South State Correspondent

MARCH 5, 2024

In this article, we will consider how and why loan size is one of the most significant drivers of profitability for community banks and what community banks can do to improve performance. However, a community bank’s average commercial loan size is between $250k and $500k.

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South State Correspondent

JANUARY 25, 2024

This strategy is used for various reasons discussed further in this article. Forward Rate Lock Tools National lenders have been using locks for decades, and these instruments can take many forms. But this application also prevents competition from national banks after the construction and stabilization.

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How To Community Bank Community National 195

South State Correspondent

MAY 18, 2022

In two recent articles, we reviewed the banking industry’s deposit behavior with regard to cost of funding earning assets (COF) ( HERE ), and we compared how community banks’ COF behaves relative to national banks in a rising interest rate cycle ( HERE ).

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Community Bank Community Analysis Industry 195

Abrigo

SEPTEMBER 22, 2015

Many community banks see this as a welcomed move towards offering smaller institutions some relief from the regulatory pressures of their larger, national counterparts. An article in American Banker noted that preparing call reports have become increasingly time-consuming and complex. Sound is a $500 million institution.

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Community Bank Community FDIC Survey 150

South State Correspondent

JULY 10, 2023

This article will review domestic banks’ adoption of interest rate swaps. Next week’s article will consider the challenges and possible solutions for community banks to adopt loan hedging programs. We will delve into this topic in greater detail in a future article. On average, 80.4%

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Community Bank Community Tools Management 195

South State Correspondent

JUNE 21, 2022

This decision coincided with rate hikes by the Swiss National Bank, its first since 2007, the Bank of England, and the European Central Bank announced at an emergency meeting that they would raise interest rates next month and again in September. What worked effortlessly for the last 14 years may not work for the next business cycle.

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Community Bank Policies Community Marketing 359

Perficient

DECEMBER 27, 2023

Additionally, the recent rule by the OCC, the Federal Reserve, and the FDIC strengthens and modernizes Community Reinvestment Act (CRA) regulations. Your Expert Partner Perficient’s Financial Services Risk and Regulatory CoE will continue updating our audience with more upcoming articles dissecting the 1,400+ page CRA.

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Compliance FDIC Regulation Fraud 221

South State Correspondent

JANUARY 16, 2024

We published various articles comparing community bank alternatives to LIBOR (such as SOFR, Ameribor, Fed Funds, and Prime). We believe that daily and term SOFR offer community banks the safest and most dependable index for benchmarking profitability, pricing loans, and hedging interest rate risk. No ISDA documents.

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Community Bank Community Compliance CA 195

South State Correspondent

NOVEMBER 29, 2023

One of the lessons that was driven home at the recent American Banker Small Business Banking Conference in Nashville was the difference in marketing between large national banks and community banks, particularly deposit marketing. ” This article explores the recency trap and discusses how to prevent it.

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Marketing Regional National Nashville 195

South State Correspondent

AUGUST 21, 2023

However, that publication, directly and indirectly, identified three discrete risks affecting community banks. We will outline what we think community bankers should glean from this publication. Risks to the Community Banking Sector Moody’s identified three risks to the banking sector, including risks to community banks.

Community Bank 195

Community Bank Community Capital Analysis 195

South State Correspondent

AUGUST 21, 2022

Last week we wrote about loan-level vs. balance sheet hedging for community banks and provided our loan proposal generator ( HERE ). We compared and contrasted the two strategies and sized the market for community banks. A community bank may transact one or only a few balance sheet hedges over many years.

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How To Community Bank Community FDIC 195

South State Correspondent

FEBRUARY 28, 2023

Many community banks today are willing to underwrite real estate secured loans on just two metrics: debt-service-coverage ratio (DSCR) and loan-to-appraised value (LTV). We will consider the minimal project DSCR in this article and cover the debt yield topic in future blogs. Still, all of this is expected to change.

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Lending Community Bank Community National 195

Abrigo

MARCH 9, 2015

The latest FDIC Quarterly Banking Profile was just released and the industry continues to be led by the nation’s community banks. percent of community banks were unprofitable during the quarter. Here are a few other highlights of community banks from the report : Net interest income up more than 6 percent.

