CBA

Showing 225–240 of 259 results

  • Regulatory developments that affect your bottom line

    Spring 2010
    Newsletter: Community Banking Advisor

    Price: $225.00, Subscriber Price: $157.50

    Word count: 694

    Abstract: Federal and state regulatory agencies can have a significant impact on a bank’s bottom line, so it’s important to monitor their activities. Doing so can reveal opportunities to boost — or situations that shrink — the bottom line. This article discusses three recent regulatory developments: Regulation R, which defines the extent to which a bank’s securities activities are subject to SEC oversight; state enterprise zones; and whether FDIC premium deductions will be permitted.

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  • Model behavior – Is your ALM model capturing your bank’s risks?

    Spring 2010
    Newsletter: Community Banking Advisor

    Price: $225.00, Subscriber Price: $157.50

    Word count: 444

    Abstract: Asset-liability management (ALM) is a critical activity for banks — not just for meeting regulators’ expectations, but also as a strategic tool for controlling risk and enhancing performance. In today’s high-risk environment, it’s critical for a bank’s board of directors or asset and liability committee to take a proactive approach to ALM. There are a variety of ALM modeling software programs available, but the type of model and level of sophistication that’s right for a particular bank depends on the bank’s size, complexity, business model, risk profile and other characteristics.

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  • CRE loan workout guidelines support process

    Spring 2010
    Newsletter: Community Banking Advisor

    Price: $225.00, Subscriber Price: $157.50

    Word count: 812

    Abstract: Community banks with high concentrations of commercial real estate (CRE) loans face a dilemma: Even though it may be in the best interest of both bank and borrower to modify or restructure a troubled CRE loan, workouts may also create a risk that the loan will be adversely classified by bank examiners. And this can have a negative impact on the bank’s earnings, liquidity and capital. However, guidance issued last October from the federal banking agencies can help banks develop prudent workout strategies that will minimize adverse financial impact. A sidebar discusses whether a modified CRE loan constitutes a troubled debt restructuring.

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  • Managing vendor risk

    Winter 2010
    Newsletter: Community Banking Advisor

    Price: $225.00, Subscriber Price: $157.50

    Word count: 407

    Abstract: Many banks outsource a variety of activities, but that doesn’t mean they can sign the contract and forget about it. Federal regulations require banks to develop and maintain a vendor management program designed to protect customer information. And while these requirements may seem daunting, especially for smaller community banks, a risk-based approach can minimize the burden. There are several steps a bank should take to ensure compliance; an important part of the process is a formal risk assessment.

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  • OTTI: What it is and why you should care about it

    Winter 2010
    Newsletter: Community Banking Advisor

    Price: $225.00, Subscriber Price: $157.50

    Word count: 587

    Abstract: A crucial accounting issue for banks is the treatment of other-than-temporary impairment (OTTI) for investments. Under previous rules, assets that experienced OTTI were written down to fair value, with a corresponding charge to earnings. Many banks felt that this treatment was unfair, particularly for securities they had no intention of selling. In mid-2009, FASB issued guidance that changes the way these impairments are recorded for certain securities. OTTI can have a significant impact on bank earnings and regulatory capital, so it’s important to have policies and procedures in place for classifying securities, determining fair value, assessing securities for OTTI and measuring the credit and noncredit components.

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  • Credit card overhaul – Comprehensive Reg Z and UDAP changes take effect July 1

    Winter 2010
    Newsletter: Community Banking Advisor

    Price: $225.00, Subscriber Price: $157.50

    Word count: 573

    Abstract: Banks that issue credit cards have until July 1, 2010, to line up their compliance strategies for a massively changed set of UDAP (unfair or deceptive acts or practices) and Regulation Z (truth in lending) rules. The UDAP changes affect payment allocation, double-cycle billing, fee-based accounts and other issues, while the Regulation Z changes have an impact on credit advertising, billing error resolution, and other matters.

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  • Do you have a capital defense plan?

    Winter 2010
    Newsletter: Community Banking Advisor

    Price: $225.00, Subscriber Price: $157.50

    Word count: 1009

    Abstract: Today, one of the biggest concerns of regulators is whether banks have adequate capital to withstand potential losses associated with high concentrations of commercial real estate loans. So it’s important that banks develop a capital defense plan as part of their preparation for regulatory exams. This article lists a number of best practices in this process, including reviewing and classifying one’s loan portfolio and reviewing and documenting the methodologies used to determine the allowance for loan and lease losses. A sidebar discusses a new FDIC rule regarding limits on deposit interest rates offered by institutions that are less than “well capitalized.”

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  • Buying a troubled bank — a good strategy if you do it right

    Fall 2009
    Newsletter: Community Banking Advisor

    Price: $225.00, Subscriber Price: $157.50

    Word count: 334

    Abstract: For a healthy community bank, acquiring a failed or failing institution can provide a valuable strategic opportunity. But just because the price is low doesn’t mean it’s a bargain. More than ever, it’s important for an acquiring bank to define its strategy, perform thorough due diligence, focus on valuation issues, and determine the best deal structure.

