Education Seminar

2015 Loan Structuring, Risk Assessment and Credit Administration – Certificates
How to develop and maintain a strong credit administration function

Sheraton Los Angeles Downtown Hotel

One of the core elements in your commercial lending training.

Identifying the keys to properly structuring a loan requires a lender to know the bank’s goals, the borrower’s goals, the credit facilities available and the sources of repayment. This two-day program provides participants with the tools needed to effectively structure a commercial loan, as well as understand the role a bank’s credit culture plays in managing risk.

In 2015, CBA is pleased to offer three lending programs to further the knowledge and abilities of those responsible for commercial lending. Each course is designed to be taken on its own, but CBA highly recommends you consider enrolling in the entire 2015 lending curricula. 

Agenda

The program will commence at 8:30 a.m. with breakfast and registration beginning at 7:30 a.m., lunch at noon, and will conclude by 4:30 p.m..

Day 1 – Commercial Loan Structuring, Loan Agreements and Covenants

  • The four keys to loan structuring: bank’s goals, borrower’s goals, credit facilities available, and the sources of repayment
  • Using all four keys within four primary loan types (case studies): seasonal credits, bridge loans, term loans, working capital lines of credit
  • Ways to improve credit structure and avoid common errors
  • Competing and complementary sources of business funding
  • Typical structure, format and goals of commercial loan agreements
  • Special issues with construction loans
  • Developing, setting and monitoring financial covenants

Day 2 – Credit Culture, Loan Policy and Risk Ratings, Overview of ALLL, Loan Portfolio Management

  • The role of credit culture in managing risk, and how to identify your bank’s culture
  • Typical elements and features of bank loan policies
  • How risk ratings bring together financial and non-financial elements into a risk assessment score (apply to case from previous sessions)
  • How the industry is migrating to two-digit risk ratings
  • Overview of the allowance for loan and lease losses (ALLL)
  • Loan portfolio management at the lender level: streamlining the credit process in order to maximize the business development process

Program Objectives

At the end of this session, participants will have a good road map to understand and manage an effective credit administration area of the bank, and to satisfy regulators’ requirements to operating in a safe and sound manner from a credit risk perspective.

Audience

Bank accountants, branch managers, business bankers, business development officers, chief or senior credit officers, chief or senior loan officers, client services officers, commercial loan officers, consumer lenders, credit analysts, credit support officers, financial services officers, junior commercial loan officers, loan officer trainees, loan review analysts, loan review personnel, loan support officers, loan underwriters, new relationship managers, personal bankers and portfolio managers.

Faculty

Richard Hamm has been training bankers for 24 years, designing and delivering courses specializing in commercial lending and credit, including portfolio and risk management, commercial real estate (CRE) and appraisals, plus selling and negotiating skills, and director training.  His clients include:

  • National associations such as the American Bankers Association (ABA) and the Risk Management Association (RMA)
  • Regional banking schools such as the Barret School of Banking – Memphis, the Graduate School of Banking – Wisconsin, the Southwestern Graduate School of Banking – Dallas, the Graduate School of Banking at Colorado and the Western States School of Banking
  • State banking and community banking associations in nine states
  • Individual banks

Richard is based in Huntsville, AL and has owned/operated Advantage Consulting & Training for 9 years, after a 22-year banking career including senior positions in lending and credit, plus president through formation and acquisition of a community bank. He has BS and MBA degrees from the University of Alabama, and holds the CTP (Certified Treasury Professional) designation.

Location Information

Wednesday and Thursday, August 12 – 13, 2015

Sheraton Los Angeles Downtown Hotel
711 South Hope Street
Los Angeles, CA 90017
(213) 488-3500
 

Credit Information

Program Level: Intermediate

Prerequisites: Participants should have at least 3 years of experience or prior class work in accounting, analyzing financial statements, ratio and cash flow analysis.

Advance Preparation: None

Method of Presentation: Group – Live (Lecture, Discussion, and Case Study)

Recommended CPE Credits: 12.0 Hours Maximum
(Estimated 4.0 Accounting, 6.0 Specialized Knowledge and Applications, and 2.0 Management Advisory Services)
Sponsored learning activities are measured by program length, with one 50-minute period equal to one CPE credit.  One-half CPE credit increments (equal to 25 minutes) are permitted after the first credit has been earned in a given learning activity.  Please note that not all state boards have adopted this rule.  Some participants may not be able to use one-half credit increments

Commands