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Community Bank Community FDIC Industry 150

Abrigo

MARCH 9, 2015

The latest FDIC Quarterly Banking Profile was just released and the industry continues to be led by the nation’s community banks. percent of community banks were unprofitable during the quarter. Here are a few other highlights of community banks from the report : Net interest income up more than 6 percent.

Community Bank 150

Community Bank Community FDIC Industry 150

South State Correspondent

FEBRUARY 27, 2024

Community bankers need to practice realistic loan pricing discipline. However, we need to understand the meaning of pricing discipline and its effect on community bank performance. This is strong evidence that community banks are pricing to an arbitrary minimum credit spread in this set of loans.

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How To Community Bank Community Management 195

The Financial Brand

NOVEMBER 22, 2022

This article Bankrate, Step Aside. Seattle Bank’s Unbiased CD Site Has National Plans appeared first on The Financial Brand. One community bank has launched a free CD rate listing service that aims to help both consumers and financial institutions. This article Bankrate, Step Aside.

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Seattle National Community Bank Branding 31

The Financial Brand

NOVEMBER 29, 2022

This article Hard-Nosed Innovation Lessons from a Community Bank appeared first on The Financial Brand. Community financial institutions can't bankroll 'innovation theater.' This article Hard-Nosed Innovation Lessons from a Community Bank appeared first on The Financial Brand.

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Community Bank Community Innovation Branding 33

South State Correspondent

MAY 9, 2022

In our previous article ( HERE ), we reviewed the banking industry’s cost of funding earning assets (COF), and we compared how community banks’ COF behaves relative to national banks in a rising interest rate cycle. Community banks with larger percentages of DDA balances will fare better.

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Community Bank Community Industry Online 195

Abrigo

NOVEMBER 29, 2021

Takeaway 3 Community banks have seen less volatility in noninterest income, and many are still eyeing growth across the category. This article looks at trends in growth and composition as well as legal, regulatory, and competitive pressure on noninterest earnings. Community banks target growth. Types of Noninterest Income.

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Community Bank Community FDIC Trends 195

South State Correspondent

MARCH 6, 2023

In an article last week ( HERE ), we discussed why real estate loans underwritten at common debt service coverage ratio (DSCR) and loan-to-value (LTV) levels may quickly become substandard credits if capitalization (cap) rates normalize, as expected because interest rates are rising. debt yield ratio ($135k divided by $1.5mm).

Community Bank 195

Community Bank Community Lending Regional 195

Abrigo

AUGUST 31, 2023

Naming conventions One benefit of customer-centric KYC is that it differentiates community financial institutions from larger, more impersonal banks by allowing clients to retain their individuality and build personal relationships. Members of Amish or sovereign citizen communities often have fewer government-issued IDs.

Compliance 195

Compliance Community Training System 195

Perficient

FEBRUARY 10, 2021

While the Centers for Disease Control and Prevention(CDC ) recommends healthcare consumers over 65 get vaccinated, few communications have targeted these groups or provided understanding and navigation to how to access the vaccine in their community. How are you reaching them?

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New York City social media Community System 484

Perficient

AUGUST 25, 2020

Hiral Shah , lead technical consultant, recently shared her thoughts on advocating for your work with BuiltIn Boston and Laura Kenny , Talent Acquisition Coordinator , wrote about in the article How Perficient Employees Slay Impostor Syndrome , a topic that everyone has the potential to experience. Lisa Hunter , national sales director.

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Technology Groups Training Management 572

South State Correspondent

JANUARY 18, 2023

In this article, while we have discussed how to sell prepayment penalties in the past, we now look at their current importance. The first is a step-down, and it is by far the most common prepayment provision used by community banks. Why Use Prepayment Penalties? For example, on a 5-year loan, the bank may charge a 5,4,3,2,1 prepayment.

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Community Bank Examples Community How To 195

Chris Skinner

MAY 1, 2017

Now I don’t want to get into politicks, as that’s not my job, but I do want to point to an interesting article on TechCrunch by Nik Milanovic (@NikMilanovic) that illustrates the issue well. Back in December, I picked up on this new Office of the Comptroller of the Currency (OCC) Ruling to issue national FinTech bank charters.

