Remove 2008 Remove Capital Remove FDIC Remove Marketing
article thumbnail

Should Congress Increase FDIC Insurance Limits?

South State Correspondent

In the wake of regional bank failures, one potential answer to equity shorting and bank runs is having the FDIC increase deposit insurance. private and public lending markets are the world’s envy, with a wide availability of financing options for many capital seekers across the entire capital stack. economy needs.

FDIC 195
article thumbnail

The most popular CECL, ALM, & portfolio risk blogs of the year

Abrigo

Read this blog for ten key reports on capital, growth, and liquidity that can help financial institutions identify increased risk and shape strategy in tricky conditions. So how can banks and credit unions quickly spot warning signs so they can act during volatile economic, industry, and institutional conditions?

Insiders

Sign Up for our Newsletter

This site is protected by reCAPTCHA and the Google Privacy Policy and Terms of Service apply.

article thumbnail

Silicon Valley Bank Failure – Lessons in Interest Rate Risk Management

South State Correspondent

While we will cover the general lessons HERE , in this article, we wanted to focus on the root cause – how and why interest rate risk caused the second-largest bank failure in US history (Washington Mutual was the largest in 2008). That fact makes the bank’s deposits less sticky and subject to outflow at any sign of insolvency.

article thumbnail

5 Reasons to Increase SBA Loan Origination at Your Bank or Credit Union

Abrigo

B y marketing that your financial institution offers SBA loan origination, you provide additional products that expand opportunities to businesses. In the secondary market, guaranteed loans are liquid and command a premium. Offering SBA lending at the institution is a good way to “get in the door” with good credits.

Lending 195
article thumbnail

5 Reasons to Increase SBA Lending at Your Bank or Credit Union

Abrigo

B y marketing that your financial institution offers SBA loans, you provide additional products that expand opportunities to businesses. I’d say do it right now.” Wear noted that in the 2008 financial crisis, when the SBA similarly increased guarantees of 7(a) loans to 90%, it ran out of funding before the end of the fiscal year. “I

Lending 195
article thumbnail

SVB: Early lessons for all financial institutions from Silicon Valley Bank’s failure

Abrigo

Historic collapse SVB is different from other financial institutions The FDIC closure and assumption of Silicon Valley Bank (SVB) – the largest bank failure since 2008 – is a stark reminder that when a crisis occurs, it can spread as fast as a wildfire in dry fields with a strong wind. Boy, did that impact capital ratios.

Strategy 195
article thumbnail

Predicting the Next Banking Crisis Is a Fool’s Game. Not Learning From the Last One: Equally Foolish

Jeff For Banks

Finally, resolution of failing financial institutions requires that the deposit insurance fund be strongly capitalized with real reserves, not just federal guarantee.” According to the FDIC, the causes of the 2008-09 financial crisis lay partly in the housing boom and bust of the mid-2000s; partly in the degree to which the U.S.

FDIC 78