# Product Architecture

## Overview

timveroOS implements a two-tier product architecture that provides flexibility in lending product design while maintaining standardization and control. This architecture separates general product definitions from specific variations, enabling efficient product management and rapid market adaptation.

## Two-Tier Product Model

### Credit Products

Credit products define the general framework for lending offerings:

* **Product Type**: Term loans, revolving credit, or hybrid structures
* **General Parameters**: Overall amount ranges and term limits
* **Documentation Framework**: Standard templates and requirements
* **Regulatory Compliance**: Base compliance rules and disclosures

### Additives

Additives provide specific implementations within a product framework:

* **Targeted Segments**: Specific customer criteria and qualifications
* **Precise Terms**: Exact rates, amounts, and conditions
* **Collateral Requirements**: Security specifications if applicable
* **Unique Features**: Special conditions or benefits

<figure><img src="https://1150945010-files.gitbook.io/~/files/v0/b/gitbook-x-prod.appspot.com/o/spaces%2FUIyo0W6h9h3OnGtkW2pQ%2Fuploads%2FhsA7Yk2b0LremhArIHgm%2FCredit%20Prducts_7.11.png?alt=media&#x26;token=a2bc47eb-4026-49cd-860d-235b92b2399a" alt="Credit Products Interface"><figcaption><p>Credit product configuration management interface</p></figcaption></figure>

## Product Configuration

### Creating Credit Products

Navigate to Settings → Credit Products to configure:

**Required Fields**:

* Product Name and Code
* Product Type selection
* Currency specification
* Status (Active/Inactive)

**Parameter Ranges**:

* Minimum and maximum amounts
* Available term options
* Interest rate boundaries
* Fee structures

**Documentation**:

* Contract template selection
* Required document sets
* Disclosure assignments
* Compliance forms

### Important Note

Each credit product must have at least one additive to be functional. The system will indicate products without additives as "Empty Additive Products."

## Additive Configuration

### Purpose of Additives

Additives enable:

* Customer segmentation within products
* Risk-based pricing variations
* Targeted market offerings
* A/B testing capabilities

### Creating Additives

For each additive, configure:

1. **Identification**
   * Additive name and description
   * Internal reference code
   * Active/Inactive status
2. **Eligibility Criteria**
   * Credit score requirements
   * Income thresholds
   * Employment criteria
   * Other qualification rules
3. **Specific Terms**
   * Interest rate ranges
   * Exact amount limits
   * Available terms
   * Fee specifications
4. **Collateral Settings**
   * Required security types
   * Loan-to-value ratios
   * Valuation requirements
   * Insurance mandates
5. **Participant and Asset Requirements**
   * Required participant types (borrower, co-borrower, guarantor)
   * Optional participant roles
   * Collateral/asset requirements
   * Each participant/asset type brings its configured workflows

### Offer Engine Integration

Each additive connects to an offer engine script that calculates:

* Applicable interest rates
* Available loan amounts
* Payment schedules
* Total costs

The offer engine uses:

* Customer profile data
* Product parameters
* Market conditions
* Risk assessments

## Product Examples

### Example 1: Auto Loan Product

**Base Product**:

* Name: Vehicle Finance
* Amount Range: $5,000 - $100,000
* Terms: 12-84 months
* Documentation: Standard auto loan package

**Additive Examples**:

* **Prime Auto**: 720+ credit score, lowest rates, no down payment required
* **Standard Auto**: 660-719 credit score, standard rates, 10% down payment
* **Subprime Auto**: 600-659 credit score, higher rates, 20% down payment

### Example 2: Personal Loan Product

**Base Product**:

* Name: Unsecured Personal Loan
* Amount Range: $1,000 - $50,000
* Terms: 12-60 months
* Documentation: Personal loan agreement set

**Additive Examples**:

* **Existing Customer**: Relationship discount, streamlined process
* **New Customer Prime**: Full underwriting, competitive rates
* **Debt Consolidation**: Specific purpose, potentially higher amounts

## Product-Driven Process Activation

The relationship between products and workflows follows this sequence:

1. **Product Selection**: Determines required participants and assets
2. **Participant/Asset Creation**: System creates entities based on product requirements
3. **Process Activation**: Each participant/asset type activates its configured:
   * Business process flow (application stages)
   * Workflow Engine evaluations (credit checks, income verification)
   * Document requirements
4. **Orchestration**: The system coordinates all active processes for the application

_Note: Products themselves do not trigger workflows directly. Instead, they define the participant and asset composition, which determines the applicable processes._

### Product-Level Configuration

* Document generation templates
* Compliance requirements
* General product parameters
* Reporting categories

### Participant/Asset-Driven Processing

* Specific underwriting criteria per participant type
* Evaluation workflows mapped to participant/asset types
* Role-based document requirements
* Type-specific notifications

## Managing Product Lifecycle

### Product Activation

1. Create base product with parameters
2. Configure required additives
3. Assign workflow processes
4. Test configuration
5. Activate for use

### Ongoing Management

* Monitor product performance
* Adjust additive parameters
* Add new additives as needed
* Deactivate underperforming options

### Product Deactivation

* Set product to inactive status
* Stop new originations
* Continue servicing existing loans
* Maintain records for compliance

## Configuration Best Practices

### Product Design

* Start with essential products
* Keep initial additives simple
* Test thoroughly before launch
* Document configuration decisions

### Additive Strategy

* Create clear segmentation
* Avoid overlapping criteria
* Monitor performance metrics
* Consolidate when appropriate

### Documentation

* Maintain consistent templates
* Version control changes
* Document business rationale
* Keep audit trails

## Integration Points

### System Components

Products integrate with:

* **Participant/Asset Requirements**: Define required entities for applications
* **Document Management**: Template selection and generation
* **Pricing Engine**: Rate and term calculation
* **Reporting System**: Performance tracking

_Note: Workflow Engine evaluations are triggered by the participants and assets required by products, not by products directly._

### External Systems

* Core banking product codes
* General ledger mapping
* Regulatory reporting categories
* Third-party integrations

## Performance Considerations

### Configuration Impact

* Product complexity affects processing speed
* Multiple additives increase decision time
* Clear criteria improve automation rates
* Well-defined products reduce exceptions

### Optimization Strategies

* Regular configuration reviews
* Performance monitoring
* Simplification initiatives
* Automated testing

## Next Steps

With products configured, proceed to:

* [Pricing Configuration](pricing-configuration) - Set up dynamic pricing algorithms
* [Collateral Management](collateral-management) - Configure security requirements
* [Workflow Management](../04-workflow-management) - Build approval processes

***

_For additional product configuration support, consult your implementation team or system documentation._
