This SMB Lending Insights report is a snapshot of current financial trends and metrics that impact small and medium-sized business (SMB) lending and financial institutions. SMBs and financial institutions face tremendous uncertainty in the current environment, which is characterized by elevated interest rates, high inflation, and growing personal delinquency rates. The report outlines SMB loan origination trends, delinquencies on SMB loans (90+ Days Past Due, or DPD), and changes in the average loan sizes for various industries. Financial institutions can consider this information to benchmark trends at their own institution and to evaluate plans.

The report is based on data from Abrigo Small Business Lending Intelligence, a lending decision and monitoring engine powered by Charm Solutions. Abrigo Small Business Lending Intelligence uses observations from Abrigo’s client base of over 2,400 U.S. institutions to provide a comprehensive representation of the banking and financial sector.

Understanding the latest loan review benchmarks and trends

The 12th annual loan review industry survey from Abrigo (formerly DiCOM) reveals key loan review trends from financial institutions ranging from $100 million to $100 billion in assets. It also highlights some of the key challenges that loan review teams are facing and what strategies they are employing to overcome them.

This resource will show information on: 

• Department staffing and roles
• Loan review team priorities
• Common reporting lines
• And more

Banks and credit unions still working on CECL implementation can learn from the experiences of financial institutions that have already adopted the accounting standard and from peers still in the process. To that end, Abrigo in mid-2022 surveyed financial institutions to assess their progress with CECL implementation. It is the fourth such survey since 2017 by Abrigo, which has worked with hundreds of financial institutions on CECL implementation.

Download the 2022 CECL Survey to learn:

• The CECL implementation progress of banks and credit unions
• Top challenges identified by financial institutions while complying with the guidance
• Actual and expected impacts on reserves and internal resources

Check out other top CECL resources:

• Guide to selecting an outsourcing partner for the CECL calculation
• 4 Elements of an effective CECL model validation

BSA Officers and AML staff can help tellers and other branch staff provide Customer Due Diligence (CDD) compliance support while fostering customer or member relationships. One way to boost staff education and collaboration is to introduce the BSA team to tellers and others so the team isn’t viewed as an unfamiliar department off in a corporate tower. A flyer with team info, a description of what it does, and current tips and trends can create better communication and enhance overall institution compliance.

Use this sample flyer from Abrigo as a template to develop your own material introducing the BSA team to tellers and other branch staff.

If you’d like additional support or training for CDD compliance or your broader BSA program, Abrigo’s financial crime consultants provide AML consulting and program support.

You can also download this Customer Due Diligence checklist to learn more about elements of a strong CDD program.

Everyone has been impacted by the COVID-19 global pandemic in some way or another, and the agricultural industry is no different. This paper outlines three areas of impact from COVID-19 that lenders to the ag industry will want to continue to evaluate in 2021: farm income, loan demand, and credit risk.

Download to learn:

• The key questions ag lenders should be asking as they approach lending season
• What is causing the current lack of demand for ag loans
• The effect government payments have had on the farm economy

74% of bankers surveyed told us they are concerned about the increased amount of loan workouts they will need to manage.

85% of FIs told us they expect an economic slowdown for at least two quarters. Find out how it could impact your overall strategy in our latest

We surveyed 100+ of your peers and coronavirus has them concerned about maintaining an appropriate allowance level. What does this mean for

62% of bankers still think that their institution is in good business health, despite pandemic impacts.

Download to Learn:

• Results and participation in the Paycheck Protection Program

• Why loan workouts are a concern and what implications institutions think they will cause

• The impact of the coronavirus on current and future CECL transition plans

• The importance of a strategy going forward to protect credit quality and drive growth

Throughout the month of May, Abrigo polled more than 100 C-suite employees at community financial institutions across the country to gauge sentiment regarding the current state of the financial services industry. The survey aims to discern the top obstacles, strategies, and pressures the industry is currently grappling with. Using the results of this survey, financial institutions can learn from one another to tackle common challenges and manage customer expectations during this time.

For the third year in a row, Abrigo (formerly MST, Sageworks, and Bankers Toolbox) surveyed 125 individuals at a wide range of financial institutions to gauge CECL preparedness. The 2019 survey shows that as the Q1 2020 compliance date looms for SEC registrants, institutions of all types are making progress – but not enough, according to CECL experts.

“The clock is ticking,” said Abrigo Senior Director of Advisory Services Regan Camp. “While many financial institutions are taking the necessary steps to make sure they are prepared for this important change in accounting for credit losses, it’s clear that others are falling behind their peers.”

Download the 2019 CECL survey results to learn:

• The decisions that institutions are making in the CECL transition
• How much progress has been made in 2019 compared to previous years
• The differing results between SEC filers, community and mid-market banks, and credit unions