South State Correspondent

How Banks Are Using AI for Document Intelligence

South State Correspondent

Banks are full of documents. Each document contains an extensive array of data. Just keeping track of non-disclosure agreement terms is a huge task.

Deposit Profitability – The Operating Cost of Your Deposits

South State Correspondent

A couple of weeks ago, we delved into the origination and operating costs of manufacturing commercial loans ( HERE ). In this article, we delve into deposit profitability and highlight the cost structure of deposits.

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Here Is How To Calculate Your Bank’s Cost Of Capital [Calculator]

South State Correspondent

the As interest rates go back up and volatility continues to remain high, banks’ cost of capital has undergone a significant shift up. Your cost of capital is essential to know for several reasons. Mostly, it gives your board and shareholders a yardstick in which to gauge a bank’s return.

Loan Refinancing – Is Now The Time To Talk To Borrowers?

South State Correspondent

reIt is counterintuitive that you might want to advise borrowers to do a loan refinancing at this stage of the interest rate cycle. The FOMC has raised short-term interest rates by 3.75% in the eight months between March and November.

What Lenders Need To Know: Increase of Standardized Loan Rejections

As the CRE market continues to tighten, the rejection of substandard loan documentation is on the rise. Don’t put your loans at risk. Check out the Infographic.

Should You Advice Borrowers to Refinance Their Loans?

South State Correspondent

The FOMC has raised short-term interest rates by 3.75% in the eight months between March and November. The market is now forecasting an additional 1.25% in hikes by early next year. Borrowers and lenders continue to be surprised by the speed of these increases.

The Bank Talent Acquisition Opportunity

South State Correspondent

Almost every bank has some form of “human capital management” in its top three challenges for the coming years.

Should You Be Marking Loans To Market?

South State Correspondent

Available-for-sale securities are reported at fair value, and any unrealized gains and losses are included in accumulated other comprehensive income (AOCI) in the equity section of the balance sheet.

Higher Rates – Faster for Longer

South State Correspondent

In the last 12 months, the Federal Reserve went from arguing that inflation was a transitory phenomenon to raising interest rates to fight runaway inflation by three percent in just six months.

Post Fed – A Lending Tactic For The Yield Curve Inversion

South State Correspondent

This week the FOMC increased the Fed Funds rate by 75 bps, as expected to the 3.75% to 4.00% target range. The Effective Fed Funds rate jumped up and should stabilize at 3.83%, as did the 1-month term SOFR, to 3.79%.

Digitally Transforming the Engagement Experience for Financial Institutions

Customer experience has become a key differentiator. Learn how to launch your digital transformation by incorporating two customer experience trends into your digital transformation strategy: self-service & personalization.

10 Big and Small Ideas From Gartner and Money 20/20 – Recap

South State Correspondent

Our teams just returned from back-to-back weeks at the Gartner Symposium in Orlando and Money 20/20 in Las Vegas. Gartner focused on technology infrastructure, while Money 20/20 was around fintech and payments.

We Need Your Help! Please Give Us 6 Minutes to Complete This Survey

South State Correspondent

Help us, help you. It is budget and strategic planning season, and many banks have asked for this data in order to help calibrate their bank. We are asking about your expected budgets, views on the economy, prospects for growth, and the most significant challenges.

Survey 195

7 Rules To Improve Total Experience Using the “Time-on-Task” Methodology

South State Correspondent

We covered various frameworks to “wow” your customer HERE. We covered why “Time-on-Task” (or the companion Customer Effort Score) is the ultimate metric in banking HERE. In this article, the last in the series, we give you seven rules to improve your bank.

How To Assign FTP Attribution to a Loan

South State Correspondent

In a previous article ( HERE ), we discussed the concept of Funds Transfer Pricing (FTP), why systemically important banks and large regional banks incorporate FTP, and why community banks should also consider implementing FTP.

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The Lender's Guide to Automating Complex Loans

Providing commercial lenders with key insights into how commercial lenders can automate small-balance, mid-market, and large-cap loan documentation with advanced technology.

“Time-on-Task” Should Be Your Dominate Banking Metric

South State Correspondent

While “customer delight” is a worthy goal, few banks should focus on the concept. We covered various methodologies HERE.

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Why You Need To Use Funds Transfer Pricing in Banking

South State Correspondent

Funds transfer pricing (FTP) has been an essential tool for financial institutions for several decades. FTP was introduced to banks in the early 1980s to help manage interest rate risk on a transactional basis.

