A closer look at alternative lenders

Over the past year, the alternative lending industry has taken several steps forward and, then, a big leap backward. The most notable step forward centers on the relationship between OnDeck Capital and JPMorgan Chase & Co. Chase now leverages OnDeck’s technology for its small business loans. This relationship, among others, has helped to focus senior bank managers Read More

By |2020-05-27T18:00:10-05:00June 3rd, 2016|Comments Off on A closer look at alternative lenders

Crisis in promotional deposit pricing

Price promotions long have been an important tool for deposit-gathering, both to meet long-term funding goals and to quickly acquire balances in special situations. While the deposit-rich environment of recent years has muted much of the need for deposit promotions, these campaigns are set to proliferate as banks seek funding to accelerate loan growth and begin to Read More

By |2020-05-27T18:00:12-05:00April 22nd, 2016|Comments Off on Crisis in promotional deposit pricing

Navigating time deposit rate change features

With the market anticipating higher interest rates, banks may find it increasingly difficult to get customers to accept longer-term deposit accounts. One way to overcome this reluctance is by offering them rate change features in their account.However, as banks design these accounts, it is essential that all the variations are considered in order to avoid any unintended Read More

By |2020-05-27T18:00:12-05:00April 19th, 2016|Comments Off on Navigating time deposit rate change features

Deposit profitability as key to branch profitability

Deposit spreads have been the bane of banks in recent years but that could change if interest rates continue to rise. Here’s why bankers should pay more attention to their deposit balances going forward:In the summer of 2006, the Federal Reserve ended a two-year binge raising the Fed Funds Rate, which had soared from 1% to 5.25% Read More

By |2020-05-27T18:00:13-05:00March 18th, 2016|Comments Off on Deposit profitability as key to branch profitability

Funds transfer pricing for profitability measurement

While bankers have generally become more sophisticated in their understanding and execution of profitability analysis, all too often, they are limiting their potential for success by failing to utilize tools such as funds transfer pricing (FTP) to their full capabilities. Many bankers are already familiar with FTP, often leveraging it to measure the net interest margin at Read More

By |2020-05-27T18:00:14-05:00February 24th, 2016|Comments Off on Funds transfer pricing for profitability measurement