Description
In this session we will cover the most common pricing mistakes found in community financial institutions, and look at a sound approach that can be quickly implemented to immediately improve results.
Background
Banks and credit unions across the country are now over 6 years into an environment of low rates, little loan demand, and an abundance of liquidity. These factors have combined to create a brutally competitive loan market, with financial institutions choosing between shrinking portfolios or extremely aggressive rates and terms. Those institutions with a consistent and disciplined pricing strategy have been winning the right deals, and are out performing their peer groups. Those without a consistent process have actually managed to add risk by mispricing the significant risk that lurks in this rate environment. In this session we will cover the most common pricing mistakes found in community financial institutions, and look at a sound approach that can be quickly implemented to immediately improve results.
Agenda
• Recent industry trends
• Potential pricing mistakes
• The risks that need to be quantified in every deal
• How to implement a simple but effective pricing system
Benefits
Following this session, attendees will be able to:
• Evaluate the effectiveness of their current pricing methodology
• Better quantify the risks in the loan portfolio
• Consistently price individual deals
• Find alternatives that meet both the borrower’s needs and those of the bank
Who Should Attend
• Financial Officers
• Senior Lenders
• Risk Managers
• Loan Officers
• Credit Officers