Category Archives: Financial Lending Notes Newsletter

Efforts by financial institutions over the past couple of years to modify loan terms for some small business and commercial real estate borrowers have often resulted in the creation of troubled debt restructures, or TDRs. In order for a loan … Continue reading →

When the Dodd-Frank Wall Street Reform and Consumer Protection Act was first passed in the summer of 2010, there was a lot of speculation about what impact the wide-ranging legislation might have on the community banking industry. Some pundits opined … Continue reading →

There’s no question that the past few years have been a difficult period for banks — perhaps the most difficult since the Great Depression. But so far in 2012, there have been some encouraging signs, for the broad economy and … Continue reading →

One effect of the financial crisis and uneven recovery is the huge amount of loan and lease charge-offs that banks have taken against loss reserves. The good news is that the total loan and lease charge-off rate has steadily declined … Continue reading →

Debt service coverage is a critical component of loan underwriting. Given its importance, it’s surprising how little uniformity there is in how debt service is calculated – not only from one bank to the next, but within the same bank. … Continue reading →

The financial crisis that began more than three years ago has changed virtually every aspect of commercial lending – from tighter credit criteria and less risk exposure on the part of banks to greater scrutiny on financial institutions by federal … Continue reading →

Last summer, the Financial Accounting Standards Board (FASB) issued proposed new standards for lease accounting that, if and when they are adopted, will result in major changes in the way that virtually all leases are accounted for under U.S. generally … Continue reading →

As a commercial lender, you may receive financial information from borrowers in literally all shapes and sizes. These range from audited financial statements, which provide the highest level of CPA assurance that the information is accurate, to compiled statements, which … Continue reading →

This fall marks the third anniversary of the beginning of the financial crisis. Of course, the seeds of the crisis were planted much earlier, and hints about the severity of the subprime mortgage problem began to emerge in 2007. But … Continue reading →

Banking industry experts Walt Moeling and Jim McAlpin recently conducted an informal survey asking investment bankers and industry consultants what they foresee as likely developments in the banking industry over the next few years. Here are summaries of a few … Continue reading →