Lending Revenue Growth
Can you get more out of your lending program?
Your members deserve the best. Long wait times, complicated processes, mispriced products, and mediocre service are lending growth and performance killers.
We are uniquely qualified to help you achieve a higher level of success from your largest source of revenue, your loan portfolio. From short- and longer-term planning, to identifying key areas of opportunity to safely grow and diversify your portfolio within your desired credit risk appetite and best implementation practices, we can assist.
Critical areas in maximizing your portfolio opportunity include: Optimizing your portfolio mix, pricing strategy, establishing target asset quality metrics which align with your credit risk management program, products, and best practices.
We welcome discussion on how our Lending Program Assessment can assist your credit union!
We provide short-term (6 months) and long-term strategic planning assistance
- Lending Program GAP analysis – We can perform a GAP analysis on your current lending program helping to establish a roadmap that addresses portfolio concentration mix, product, yield opportunities, asset quality, staffing, and system considerations.
Board and Senior Management visibility into the credit union’s lending program and portfolio is critical to successful strategic risk planning and monitoring and goes beyond the standard board reporting package provided by many credit unions. Outside perspective can assist in deeper SWOT discussions and raise the overall level of understanding of the loan programs potential and challenges.
We provide lending policy and product assessments as well offering design services.
Developing a strong credit culture and organizational alignment
- Credit Risk Management Plan – A well-documented portfolio risk monitoring plan helps drive enhanced credit culture by providing clear definition of the organizations risk appetite, risk monitoring, and an ongoing reporting plan for the portfolio. Incorporating key lending scorecard metrics for tracking performance drives visibility and accountability.
A credit union’s desired portfolio mix is generally determined by several strategic, market, and credit factors considered during the strategic planning process. We can help review the key factors that drive a loan portfolio composition for your specific risk appetite and desired credit culture.
Lending Team Development
CU Lending Development Advisors partner with credit unions to cost effectively provide lending management and team development as well as lending program guidance focused on promoting added membership value to the credit union.
Many lending managers spend their careers in single or dual lending disciplines, be it consumer, real estate, commercial, or collection roles. Driven lending managers desire ways to broaden their experience covering all four key lending areas and better position themselves to assume a higher-level SVP or CLO role, overseeing all lending functions within the CU.
✓Lending Team Design
✓Lending Team Skills Assessment
✓Lending Manager Coaching and Development
✓Customized Lending Team Training
The Lender Development program is designed for organizations and key lending managers that desire added technical lending and leadership development to broaden their lending perspective. The program provides an excellent retention tool that can augment other compensation-based management retention programs by focusing on retaining and developing key lending managers.
The changing digital delivery of financial services require well-integrated and optimized, end-to-end lending technology solutions. Outdated legacy systems and manual workflow processes hinder the ability to provide the high-level member experience required for extraordinarily successful credit unions in today’s highly competitive environment. The combination of local, personal, and universally accessible service offerings can make a huge difference in loan portfolio growth.
We can assist you in design, selection, automation, and optimization of your lending platform workflow for consumer, real estate, commercial, and collection areas. We pursue value innovation within your process and seek to remove any non-value-added tasks while building capacity and capability for added loan growth.
Our services can include:
Whether your need involves additional resource assistance with implementation of an enterprise lending platform, or automation and optimization of your existing workflow, we can add cost-effective value to your process and enhance member and employee experience.
Our team can design improved dashboard visibility and timely reporting for lending queue management to ensure achievement of service level agreement on faster turn times. This is a key tool that can help lending managers convert a high percentage of apps to funded loans.
Successfully increasing the number of loans that are system decisioned based upon your credit appetite can result in significant benefits to member experience, accelerate growth, and provide a cost-effective workflow.
Providing a suite of services to local small business can provide a valuable service within your community and help grow membership. We have helped dozens of credit unions design and implement a cost effective small business lending program including design and training through implementation.
The current make up of your loan portfolio provides valuable insights into your practices, risk appetite, and opportunities. We can help analyze your portfolio and recommend enhancement opportunities to match your desired risk appetite.
Prudent lending practices require an independent third party to review the quality and thoroughness of your credit union’s underwriting and file documentation. From underwriting and individual file reviews to full portfolio and operations reviews, our experienced lending team is familiar with best industry practices within the credit union industry. Engage us to perform an independent review of all areas, or a portion of your loan portfolio.
Risk based pricing should be actively monitored to ensure competitive pricing as well as achieving acceptable product yields. We can perform an independent risk-based product pricing analysis resulting in recommended adjustments to augment growth, quality, and/or net yield.
Effective portfolio management is an area where data analytics and the use of scorecard reporting can be a key to managing timely pricing and underwriting adjustment decisions to maintain the asset quality and desired net yield of the portfolio. We can assist in establishing desired growth target metrics for each product and credit tier within the portfolio and measuring the ongoing performance.
Do you want to ensure that you are in excellent shape going into your next Exam cycle? Let us provide you a pre-exam lending assessment covering the key hot button areas within your lending portfolio.
A well-focused Credit Risk Management Program can help to reduce losses and provide a feedback loop for underwriting new loans. We can perform an independent review of your loss mitigation practices.