COLLATERALIZED LOANS WITH PERIODIC DRAWS SUBJECT TO A TRIGGERING EVENT
This document describes techniques for implementing a collateralized loan with periodic draws subject to a triggering event. These techniques include receiving funds from a client and establishing a credit line collateralized by the funds. The techniques may further include periodically dispensing an amount from the credit line upon occurrence of a predetermined event (e.g., the client's attainment of a certain age) and until death of the client. At the death of the client, any remaining funds may then be released to, for example, the client's estate.
1 . A system comprising:
a means for receiving financial assets from a client directed to a loan fund;
a means for establishing a credit line collateralized by the loan fund;
a means for dispensing an amount from the credit line commencing when the client reaches a predetermined age and until death of the client; and,
a means for releasing any remaining financial assets of the loan fund upon the death of the client.
2 . The system of claim 1 , wherein the means for receiving is configured to receive the financial assets as a single lump sum.
3 . The system of claim 1 , wherein the means for receiving is configured to receive financial assets periodically from the client.
4 . The system of claim 1 , wherein the amount is a fixed amount.
5 . The system of claim 4 , wherein the fixed amount is determined at least in part as a percent of a value of the financial assets when the client achieves the predetermined age.
6 . The system of claim 5 , wherein the percent is established based at least in part on an age of the client at a time of receiving of the financial assets.
7 . The system of claim 5 , wherein the percent is established at or before receiving the financial assets.
8 . The system of claim 1 , further comprising a means for charging management and loan commitment fees against the loan fund.
9 . The system of claim 8 , wherein the charging is one or more of a one time event and a periodic event.
10 . The system of claim 8 , wherein the means for dispensing is further configured to dispense the financial assets minus the management and loan commitment fees to the client upon a client request prior to the client reaching the predetermined age.
11 . The system of claim 1 , wherein the means for dispensing is configured to dispense the financial assets on a periodic basis.
12 . The system of claim 1 , wherein the means for dispensing is further configured to determine a balance of the credit line as a total of the dispensed amount and interest charged against the dispensed amount on a periodic basis.
13 . The system of claim 1 , wherein the means for releasing is configured to release the remaining financial assets calculated as the dispensed amount and accrued interest subtracted from the loan fund.
14 . One or more non-transitory computer-readable storage media comprising computer-executable instructions that, when executed on one or more processors perform acts comprising:
receiving funds from a client;
establishing a credit line collateralized by the funds;
periodically dispensing an amount from the credit line upon occurrence of a predetermined event and until death of the client; and,
releasing any remaining funds upon the death of the client.
15 . The one or more non-transitory computer-readable storage media of claim 14 , wherein the receiving comprises receiving the funds as a single lump sum.
16 . The one or more non-transitory computer-readable storage media of claim 14 , wherein the establishing comprises establishing the credit line based upon a value of the funds after management fees and loan commitment fees are subtracted from the funds.
17 . The one or more non-transitory computer-readable storage media of claim 14 , wherein the periodically dispensing comprises determining the amount based upon at least a first factor established at the time of the receiving and at least a second factor established at the time of the dispensing.
18 . The one or more non-transitory computer-readable storage media of claim 17 , wherein the at least a first factor established at the time of the receiving is an age of the client at the time of the receiving and the at least a second factor established at the time of dispensing is the value of the funds at the time of dispensing.
19 . The one or more non-transitory computer-readable storage media of claim 14 , wherein the releasing comprises releasing a value of the funds at the time of death minus any dispensed amounts and associated capitalized interest.
20 . The one or more non-transitory computer-readable storage media of claim 14 , wherein the releasing comprises collecting any dispensed amounts and associated capitalized interest and releasing the funds.
21 . The one or more non-transitory computer-readable storage media of claim 14 , wherein the releasing comprises releasing the funds to the client's estate.
22 - 25 . (canceled)