Credit Risk Management In A Recession Series

COVID-19 has heavily impacted borrowers, causing financial institutions’ loan portfolios and new applications to face increased risk. Looking beyond the PPP Loan Program, you need to address the continued weakness in many industries when assessing your commercial loan portfolio. It is critical to take action now to prepare for a post-quarantine recession.

Banking veteran Michael Wear will share real-life credit risk management lessons from previous recessions in our engaging two-webinar series:

COVID-19 And Impact On Industries: How To Evolve Your Credit Memos

• Which industries are vulnerable? When?
• What questions should you ask borrowers?
• How can you vet the responses and factor the borrowers’ answers into your recommendations?
• How does a recession change this process?
• How can your credit memos be improved?

COVID-19 and Loan Portfolio Triage And How Your Loan Grading Is Affected

• How can you reduce your credit risk exposure for vulnerable industries?
• How can you reduce the vulnerability of your loan grading system in a recession?
• Do ratings adequately measure risk, given falling collateral values and uncontrollable external factors that affect loan repayment?
• How should you factor industry weakness?