Overview
We start the process before we come to your
bank by doing a thorough analysis of the factors
impacting the net interest margin. Then we
facilitate a discussion with your management
team about your strategic objectives, your risk
tolerance level, the local market, your pricing
process, and current net interest margin
strategies. During these sessions, we work
together to determine the best strategies for
each product.
The onsite work is almost always complete in
less than a week and implementation begins
immediately.
Approach
Working closely with
your management team, our net interest margin
specialists:
- Guarantee results…Increased Earnings,
Quality Balance Sheet Growth, Greater
Pricing Discipline
- Provide practical models to quickly
improve loan and deposit pricing process
- Present unbiased analyses of your
situation…and the opportunities
- Challenge your thought process and
minimize natural internal paradigms
- Develop a practical approach to on-going
Net Interest Margin management
- Deliver cost-effective results, quickly
and easily
- Provide unlimited implementation
assistance
Do you have the tools
to maximize net interest income?
- Do your lenders know the profitability
of each loan or loan type?
- Do your lenders know how low a rate they
can offer an “A” credit and achieve your
profitability target?
- Does your bank have a method for
determining how much to increase the rate on
a small loan?
- Does your bank have an easy way to
calculate the value of deposits to a lending
relationship?
- Do you know the profitability of each
major deposit category?
- Does your bank have the right
information to price your deposits
effectively?
- Do you have an effective method for
tiering deposit rates?
- Do you have a practical approach for
competing effectively against rational and
irrational competitors?
Together we will develop a financial
management process that ensures that daily loan
and deposit pricing, marketing, and resource
allocation decisions support your strategic
objectives and create long term, shareholder
value. The approach taken is unusual in that it
blends both financial management and marketing.
The strategies are very practical and the
pricing models are both comprehensive and
easy-to-use. In fact, the pricing models allow a
bank to make an informed pricing decision in
less than two minutes.
Clients are very surprised and pleased by the
high quality of the follow-up implementation
assistance. Very simply stated, working
together we will develop a strong financial
management process and specific strategies to
help you grow more profitably. We guarantee
results. |
