Independent Banker

AUGUST 31, 2021

This year’s winners: Left: Central Valley Community Bank, People’s Choice Award; Middle: Kennebec Savings Bank, Exceptional Community Bank Service Award; Right: Cross River Bank, Emerging Service Program Award. Exceptional Community Bank Service Award. Kennebec Savings Bank.

Community Bank 196

Community Bank Community National Fresno 196

South State Correspondent

MARCH 5, 2024

Several measurable factors drive loan (and, by extension, bank) profitability, including loan size, credit quality, term, cross-sell, and upsell. In this article, we will consider how and why loan size is one of the most significant drivers of profitability for community banks and what community banks can do to improve performance.

Community Bank 195

Community Bank Community National Lending 195

South State Correspondent

MARCH 5, 2024

Several measurable factors drive loan (and, by extension, bank) profitability, including loan size, credit quality, term, cross-sell, and upsell. In this article, we will consider how and why loan size is one of the most significant drivers of profitability for community banks and what community banks can do to improve performance.

Community Bank 195

Community Bank Community National Lending 195

PYMNTS

APRIL 23, 2020

The market will be watching closely whether financial institutions (FIs) are able to address some of the biggest headaches from the first round of PPP loans, namely an influx of applications that can overwhelm lenders’ systems. The companies said their initiative is geared toward enabling community FIs a competitive edge.

Fresno 142

Fresno Regional Fintech Lending 142

PYMNTS

JANUARY 9, 2018

With big banks pulling back from small and medium-sized business (SMB) lending in the wake of the global financial crisis, the market was ripe for someone else to fill the credit gap. But small business lending is only one part of the banking puzzle. Enter: alternative lenders.

Community Bank 131

Community Bank Community Fintech Lending 131

PYMNTS

NOVEMBER 13, 2018

To that end, news came earlier this week in the United States that a dozen community and regional banks have formed a group aimed at exploring the opportunities amid FinTech offerings. This time around, Sweetbridge is using blockchain in a lending context.

Community Bank 183

Community Bank Community Fintech Arizona 183

Abrigo

FEBRUARY 23, 2023

Meanwhile, leaders at small banks recognize that their institutions play a vital role in helping community businesses and individuals not only weather uncertainty but also thrive. How can community financial institution leaders manage their challenges and seize their opportunities at the same time?

Community Bank 195

Community Bank Kansas City Community Lending 195

South State Correspondent

JANUARY 25, 2024

The forward rate lock allows a win-win outcome for both borrowers and banks. As we have discussed before ( HERE ), one common lending mistake is for lenders to hold a rate constant during underwriting. If rates rise, the bank eats this cost often not knowing that there is a negative mark-to-market value on the loan from Day One.

How To 195

How To Community Bank Community National 195

South State Correspondent

NOVEMBER 29, 2023

One of the lessons that was driven home at the recent American Banker Small Business Banking Conference in Nashville was the difference in marketing between large national banks and community banks, particularly deposit marketing. Many banks fall into the “recency trap.”

Marketing 195

Marketing Regional National Nashville 195

Abrigo

JANUARY 22, 2015

According to a recent survey from four Federal Reserve Banks, small regional and community banks have the highest approval rate for small business loans. The 2014 Small Business Credit Survey was a joint operation conducted by the Federal Reserve Banks of New York, Atlanta, Cleveland and Philadelphia.

Community Bank 150

Community Bank Community Regional Cleveland 150

Abrigo

NOVEMBER 21, 2014

Now that banks have filed their third quarter financial reports , what did the lending picture look like last quarter? banks is up $157 billion from the same period in 2013. However, Q3 commercial lending is down from the beginning of 2014 (quarter ending 3/31/2014) by about $67 billion. From that subset of all U.S.

Lending 186

Lending South Carolina Miami Community Bank 186

South State Correspondent

APRIL 18, 2023

We concluded that the market does not adequately compensate banks for credit and interest rate risks. Top-performing community banks deploy relationship banking. We define relationship banking as a model focused on a consultative banking approach. uses at our bank.

Strategy 195

Strategy Regional Industry Community Bank 195

South State Correspondent

APRIL 10, 2023

The current banking crisis has put a magnifying lens on all non-Too-Big-Too-Fail banks. While the market focuses on deposits and liquidity, media pundits and analysts are waiting for credit problems to appear. Of all the credit risks within banks, one of the largest is in commercial real estate exposure.

