As part of its comprehensive range of risk management services, BP/SC+S provides a team of dedicated, experienced lending and regulatory professionals to perform or support your internal loan review process, including complete outsourcing or working with the client in a co-sourcing arrangement. BP/SC+S has structured its loan review programs to fully meet the regulatory expectations as outlined in the December 2006 inter-agency guidance on the ALLL. BP/SC+S can complete the reviews on-site if required, or can work off-site with appropriate access to the electronic files.
For community and midsized institutions, where it generally is not cost-effective to maintain the necessary in-house expertise to perform the mandated loan review process internally, BP/SC+S offers a complete third-party loan review function, providing objective, thorough, in-depth analysis including assessing credit quality, evaluating credit administration processes, assessing risk rating accuracy, and testing credit and collateral documentation. For larger institutions, where maintaining an internal loan review function is more typical, BP/SC+S serves as a valuable source of specialized expertise in reviewing specific types of credit products or loans to industries that present particular risk profiles, such as Leveraged Lending and other specialty finance areas such as Factoring, where internal resources may not have experience. Additionally, we work with internal loan review departments to assist them in meeting their annual plans when the scope of the plan increases or the institution does not have the capacity to complete the reviews in a timely manner.
BP/SC+S strives to exceed expectations for all of our clients by thoroughly assessing risk rating accuracy and going a step further to evaluate the credit administration process, underwriting and approval processes. BP/SC+S evaluates lending policies, approved policy exception trends, provides valuable peer comparison data, and recommends best practices for your institution to consider. We also provide a very cost effective stress testing method that has been well received by the regulatory agencies. We tailor our process and end product to suit your needs.