Abstract: The present invention provides for a business process, method, and system that shall work with most any monthly payment obligation like a mortgage or installment loan; it collects smaller weekly, every two weeks, or twice monthly debits starting on the first or next monthly due date, then the full monthly payment is applied in arrears when sufficient funds are collected; the lender would offer this service as a courtesy to help the consumer and as a competitive feature and would in most cases also lower their regular check payment processing costs which can range from $1.50 to $5.00. The present invention will allow those lenders to keep their existing infrastructures in place and offer our solution as an option. The lender sacrifices very little and benefits greatly.

Abstract: Systems and methods for re-amortizing a borrower's monthly payments for collection and payment to a lender. The method includes determining an electronic payment term cycle, which includes one or more of monthly payment cycles and each monthly payment cycle includes one or more collection days periodically occurring according to a collection cycle. An optimal derivative payment is then determined based on a monthly payment of the original loan, the loan term, and the electronic payment term cycle. The optimal derivative payment is withdrawn from an account associated with the borrower on a collection day and is placed into a separate account. A deposit is also placed into the separate account, where the deposit amount is diminished at a rate based on the electronic payment term cycle. A payment is then made to the lender on the payment date of the original loan from the funds accumulated in the separate account.