Community Bank 195

Community Bank Community Los Angeles Regional 195

South State Correspondent

MARCH 5, 2022

Community banks face intense competition for profitable borrowers and relationships. With short-term interest rates rising and long-term rates still at historically low levels, all bankers should understand how swap spreads may provide a competitive lending advantage. The Impact on Bank Lending. Conclusion.

Community Bank 195

Community Bank Lending Community Regional 195

PYMNTS

AUGUST 12, 2019

One area of impact is small business finance and lending, with small businesses and lenders seeing a slowdown in demand. Small business lending platform Funding Circle commented on this effect in its latest earnings data, noting that there has been “some deterioration” in its higher-risk small business loan bands in the U.K.

Lending 144

Lending US Capital Data 144

South State Correspondent

FEBRUARY 20, 2022

Community banks refine their products and services to compete for better borrowing relationships – the better borrowing relationships are associated with better credit quality, meaningful cross-sell opportunities, acceptable margins and fee income, and higher return on equity (ROE). Using Loan Maturity as Differentiation.

Community Bank 195

Community Bank Community Marketing Regional 195

PYMNTS

SEPTEMBER 24, 2020

smaller community banks and credit unions (CUs) stepped up to the plate and, according to the Small Business Association (SBA), ended up facilitating more than half of PPP loan volume to SMBs. That's good news for community banks and credit unions, which could see a wave of new SMB customers and members in the coming months.

Community 193

Community Community Bank Regional Lending 193

PYMNTS

SEPTEMBER 12, 2018

Small businesses’ access to traditional loans continues to grow as loan applications at big banks reached new heights last month, the latest Biz2Credit data showed. In its monthly Small Business Lending Index, released Tuesday (Sept. 11), Biz2Credit found that big banks in August approved 26.5 percent from July.

Lending 102

Lending Community Bank Taxes Community 102

South State Correspondent

AUGUST 21, 2022

Last week we wrote about loan-level vs. balance sheet hedging for community banks and provided our loan proposal generator ( HERE ). We compared and contrasted the two strategies and sized the market for community banks. A community bank may transact one or only a few balance sheet hedges over many years.

How To 195

How To Community Bank Community FDIC 195

South State Correspondent

APRIL 10, 2023

Fair value accounting measures assets and liabilities at current market value instead of historical or amortized value. Nonetheless, with the recent collapse of sizeable regional banks, regulators, investors, analysts, accountants, and bankers are now scrutinizing the fair value of banks’ securities and loan portfolios.

Community Bank 195

Community Bank Community Security Capital 195

South State Correspondent

JANUARY 20, 2023

2022 will go down as one of the worst years for community bank loan mispricing when viewed on a spread basis. Rapidly rising rates crushed performance as many banks held a fixed rate constant and/or booked a fixed rate loan at a misguided level. Banks had tight spreads on loans with 1.2 Multifamily is the other call-out.

Lending 195

Lending Community Bank Community Data 195

South State Correspondent

MAY 3, 2023

How FTP Changes Decision Making We were not on the board of FRB, and we did not participate in that bank’s ALM meetings, but we interact with banks that get into the same pickle by not employing FTP. In fact, we had a conversation just last week with the head of a lending division at a large regional bank.

Lending 195

Lending Capital Management Tools 195

South State Correspondent

MAY 2, 2023

How FTP Changes Decision Making We were not on the board of FRB, and we did not participate in that bank’s ALM meetings, but we interact with banks that get into the same pickle by not employing FTP. In fact, we had a conversation just last week with the head of a lending division at a large regional bank.

Lending 195

Lending Capital Management Tools 195

South State Correspondent

MAY 2, 2023

How FTP Changes Decision Making We were not on the board of FRB, and we did not participate in that bank’s ALM meetings, but we interact with banks that get into the same pickle by not employing FTP. In fact, we had a conversation just last week with the head of a lending division at a large regional bank.

Lending 195

Lending Capital Management Tools 195

South State Correspondent

MARCH 6, 2023

We argued that community banks should favor 1.40X to 1.50X DSCR credits, as that is the minimum cash flow required to withstand a standard recession. Many national and regional banks incorporate a minimum debt yield ratio as an underwriting criterion. debt yield ratio ($135k divided by $1.5mm).