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America Fintech National Regulation 211

South State Correspondent

APRIL 10, 2023

This article explores the risk and what to do about it. CRE Risk Background While ten years ago, community and regional banks use to make up some 55% of the CRE market, in 2023, these banks now compose approximately 72% (below). The risk here is that community banks continue to take on an above-average amount of CRE credit exposure.

Community Bank 195

Community Bank Community Los Angeles Regional 195

Abrigo

JULY 21, 2021

Would you like others articles like this in your inbox? As part of the Financial Crimes Enforcement Network’s (FinCEN) first national priorities list for anti-money laundering and countering the financing of terrorism (AML/CFT) policies, one important priority continues to be detecting, reporting, and preventing terrorist financing.

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Training National Strategy Regulation 195

South State Correspondent

MARCH 30, 2023

While desiring to bank everyone in your community is noble, it can be a poor use of resources. Not to say you want to ignore parts of your community, but why not focus more of your resources on those industries that will make your bank more profitable? They are also more plentiful. there are more than 8,000 trade associations.

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Industry Resources Community Case Study 195

Abrigo

NOVEMBER 7, 2022

Would you like other articles on BSA/AML training in your inbox? Department of Justice , national studies find that over 10% of older adults are victims of elder abuse annually, and a growing number of military veterans fall into this category. According to the U.S. Detecting fraud. What can financial institutions do to help?

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Fraud Resources Community Training 195

South State Correspondent

JANUARY 22, 2023

In a previous article ( here ), we discussed why commercial loan prepayment protection would be a critical return on asset (ROA) driver for community banks in 2023. In this article, we will quantify the value of a prepayment provision and compare the value of a step-down to a symmetrical break-even provision.

Community Bank 195

Community Bank Community Capital Maine 195

South State Correspondent

JANUARY 20, 2023

2022 will go down as one of the worst years for community bank loan mispricing when viewed on a spread basis. In this article, we provide a loan pricing update and highlight some critical areas where banks can improve. This asymmetric pricing explains why many community banks go terminal during a downturn.

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Lending Community Bank Community Data 195

Alex Jimenez

APRIL 7, 2024

Pausing Innovation This was on my mind when reading this article about Nike’s innovation woes. In the article Matt Powell , advisor at Spurwink River and senior advisor at BCE Consulting , is quoted, “What happened with Nike, and lots of brands during the pandemic, was they made a decision to play it very safe.”

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Innovation Management Strategy America 87

South State Correspondent

AUGUST 22, 2023

In this article, we detail the five steps to building a treasury management strategy, provide some tools to execute those steps, and then provide a complimentary survey to assess your strengths and weaknesses. For $6, a community bank can garner a lead that has an average of 9% probability of converting with over $33k per year in value.

Management 195

Management Community Bank Survey Community 195

Perficient

JANUARY 28, 2021

This article was co-written by Iman Watson, senior solutions architect, and Kailey Hughes, lead development representative. You can get involved at home, at work, and in your community. See open jobs or join our talent community for career tips, job openings, company updates, and more! READY TO GROW YOUR CAREER?

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Data Security Software Community 535

Finer Points

AUGUST 3, 2015

While ICBA continues our full-court press toward advancing community bank regulatory relief all the way through Congress and to the president’s desk, we are also making noticeable headway in raising public awareness of the problem via the national news media.

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Washington Community Bank Community National 100

South State Correspondent

SEPTEMBER 20, 2023

In this article, we discuss cash management profitability and rank the most profitable industries for banks to go after. National and regional banks control 70% of the cash management market, yet most cash management customers choose their bank because of service.

Management 195

Management Survey Industry Community Bank 195

Abrigo

MAY 5, 2022

Would you like other articles like this in your inbox? Other podcasts might be internationally based and of little interest to community financial institutions or credit unions based in the U.S. Main Street Banking: A Podcast for Community Bankers 8. And all release a new episode at least monthly. Takeaway 2 With 2.8 BankTalk 3.

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