Today’s loan pricing environment borders on being irrational. Lenders are under increasing pressure to compromise rate and terms in order to get the loan. Many lenders have no concept of the required rate to cover the bank’s cost and meet its profit objective nor have they learned how to win the borrower’s business on a basis other than price.
Lenders can add value by using their knowledge of the customer’s business and insight gained from financial analysis to show the customer how to make more money. This added value merits additional compensation.
The business of banking is risk management. A critical part of risk management is pricing for risk. Traditionally, banks have done a poor job of pricing for risk. Lenders often do not have a clear sense of how to translate risk ratings to risk premiums to be incorporated in loan pricing.
Who Should Attend:
Lenders 1-3 years experience
More seasoned lenders as appropriate
Program Length: One Day