Preferred Service Providers (PSP) Announcements
FROM QWICKRATE:
Technology That’s Right for the Times
For community banks, 2020 has been “interesting” to the extreme – causing an abrupt shift in business priorities, bringing unexpected interruptions and prompting bankers to pivot their focus to immediately helping small business customers with PPP loans, all while still preparing for critical concerns such as shoring up liquidity and managing portfolio credit risk.
QwickRate® has been helping community banks address challenges like these for decades by creating time-saving solutions, typically only available to bigger banks, and making them affordable and easy to access. This article provides a perspective on what community banks are experiencing right now, and how they’re using technology – QwickRate’s CD Marketplace and IntelliCredit™ solutions in particular – to navigate today’s unprecedented situation.
Adding non-brokered CD funding
Since the great recession, historically low interest rates have given businesses an incentive to incur more debt and tap existing credit lines. As a result, community banks focused on having diversified funding sources at the ready. When the COVID-19 outbreak shocked the government into unprecedented relief for small businesses, the banks’ quest for immediate liquidity became even more acute.
For over 30 years, the QwickRate CD Marketplace has served as a dependable source of non-brokered institutional funding and investing. Banks rely on QwickRate to extend their deposit-generating capabilities -- to fund loan portfolios, avoid repricing local deposits or satisfy regulators’ requirements to diversify liquidity. Now the surge in Paycheck Protection Program loans and other factors have prompted institutional subscribers to maintain a more active presence in the Marketplace. In fact, participation has been robust in March and April and the same is expected for May and June.
Urgency, of course, is paramount for distressed businesses that can’t make payroll and bankers who want to provide immediate help. This makes QwickRate’s online Marketplace more than merely convenient. It speeds direct connections to institutional investors in all 50 states, while automated QwickTools™ condense process time and eliminate the need for endless faxes and phone calls. Rate-setting tools are also available to help banks better manage the cost of funds.
Focusing on emerging credit risk in the loan portfolio
No one knows the extent of the current COVID-19 crisis. However, it’s a given that residual – and likely very deep and prolonged – credit quality issues will be left for the banks to manage. One lesson learned in the last crisis, proven by empirical data, was that those who were late in identifying their weaknesses always incurred greater losses.
Last year QwickRate introduced IntelliCredit, a new division led by industry credit specialists, to deliver a technology solution that would help bankers better identify emerging credit risks in their portfolios. The ability to spot impending problems at the earliest opportunity, before credits meet the Criticized/Classified threshold, is key to effectively mitigating portfolio credit risk. The IntelliCredit Portal assesses credit degradation at both the individual loan and portfolio levels. Further, the tool can segregate and monitor portfolios affected by COVID-19, not unlike any other concentrations or loan sub-types. This takes credit risk management from chronicling the past to probing the future!
IntelliCredit enables banks to make loan review an integral component of day-to-day credit risk portfolio management. Designed for internal loan review processes or third-party vendor reviewers, Smart Loan Review efficiently uses real-time portfolio analysis to deliver samples that reflect broader credit portfolio performance. It also features real-time clearing of exceptions.
Throughout the ebb and flow of changing economic conditions, QwickRate has offered community bankers a growing family of technology solutions to serve their best interests. For more information, contact Melissa Wallace at melissa.wallace@qwickrate.com or 800.285.8626
Technology That’s Right for the Times
For community banks, 2020 has been “interesting” to the extreme – causing an abrupt shift in business priorities, bringing unexpected interruptions and prompting bankers to pivot their focus to immediately helping small business customers with PPP loans, all while still preparing for critical concerns such as shoring up liquidity and managing portfolio credit risk.
QwickRate® has been helping community banks address challenges like these for decades by creating time-saving solutions, typically only available to bigger banks, and making them affordable and easy to access. This article provides a perspective on what community banks are experiencing right now, and how they’re using technology – QwickRate’s CD Marketplace and IntelliCredit™ solutions in particular – to navigate today’s unprecedented situation.
Adding non-brokered CD funding
Since the great recession, historically low interest rates have given businesses an incentive to incur more debt and tap existing credit lines. As a result, community banks focused on having diversified funding sources at the ready. When the COVID-19 outbreak shocked the government into unprecedented relief for small businesses, the banks’ quest for immediate liquidity became even more acute.
For over 30 years, the QwickRate CD Marketplace has served as a dependable source of non-brokered institutional funding and investing. Banks rely on QwickRate to extend their deposit-generating capabilities -- to fund loan portfolios, avoid repricing local deposits or satisfy regulators’ requirements to diversify liquidity. Now the surge in Paycheck Protection Program loans and other factors have prompted institutional subscribers to maintain a more active presence in the Marketplace. In fact, participation has been robust in March and April and the same is expected for May and June.
