Loxon Collection System at MKB Bank

Hungarian lending and risk management system vendor, Loxon Solutions, has went live with a new release of its Collection System at MKB Bank. The system that first went live in MKB early 2007 is used by the Bank as one central system to deal with the entire collection and workout process. This is a second release with a number of new functionalities, improving the capabilities of the software to manage the requirements of the Bank to manage the entire business process of soft and hard collection for all lines of business. Additionally the system fulfills all the requirements of the bank related to Basel II compliant default, loss and recovery management.


Customer Challenges:
  • Build one central system to soft and hard phase collection process.
  • Define efficient workflow steps for the above phases.
  • Increase the efficiency and number of outgoing phone calls.
  • Automation of outgoing warning letters.
  • Customized workflow support for the hard-phase processes.
  • One central place for all collection related customer and deal information.
  • Automate the external collector and factoring processes.
  • Up-to-date, better quality data for decisions 
  • Support Basel II data collection and use test
  • Management reporting 
Loxon Solutions:
  • One, integrated system for covering all collection products.
  • Flexible, parameterizable workflow support for all collection phases.
  • Number of outgoing phone calls increased dramatically. 
  • Concurrency between potentially conflicting tasks is handled automatically in a parameterizable way in the system.
  • Massive system support for outgoing document management. 
  • System support for external collector and factoring processes.
  • Editable document and report templates. 
  • Continuous analysis of the process efficiency
  • Product catalogue, parameterizable product handling
  • Electronic document handling

Loxon Collateral Management System used by Raiffeisen Banka Serbia

Beograd, Serbia



Key numbers:

  • Second biggest Bank in the market (according to credit portfolio – 2007.) 
  • Number of customers: 585,000
  • Number of branches: 103
  • Number of active users for the LOXON system: 30-40

Industry:
Banking, Financial Services

Loxon products:
Collateral Management System, with integrated functionalities of the Central Deal Registry and the Real-estate and Asset Management System supporting:
  • All types of collaterals in use by the Bank
  • Full collateral lifecycle management
  • Deal Management
  • Management of real estates
  • Management of various types of assets
  • Automatic revaluations (optimal allocation, RWA, provisioning, RORWA etc)
  • Basel II calculations
  • Monitoring
  • Reporting

Customer Challenges:
  • Integrated collateral analytics for Risk Management
  • Compliance to Basel II. requirements and RZB’s Collateral Catalogue
  • Revaluation of the Bank’s collateral portfolio
  • Improvement of the efficiency of capital allocation
  • Information about deal and partner level coverage
  • Up-to-date, better quality data for decisions 
  • Flexible system to support the requirements of the fast moving business environment
  • Management reporting
  • NBS Provision and RWA allocation method

Loxon Solutions:
  • Complete and user-friendly collateral registration
  • Full collateral lifecycle management 
  • Managing all types of collaterals in use by the Bank (mortgage, guarantees, pledges, securities, insurances, soft-collaterals, other collaterals)
  • Handling of all types of banking deals and overdue items 
  • Handling N*M collateral and deal connections
  • Inheritance of collaterals (inherit the collaterals of a frame deal to its withdrawals)
  • Automatic revaluations (currency revaluations, discounted collateral value calculation, optimal collateral value distribution, coverage information) 
  • Various types of allocation (CMD, NBS Provision, NBS RWA)
  • Integration with other systems of Bank (accounting system, customer database…)
  • Handling of the real estates
  • Handling of various types of assets
  • Flexible building blocks to ensure the optimal use of business and IT resources if changes in the system are needed
  • Flexibility in modifying the algorithms
  • Enforce data quality (mandatory fields, customizable validity checks, check lists)
  • Storage of historic data
  • Monitoring of the collaterals and deals and the collateral-deals relations