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Ag lending outlook & top challenges

Abrigo

As farmers adjust their credit needs in response, banks with a higher share of agricultural loan activity (“ag banks”) may see demand for loans increase,” Kansas City Fed economist Francisco Scott said in a recent research report. Department of Agriculture projects a 4.5%

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How to Measure Interest Rate Risk Effectively in Banks & Credit Unions

Abrigo

Measuring Interest Rate Risk Can Vary by Institution Interest rate risk measurement plays a key role in ensuring an institution's safety and soundness. Would you like other articles on asset/liability management in your inbox? FDIC) noted in its 2021 Risk Review. Credit Risk Management. Learn More.

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Community Bank Outlook: Challenges and Opportunities in 2021 and Beyond

Abrigo

One key area that can be both an obstacle and an opportunity for community banks is technology, the Federal Reserve Bank of Kansas City says. Technology can help streamline and automate many manual lending processes, reduce compliance costs, and enhance risk management.

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How to stress test your ag portfolio

Abrigo

The report, from the Federal Reserve Bank of Kansas City , stated that demand could remain high since futures markets for fall crops show prices are likely to remain low because of the potential for another record harvest.

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CFPB announces new appointments to advisory groups

CFPB Monitor

Trent Sorbe, President, Central Payments Division, Central Bank of Kansas City, Kansas City, MO. Raynor Zillgitt, Vice President Risk Management and General Counsel, Lake Trust Credit Union, Brighton, MI. Cal Ratcliff, Senior Vice President, Chief Compliance Officer, Bank of North Carolina, High Point, NC.

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For Ag Lenders, Farm Outlook Warrants Watching

Abrigo

The Kansas City Fed reported in May that wheat and corn prices were 60% and 30% higher, respectively, than a year earlier at the end of the first quarter. Kansas City Fed researchers in late May reported, “Farm production expenses, which had already been on the rise, increased even more sharply in the first quarter….

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Agricultural Alert!

Independent Banker

This leaves federal crop insurance support as a key risk-management tool. It’s a crucial risk-management tool” for 1.7 The volume of agricultural loans used to cover current operating expenses “remained historically high” in the fourth quarter of 2015, the Federal Reserve Bank of Kansas City reports.