Urgency, of course, is paramount for distressed businesses that can’t make payroll and bankers who want to provide immediate help. This makes QwickRate’s online Marketplace more than merely convenient. It speeds direct connections to institutional investors in all 50 states, while automated QwickTools™ condense process time and eliminate the need for endless faxes and phone calls. Rate-setting tools are also available to help banks better manage the cost of funds.
Focusing on emerging credit risk in the loan portfolio
No one knows the extent of the current COVID-19 crisis. However, it’s a given that residual – and likely very deep and prolonged – credit quality issues will be left for the banks to manage. One lesson learned in the last crisis, proven by empirical data, was that those who were late in identifying their weaknesses always incurred greater losses.
Last year QwickRate introduced IntelliCredit, a new division led by industry credit specialists, to deliver a technology solution that would help bankers better identify emerging credit risks in their portfolios. The ability to spot impending problems at the earliest opportunity, before credits meet the Criticized/Classified threshold, is key to effectively mitigating portfolio credit risk. The IntelliCredit Portal assesses credit degradation at both the individual loan and portfolio levels. Further, the tool can segregate and monitor portfolios affected by COVID-19, not unlike any other concentrations or loan sub-types. This takes credit risk management from chronicling the past to probing the future!
IntelliCredit enables banks to make loan review an integral component of day-to-day credit risk portfolio management. Designed for internal loan review processes or third-party vendor reviewers, Smart Loan Review efficiently uses real-time portfolio analysis to deliver samples that reflect broader credit portfolio performance. It also features real-time clearing of exceptions.
Throughout the ebb and flow of changing economic conditions, QwickRate has offered community bankers a growing family of technology solutions to serve their best interests. For more information, contact Melissa Wallace at melissa.wallace@qwickrate.com or 800.285.8626
QwickRate – access to the premier non-brokered CD Marketplace for funding and investing with more than 3,000 institutional subscribers across the nation.
QwickAnalytics®: - access affordable, time-saving bank research, performance analysis and regulatory tools - available online in just a few clicks.
CCBN Members will receive a 10% discount on both QwickAnalytics and the QwickRate CD Marketplace. Members can also receive a free trial of QwickAnalytics, which includes CECLSolver™. Contact Melissa Wallace from QwickRate at 800.285.8626 ext. 4062 or melissa.wallace@qwickrate.com.
Services Include:
The QwickRate CD Marketplace provides banks with a cost-effective approach to gain direct access to a nationwide market of 3,000 financial institutions and speed the process for non-brokered funding and investing. All direct deposits generated as a result of listing rates in the QwickRate Marketplace are classified as non-brokered, providing banks with a reliable source of institutional deposits to fund loan portfolios, avoid repricing local deposits, or satisfy regulators’ requirements to diversify.
QwickAnalytics delivers affordable and compelling online research, regulatory and analytics tools designed specifically for community bankers. With online access to extensive, robust data and powerful tools, banks are able to simplify the process of assessing the competition, benchmarking their bank and peers, and meeting examiner expectations with CECLSolver and the Credit Stress Test. Ask about our new Excel Add-In Tool for the ultimate in custom research: you can download any and all QwickAnalytics data directly into your own spreadsheet.
Learn more about QwickRate at: www.qwickrate.com
QwickAnalytics®: - access affordable, time-saving bank research, performance analysis and regulatory tools - available online in just a few clicks.
CCBN Members will receive a 10% discount on both QwickAnalytics and the QwickRate CD Marketplace. Members can also receive a free trial of QwickAnalytics, which includes CECLSolver™. Contact Melissa Wallace from QwickRate at 800.285.8626 ext. 4062 or melissa.wallace@qwickrate.com.
Services Include:
The QwickRate CD Marketplace provides banks with a cost-effective approach to gain direct access to a nationwide market of 3,000 financial institutions and speed the process for non-brokered funding and investing. All direct deposits generated as a result of listing rates in the QwickRate Marketplace are classified as non-brokered, providing banks with a reliable source of institutional deposits to fund loan portfolios, avoid repricing local deposits, or satisfy regulators’ requirements to diversify.
QwickAnalytics delivers affordable and compelling online research, regulatory and analytics tools designed specifically for community bankers. With online access to extensive, robust data and powerful tools, banks are able to simplify the process of assessing the competition, benchmarking their bank and peers, and meeting examiner expectations with CECLSolver and the Credit Stress Test. Ask about our new Excel Add-In Tool for the ultimate in custom research: you can download any and all QwickAnalytics data directly into your own spreadsheet.
Learn more about QwickRate at: www.qwickrate.com