Shared-Risk Loan Syndication Engine

The Shared-Risk Loan Syndication Engine lets a credit union offer participation interests in its loans to partner institutions, check each offer against the buyer's policy and limits, and record commitments as partners respond. It prepares participation agreements and loan files for due diligence, then calculates each participant's share of payments for servicing. Every offer, approval and remittance keeps its evidence for examiners and auditors.

The problem it solves

Credit unions sell loan participations to manage concentration, liquidity and lending capacity, but the process usually runs on email, phone calls and spreadsheets. Sellers send loan packages to partners one at a time, buyers check their own policy limits by hand, and agreements are negotiated from old templates. Once a participation closes, servicing staff calculate each participant's share of every payment in spreadsheets, and examiners ask for due diligence and limit evidence that is scattered across inboxes.

Who it’s for

• Credit unions that sell loan participations to manage concentration, liquidity or capacity
• Credit unions and other eligible institutions that buy participations
• Commercial and consumer lending teams who originate the loans
• Loan servicing and accounting staff who remit payments to participants
• CFOs, ALCO members and examiners who oversee participation limits

1. OfferThe selling credit union picks a loan or pool, sets how much it will sell and retain, and offers it to selected partners with the loan file they need to decide.
2. EvaluateEach buyer sees offers checked against its own participation policy, including loan type, credit criteria and concentration limits, before its credit analyst reviews the loan file.
3. CloseCommitments are allocated against the amount offered, the participation agreement is prepared from the approved template, and both sides sign before funding.
4. ServiceAs the seller collects payments, the Engine calculates each participant's share of principal, interest and fees, prepares remittance statements, and keeps participants informed of loan performance.

Participation offers

Offer a single loan or a pool to selected partners, with amount offered, retained share, pricing and response date.

Buyer policy screening

Each buyer's eligibility criteria and limits are configured once, and every offer is checked against them before review.

Concentration tracking

Participations purchased and sold are tracked against limits by originator, loan type and borrower that each institution sets from its own policy.

Loan file sharing

Credit memos, financial statements, appraisals and loan documents shared with partners who have an offer, with each access logged.

Due diligence records

The buyer's review of each loan, including the analyst's notes and the approver's decision, kept with the participation.

Allocation as partners respond

Commitments are recorded and allocated against the amount offered as each partner responds, so the seller sees what remains.

Agreement preparation

Participation agreements and certificates prepared from templates your counsel approves, with deal terms filled in from the offer.

Remittance calculation

Each participant's share of principal, interest, fees and servicing retained is calculated from payment activity.

Participant reporting

Loan performance, balances and delinquency reported to participants on the schedule set in the agreement.

Partner directory

The partners you work with, their contacts, agreements on file and the loan types they buy.

Call Report support

Participation balances purchased and sold, by loan type, prepared for your Call Report preparers.

Audit trail

Every offer, screen result, approval, document access and remittance recorded with the person and time.

Participation manager (seller)

Prepares and offers participations, allocates commitments and manages partner relationships

Investment or lending officer (buyer)

Approves commitments to buy participations within the buyer's policy

Credit analyst

Reviews loan files and records due diligence and a recommendation

Loan servicing and accounting

Imports payment activity, reviews remittance calculations and prepares participant reports

CFO or ALCO

Sets participation policy limits and oversees concentration and liquidity

Auditor or examiner (read-only)

Reviews participations, due diligence and remittances without changing them

Core and loan servicing system

Loans, balances, terms and payment activity by scheduled file or API, mapped during implementation.

Loan origination system

Credit memos, approvals and loan documents for loans you offer.

Document storage

Loan files and signed agreements stored with the participation, or linked from your document system.

Electronic signature

Participation agreements sent for signature through the e-signature service you use.

General ledger

Participation balances, remittances and servicing income prepared for posting by your accounting team.

Call Report preparation

Participation balances by loan type for your Call Report preparers, including Moraph's Automated Call Report Filer.

Single sign-on

Staff sign in through your identity provider (SAML or OpenID Connect).

Work API

Offer, participation and remittance data available to your data warehouse through the Moraph Work API.

Single sign-on

Staff sign in through your identity provider, so your password and multi-factor policies apply.

Separation between institutions

Each institution's data, limits and internal reviews are visible only to its own users; loan files are shared only with partners that receive an offer.

Role-based access

What each person can see and do follows their role; preparing a remittance or recommendation is separate from approving it.

Encryption and keys

Client data is encrypted, with keys Moraph staff cannot use without explicit, time-bound authorization.

Complete audit trail

Every view, document access, decision, approval and export is logged with the person and time, and cannot be edited.

Data residency

Data is hosted in the United States region.

Moraph cloud

Hosted and operated by Moraph in the United States region.

Dedicated environment

A single-tenant environment for institutions or credit union service organizations whose policies require isolation, scoped in the proposal.

With a managed service

Optionally run alongside a Moraph managed service for data loads, partner onboarding and platform administration.

Policy review

We take your participation and lending policies and configure eligibility criteria, limits and approval authorities from them, for your CFO to confirm.

Data mapping

Loans, balances and payment activity from your core or servicing system are mapped and the file or API schedule agreed. We need extracts and a contact from your core-system team.

Agreement templates

Your counsel's participation agreement and certificate are set up as templates with the deal terms to be filled from each offer.

Existing participations

Participations you already hold or have sold are loaded with their terms and shares so servicing and reporting cover the whole book.

Partner onboarding

Partner institutions you work with are connected to the directory; partners not yet using the Engine can receive offers through an invited account.

Training and go-live

Sellers, buyers, analysts and servicing staff are trained on their own workflows, and remittance calculations are checked against your current method before go-live.

• Moraph does not hold funds. Settlement at closing and remittances to participants are sent through your own payment channels; the Engine calculates and records them.
• The Engine does not make credit decisions. Each buyer's analysts and officers review loans and decide whether to commit.
• It does not originate or service loans. It uses data from your origination and servicing systems.
• Policy limits are configured from your policies; whether a participation complies with regulation and policy remains your institution's judgment.
• Agreement templates come from your counsel. Moraph does not provide legal advice or decide whether a transfer qualifies for sale accounting.
• It is designed for US credit union participations. Bank participations and syndications outside the United States are not configured as standard.
• It is not a marketplace or broker. Moraph does not find partners, set pricing or take part in transactions.
• Offers and commitments update as partners respond, but timing depends on when partners review and approve.

• Load a sample of your own anonymized loans and prepare an offer from one
• Configure your participation policy limits and check how an offer is screened against them
• Walk through a buyer's due diligence from offer to approved commitment
• Compare the Engine's remittance calculation with your current spreadsheet for one month
• Review the concentration report against what you present to ALCO
• Confirm role separation: who can recommend, approve, prepare and approve remittances