Why Practice Systematic Loan and Relationship Pricing?

Financial institutions can be divided into two groups: those that are generally thorough and systematic about loan pricing, and those that are pricing on the back of a napkin.   The obvious best approach unfolds when examining the best practices of financial institutions that have successfully implemented a loan and relationship pricing solution.   Institutions that practice […]

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Loan Pricing Strategies That Deliver

Loan Pricing Strategies That Deliver

As interest rates continue rising, community financial institutions that take a more strategic and data-driven approach to loan pricing and portfolio management will stand to benefit from the strengthening economy. Loans are one of the most profitable ways to leverage an institution’s funds, so banks and credit unions with an extensive understanding of their loan […]

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Funds Transfer Pricing – Simple Can Work

Traditional sources utilize the institution’s individual loan account interest rates compared to an overall cost of funds; while the institution’s individual deposit account interest rates compared to the overall yield.  In this methodology, deposits are evaluated as a single source of funds and loans/leases are evaluated as a single use of funds.  Each pool is […]

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