on all of your strategies; hiring the right people and having the right systems to support those initiatives is the core of that endeavor.

Blog November 18, 2013

Balloon Payments Explained

What is a balloon payment? This is a complex question, because in general, the answer requires context. In specific terms, the definition of a balloon payment can mean different things on different types of loans.

Blog October 29, 2013

Top 4 Lending Trends of 2013

As the recovery of the economy continues (consumer lending is projected to grow at a 4 percent this year and 4 percent next year) it gives lenders an opportunity to focus long term strategies.

Blog October 21, 2013

Turning Off Accrual Processing Is Not Non-Accrual Loan

According to Generally Accepted Accounting Principles (GAAP) in lending, for many loan types, you must stop accruing interest into income when a loan is 90 days past due. This is called Non-Accrual Status.

Blog September 30, 2013

How I First Learned About Nortridge

Several years ago before joining Nortridge, I worked as a loan servicing manager at a financial institution that purchased commercial distressed debt.

Blog October 21, 2013

Borrower Portal - A Jumping Off Point

If you are like many consumer lenders in today's markets, you want your borrowers to be able to go onto your website, look up balances on their own, get a copy of their last statement, and perhaps make a payment.

Blog September 30, 2013

Loans vs. Cash Flows

In a standard installment loan, given the parameters: principal, periodic interest rate, and number of payment periods, we can solve for payment amount.

Blog August 15, 2013

The Pros and Cons of Servicing a Loan In-House

Running a profitable lending business; especially one that is experiencing dramatic growth or a changing regulatory climate; can be a difficult task.

Blog July 29, 2013

Introducing the Nortridge Online Community - Participate!

In a standard installment loan, given the parameters: principal, periodic interest rate, and number of payment periods, we can solve for payment amount.

Blog July 15, 2013

Programmed to Make You More Efficient

Running a profitable lending business; especially one that is experiencing dramatic growth or a changing regulatory climate; can be a difficult task.

Blog June 27, 2013

Consumer Finanance in 2013 - Rethinking Your Marketing Strategy

The buzz term these days is “pull marketing”, an approach that tries to get consumers to contact you on their own terms.

Blog June 14, 2013

Distracted By Technology and Software Management?

Playing to your strengths, whether they are in loan servicing, loan purchasing, loan origination or a combination thereof, can be a game changer.

Blog April 30, 2013

Breaking Out by Breaking the Mold

The Nortridge Loan System (NLS) is ideal for financial services companies looking to elevate to that next level. In fact, we have had many customers add additional loan products to their portfolio.

Blog April 23, 2013

Don't Get Hung Up on Finance Charge

Most loan docs for consumer installment type loans have a field called ‘Finance Charge’ which is supposed to represent the amount of interest that you would pay if you made each and every payment on this loan on its due date...

Blog March 13, 2013

Lifting Up the Hood on Interest Year, the Math of Daily Accruals

Understanding how interest is accrued on a daily basis will help you ensure you are setting up your loan properly in the Nortridge Loan System.

Blog February 21, 2013

Payments, Reductions, and Write-offs (Oh my!)

Then is a payment not a payment? When is a transaction that is not called a payment, actually a payment? These are questions that come up due to confusion that some loan servicing system users have with the naming conventions used in some of the standard transaction codes...

Blog January 31, 2013

Matching Conversion Loan Balances

lender using an old servicing system was in the process of converting loans into their shiny new Nortridge Loan System. One of the requirements was to match the amortization schedules from the old system.

Blog January 23, 2013

Nortridge Software Powers Two of Inc. Magazine's Top Job Creators

A pair of Nortridge customers are prominently listed in Inc.’s “Hire Power Awards” featured in the magazine’s January 2013 edition. Pacific Dental Care, ranked fourth while Heartland Dental Care...

Blog January 10, 2013

Calculating the Rule of 78s: Add-Ons and Simple

In brief, the Rule of 78 weights earlier payments with more interest than later ones. If the loan is not terminated or prepaid early, the total interest paid between simple interest and the Rule of 78 will be equal.

Blog December 14, 2012

5 Tips to Achieve More Effective Debt Collections

Although the process of collecting on consumer or commercial debts may never be an easy one, there are certain things that loan servicers can do to make it smoother for everyone involved.

Blog September 19, 2012

5 Things Distressed Debt Servicers Should Expect From Their Loan Servicing System

Winning a new loan pool, whether it be performing or non-performing debt (or a combination of both), can mean having to service and account for hundreds of new loans that you didn’t have before.

Blog September 13, 2012

The 411 on Incomplete Conversion Loan Balances

You just purchased a bundle of loans. You need to enter all of these loans into the Nortridge Loan System. Now the fun begins.

Blog August 29, 2012

5 Reasons to Evolve Your Loan Servicing Business

Thinking about a new way of doing business is often the most challenging exercise that a business owner can face. In particular, leaders of financial services firms such as lenders and loan servicers tend to trust methods...

Blog August 25, 2012

Leveraging the Right Data At The Right Time A Key For Lenders

A lending business can thrive or struggle based on its ability to effectively access and utilize data.

Blog August 9, 2012

Don't Play Games With Security

The year is 1983. David Lightman, a high school junior, is failing biology. Besides being somewhat of a computer prodigy, David is also a class clown, a characteristic that one day lands him in the principal’s office.

Blog July 24, 2012

Rolling With Microsoft SQL Server Application Roles

When connecting to Microsoft SQL Server there are two ways of authenticating the user: Database Authentication and Windows Authentication.

Blog July 6, 2012

More Than One Way to Encrypt Loan Servicer's Data

While the Payment Card Industry Security Standards Council has set very explicit standards about the requirements for the back-end storage and access of PII (personally identifiable information), including...

Blog May 23, 2012

NLS Data Storage Size Versus Performance

The year is 1983. David Lightman, a high school junior, is failing biology. Besides being somewhat of a computer prodigy, David is also a class clown, a characteristic that one day lands him in the principal’s office.

Blog February 29, 2012

Hanging Up On Old-School Thinking About Data Storage

My wife called her father the other day, on the other side of the country. After about 10 minutes he told her he had to go because he didn't want to run up our phone bill.

Blog February 2, 2012