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  • Reduce costs without losing control

    Fall 2009
    Newsletter: Community Banking Advisor

    Price: $225.00, Subscriber Price: $157.50

    Word count: 514

    Abstract: In a weak economy, like it or not, cost-cutting is an integral part of strategy. There’s no one right way to cut costs, but it’s important to consider the potential impact on internal controls. Eliminating jobs can heighten a bank’s risk if affected employees are integral to internal control processes. But there are ways to mitigate the risks if such job cuts are absolutely necessary.

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  • Outsourcing: Another cost-saving strategy

    Fall 2009
    Newsletter: Community Banking Advisor

    Price: $225.00, Subscriber Price: $157.50

    Word count: 753

    Abstract: In times when cost-cutting is king, outsourcing some functions can be more appealing than ever to community banks. But, as this article explains, the key to success is finding the areas of a bank’s operation that are right for outsourcing. Should the internal audit function be outsourced? What about human resources, mortgage fulfillment or proof-of-deposit functions? It’s also important to carefully select and monitor the service provider. And, as a sidebar explains, offshore outsourcing can be a challenge for community banks that pride themselves on knowing their customers better than their larger counterparts do.

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  • Measure for measure – Which profitability measurement tools are best for your bank?

    Fall 2009
    Newsletter: Community Banking Advisor

    Price: $225.00, Subscriber Price: $157.50

    Word count: 984

    Abstract: With some banks failing and many struggling, this article emphasizes that it’s vital for a community bank to monitor its performance closely. But which measurements are best? Historically, return on assets (ROA) has been the most popular. But banks are now placing greater emphasis on ROE. And how does one make a fair comparison between the performances of different branches? Finally, regardless of how one measures profitability, it’s important to consider the impact of risk. A sidebar looks at a recent survey that shows how banks are measuring profitability and using the results.

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  • Are your business customers looking to switch banks?

    Summer 2009
    Newsletter: Community Banking Advisor

    Price: $225.00, Subscriber Price: $157.50

    Word count: 449

    Abstract: A recent survey revealed that nearly half of small and middle-market companies in the U.S. are “actively seeking a new bank or would consider changing banks if presented with a compelling offer.” The main reasons companies want to switch banks are “lack of demonstrated commitment to the business,” “poor communication” and “uncertainty regarding financial health.” But many banks should be able to reverse the trend and hold onto customers by improving communications, making credit decisions on a case-by-case basis, showing more appreciation for long-term customers and providing greater transparency for their own financial condition.

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  • Dealing with troubled loans

    Summer 2009
    Newsletter: Community Banking Advisor

    Price: $225.00, Subscriber Price: $157.50

    Word count: 1115

    Abstract: For the first time in years, banks face significant numbers of troubled loans. As you review your loan portfolio and make decisions about how to handle troubled borrowers, it’s a good idea to familiarize yourself with “troubled debt restructurings” (TDRs), which can affect your financial statements. This article discusses the red flags of a troubled loan, the difference between TDRs and other restructurings, and the accounting implications of TDRs. A sidebar offers an example of a TDR.

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  • Avoiding “capital” punishment – Maintain adequate capital in today’s economy

    Summer 2009
    Newsletter: Community Banking Advisor

    Price: $225.00, Subscriber Price: $157.50

    Word count: 775

    Abstract: The current financial crisis has most banks focusing on liquidity issues and credit risk. But neither can you afford to neglect capital adequacy. Without adequate capital, it’s difficult for banks to make new loans and engage in other activities that drive future growth. There are two basic approaches banks can use to address capital deficiencies. One is to raise new capital. The other is to eliminate risk. Your risk assessment should consider six major risk areas outlined by the Federal Reserve’s banking risk framework.

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  • Leverage online banking to generate deposit growth

    Summer 2009
    Newsletter: Community Banking Advisor

    Price: $225.00, Subscriber Price: $157.50

    Word count: 674

    Abstract: As a byproduct of the current financial downturn, more people are keeping their money in savings accounts and other investments they consider “safe.” This presents an opportunity for financially sound banks to attract new deposits. And one way to spur deposit growth is to take advantage of the Internet and other technologies that encourage people to save and make it easier for them to make deposits with your bank. But online banking also can increase your bank’s exposure to fraud, identity theft, money laundering and other risks. This article lists potential online services, along with risks to guard against.

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  • 6 ways to close the technology gap

    Spring 2009
    Newsletter: Community Banking Advisor

    Price: $225.00, Subscriber Price: $157.50

    Word count: 602

    Abstract: Most community banks underuse their technology systems; anywhere from 40% to 85% of the typical community bank’s technology capabilities go unused. To buck the trend, all banks should review their systems and look for ways to close this technology gap.

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