Community Bank 195

Community Bank Community Lending Regional 195

South State Correspondent

JANUARY 4, 2023

In addition, with the threat of a recession and dramatically increasing cost of funds, there is a solid argument to be made that banks should be shrinking rather than growing. That said, smart banks will make growth a byproduct and ensure they have all their other processes right. Yeah, that was a mistake. Then there is credit.

Community Bank 195

Community Bank Capital Training Lending 195

FICO

OCTOBER 2, 2019

The room for expansion is extensive and I don’t think it will take extraordinary measures in order to increase that market share significantly. I would like to examine what I think ‘small banks’ (community banks, regional banks, and credit unions) can do to capture more market share of the small business lending market.

Lending 40

Lending Marketing Community Bank Online 40

PYMNTS

JUNE 18, 2018

Biz2Credit’s latest Small Business Lending Index found that loan approval rates at alternative lenders stagnated – and at credit unions, they actually fell. Thirty percent of small business loan applications at big banks got approved in May, according to Biz2Credit’s latest Small Business Lending Index.

Lending 112

Lending Community Bank Regional Community 112

South State Correspondent

JANUARY 22, 2023

In a previous article ( here ), we discussed why commercial loan prepayment protection would be a critical return on asset (ROA) driver for community banks in 2023. We outlined the four main reasons why prepayment provisions increase profitability for banks. This cost to the bank is shown in the graph below.

Community Bank 195

Community Bank Community Capital Maine 195

PYMNTS

JULY 31, 2017

According to the FinTech’s latest “ Performance Against Customer Expectations (PACE) Report ,” SMEs are unhappy with a lack of options for high-tech products and services, and as more small businesses switch banks, analysts say this discontent could accelerate bank-switching among the nation’s small business community.

Survey 112

Survey Community Bank Community Regional 112

South State Correspondent

SEPTEMBER 20, 2023

For starters, a customer may carry large balances but not generate franchise value if those balances are all in high-paying money market accounts or are highly volatile. The value driver in cash management is that it is usually some sort of operating account at the bank. What client does the bank want and can service?

Management 195

Management Survey Industry Community Bank 195

ABA Community Banking

JANUARY 8, 2020

As banking becomes ever more technology-driven, many banks are shifting from a mindset that puts big tech projects off to one side to one that embraces ongoing innovation, development and deployment. Regions Bank exemplifies the latter mindset.

Regional 52

Regional Innovation Technology Customer Experience 52

PYMNTS

OCTOBER 8, 2018

Also in Europe, the European financial markets regulator has said that it wants to spend one million euros to promote market stability in the region as pertains to cryptocurrencies and FinTechs. That document focuses on budgets and regulatory efforts across the region. community banks and small business lending.

United States 174

United States Regulation cryptocurrency Cleveland 174

Gonzobanker

FEBRUARY 8, 2022

Maybe instead of Acquire or Be Acquired, this conference should be called Evolve or Be Acquired,” observed Eric Sprink, CEO of Coastal Community Bank in Everett, Wash., and a trailblazer in the world of banking as a service (BaaS). An arms race in marketing and digital cannot be ignored. What does this mean?

Fintech 167

Fintech Customer Experience Conference Technology 167

Gonzobanker

DECEMBER 14, 2023

Not the financial industry’s “Troublemakers ” – those regional and community banks, credit unions and supporting fintech entrepreneurs who continue to engage customers and communities and find niches that keep the grassroots of our country’s financial system alive and kicking. billion bank in the Mid-Atlantic region.

Fintech 195

Fintech Community Regional Technology 195

Independent Banker

JULY 31, 2022

Fallout from recent global events presents an obstacle to generating revenue for community banks. Since COVID-19, profitability planning for community banks has mainly hinged on how the government was coping with the pandemic and the key role financial institutions played in keeping the economy afloat. By Elizabeth Judd.

Strategy 135

Strategy Community Bank Louisville Community 135

PYMNTS

MAY 30, 2018

Financing of all sorts was on the downswing, and SMB owners began dipping into their own piggy banks before seeking a lending agreement. That finding comes care of data gathered by 12 regional Federal Reserve banks in a survey conducted over the third and fourth quarter of 2017.

Lending 115

Lending Community Bank Survey Community 115