Treasuries Rethink a Fed Pivot

South State Correspondent

Treasuries Rethink a Fed Pivot. Treasury yields are higher this morning as investors rethink the probabilities of a Fed pivot anytime soon.

Survey 195

Customer Satisfaction – How To “Wow” Your Customer in Banking – Part I

South State Correspondent

While we believe in “Wowing” your customers as a concept, we don’t believe in it as a strategic focus as a bank. The idea is too challenging to execute.

How To 195

The New 7 Facts on Housing Interest Rates and What Banks Can Do About It

The CRE multifamily sector has created tremendous momentum that won’t be slowed by interest rate hikes. Check out the facts right here!

How To Talk To Commercial Borrowers After The Future Path of Interest Rates

South State Correspondent

The Federal Reserve Open Market Committee (FOMC) has raised short-term interest rates by 3.00% in the six months between March and September. The market is now forecasting an additional 1.25% in hikes by year’s end, with the next move coming on November 3rd.

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The Week Opens with Treasuries in Rally Mode

South State Correspondent

The Week Opens with Treasuries in Rally Mode. The week opens with Treasuries rallying on a combination of flight-to-safety and talk that yield highs for this cycle may be in place. Since touching 4% last Wednesday the 10yr yield has fallen to 3.68% this morning, up more than a point in price.

ADP Employment Change Report Reappears

South State Correspondent

ADP Employment Change Report Reappears. It had been a ritual for years during jobs week that the ADP Employment Change Report would be released on Wednesday and provide a bit of a heads up for the Friday BLS jobs numbers.

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The Bank of England Blinks

South State Correspondent

The Bank of England Blinks.

How to Choose the Best Automated Documentation System for Commercial Loans

Not all automated loan doc prep solutions are created equal. That is why we have put together a checklist to help you evaluate potential partners and find the best-automated documentation system for your requirements and needs.

The Terminal Fed Funds Rate – How Far Will The Fed Go?

South State Correspondent

Last week the Federal Reserve again raised the Fed Funds rate by another 75 basis points – and again, that was in line with the market’s expectation. The question is when will the Fed stop, and what will be the terminal Fed Funds rate?

The Fed and Their Forecasts

South State Correspondent

The Fed and Their Forecasts. Now that the FOMC meeting has come and gone, and the Treasury and equity markets have resumed their selling as a consequence, let’s take a look at those forecasts and see what they might tell us.

Fed Hikes Rates With Promises of More to Come

South State Correspondent

Fed Now Projects Fed Funds Rate to Peak at 4.50% – 4.75%.

10 Big Bank Marketing Lessons from the ABA Bank Marketing Conference

South State Correspondent

Last week, the American Banking Association (ABA) held its annual Bank Marketing Conference in Denver, receiving rave reviews. The theme was – developing your marketing superpowers.

Digital Commercial Lending Technology Case Study: Increasing Loan Volume and ROI

In this Commercial Lending Case Study, you'll discover how to leverage digital lending technologies to accelerate growth and leapfrog the competition in the private lending market. A new and innovative approach to mortgage lending — growing lending volume by orders of magnitude.

Fixed Rate Loan Risk – Rethinking The 5-Year Offering

South State Correspondent

For decades community banks have taken on fixed rate loan risk mostly through the offering of five-year, fixed-rate, commercial term loans. This is probably the most popular structure for real estate-secured term credit at community banks.

Fed Week Arrives

South State Correspondent

Fed Week Arrives. With another hawkish FOMC announcement due on Wednesday afternoon, Treasuries are not waiting around as the selling has already begun this morning. The 2yr Treasury is yielding 3.94%, a new cycle high, while the 10yr Treasury is trying to push above 3.50%.

Treasury Yields Continue to Creep Higher

South State Correspondent

Treasury Yields Continue to Creep Higher. Another round of global risk asset selling has our markets ready to open lower and Treasuries are going along for the ride. S&P 500 equity futures are indicated lower by 51 points to 3868.

Finally, a Cooler CPI Report

South State Correspondent

Finally, a Cooler CPI Report. For the first time in what seems like forever, CPI came in cooler than expected and markets, both Treasuries and stocks, are rallying as a result. The overall inflation rate was unchanged for the month versus the 1.3% increase in June and better than the 0.2% expected.

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Powering Personalization Through Customer Data

Finding the right CDP can help unlock the value of your customer data. This eBook offers guidance on choosing, deploying, and utilizing a CDP, along with a case study on how one bank put data into action to forge stronger connections with customers.