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Tag: credit risk


Capital and Risk, Liquidity

Covid-19: A Driver for a New Era of Credit Risk and Rating Systems

May 7, 2020

Via: Finextra

The emergence of Covid-19 in Wuhan, China last December began a prolonged assault on the most important areas of our lives – our health and our financial wellbeing. Both are intrinsically linked, as we appreciate all too well these days […]


Capital and Risk, Credit

Credit Due Diligence Is Even More Important Now

April 17, 2019

Via: Bank Director

With loan quality generally viewed as benign while M&A activity continues into 2019, is any emphasis on credit due diligence now misplaced? The answer is no. With efficiency driving consolidation, bank boards and management should not be tempted to take […]


Capital and Risk, Credit

AI to outperform human credit decisions by 2024 – survey

January 21, 2019

Via: Finextra

Intertrust, a global leader in providing expert administrative services to clients operating and investing in the international business environment, surveyed over 500 capital markets executives to identify the impact that disruptive technology is having on jobs and skills. Of these, […]


Capital and Risk, Credit

Why deposit strategy must be a top priority

May 23, 2017

Via: Banking Exchange

It’s time to accept the reality that deposit costs are likely to increase. The questions at hand are: • How quickly will this increase play out? • How will net interest margin performance be impacted? Prelude to general rate hikes […]


Capital and Risk, Credit

Age, economy and regulation: How a decade has changed the credit risk industry

April 28, 2017

Via: Finextra

Ten years ago, the Bank of England interest rate sat at 4.75% Now? Now it sits at the unhappily low rate of 0.25%. To put this in perspective, on a £150k mortgage over 25 years, today’s payment would be £516 […]


Capital and Risk, Credit, Retail Banking

Access to consumer credit grows amid concerns

February 27, 2017

Via: Banking Exchange

The consumer credit market performed well in Q4 2016, according to TransUnion’s latest quarterly Industry Insights. A sampling of the trend: The number of consumers with access to credit products increased by 12 million, and balances rose across all products. […]


Capital and Risk, Credit

Loan participations: proceed with caution

January 19, 2017

Via: Banking Exchange

The purchase and sale of participations in commercial mortgage loans is a fixture of real estate lending, allowing the original lending institution to enhance liquidity and pursue additional financing opportunities while spreading its risk. For participating banks, diversifying portfolios without […]


Capital and Risk, Credit

Reserves—a weighty decision

December 16, 2016

Via: Banking Exchange

Banks and thrifts cut provisioning in the third quarter despite some concern that the credit cycle is approaching a turn. During the 2008 credit crisis, banks built huge reserves to handle the massive spike in mortgage defaults. As mortgage delinquencies […]


Capital and Risk, Credit

Can address stability predict credit risk?

December 12, 2016

Via: Banking Exchange

Moving residences is an inevitable life event. Everyone does it sooner or later, some more than others. The move can be exciting news: relocating for a new job, buying a first home, retiring to a warmer climate. It can be […]


Capital and Risk, Credit

Time for capital planning is now

July 26, 2016

Via: Banking Exchange

Bankers continue to face the unfortunate challenge of preparing for rising interest rates, while living in the midst of a falling rate environment. And that’s not all. Take continued global economic uncertainty—flight to quality/safety/higher yields with longer term U.S. bond […]


Capital and Risk, Credit

How are marketplace lenders’ lenders doing?

June 8, 2016

Via: Banking Exchange

A trio of banks have become increasingly reliant on the digital lending industry as a revenue driver, an unpredictable bet as even the largest platforms scramble to shore up funding. Digital lenders partner with banks so they can offer loans […]


Capital and Risk, Credit, Regulations

Credit reporting’s new expectations

June 1, 2016

Via: Banking Exchange

By Aug. 12, 2018, thousands of furnishers of credit information may have to significantly alter their policies, procedures, and processes as a result of a massive, multistate investigation and subsequent legal agreement between three of the largest U.S. credit reporting […]


Capital and Risk, Credit

What are big bank earnings telling us?

April 19, 2016

Via: Banking Exchange

It’s quarterly “earnings season” for publicly traded companies and banking seems to be receiving more than its fair share of attention. So far, the reported banking results for the latest quarter appear to be a muddle: not so good, better […]


Capital and Risk, Credit

Fintechs pull ahead in personal loans

April 18, 2016

Via: Banking Exchange

A rising tide may lift all boats, but sometimes some boats are lifted higher than others. While personal loans to near prime and prime consumer borrowers have been rising across four categories of lender, fintech players have pulled ahead of […]


Capital and Risk, Credit

Your borrower’s had a construction accident …

April 13, 2016

Via: Banking Exchange

Construction accidents can cause major disruptions and delays, and may result in the need to refinance a project. Banks may incur sizeable losses in connection with such refinancings, including fees paid to attorneys and other professionals, and reduced or forgiven […]