OVERVIEW
A Bank’s ability to prevent problem loans begins with sound lending policies and credit underwriting. However, even good loans can become problem loans and result in a loss to the Bank. In the Minimizing and Managing Problem Loans Module, participants learn best practices in loan monitoring and maintenance, identifying red flags, and implementing effective strategies to manage problem loans and minimize losses.
RESULTS & BUSINESS BENEFITS
- Use a common model to identify and resolve problem loans on a timely basis
- Communicate with managers to determine appropriate actions to minimize risks before proposing solutions to clients
- Communicate with clients to achieve buy-in and faster resolution of loan issues
- Schedule timely follow-up activities to ensure compliance or escalate problem loans to the appropriate department if necessary
- Document all communications and actions in the credit file to assist in collection efforts
- Effectively handle loan delinquencies
WHO SHOULD ATTEND
All staff who are responsible for monitoring and managing loan risks, including:
- credit officers,
- Relationship managers,
- Collections and loan work-out staff