Financial Institutions need to have a robust and thorough ALLL practice in place. This does not mean an over complicated practice, but one which clearly addresses regulatory requirements, is well developed and documented, has quality data elements, and can be consistently utilized. The ALLL policies and procedures will change over time to address changing risk at the institution, as well as external factors and to incorporate regulatory requirements. We have a team of experienced credit personnel who can provide insight in this arena.
We can review the Client’s ALLL and lending policies and procedures, the ALLL model, and the supporting quarterly analysis to assess several key aspects: Do the policies meet with regulatory requirements? Does the quarterly ALLL process, including the quarterly analysis, align with the policies as well as regulatory requirements? Are there recommendations for enhancement to the policies, the modeling, the analytical product or other aspects of the process? We have sample policies available, as well, if a Client wants to get a fresh start. We will apply a comprehensive view to assist the Client in having policies and practices which meet its organizational requirements, as well as third party review.