Real Price of Risk, Loan Pricing and Risk Rating
Rating risk, pricing loans and the ALLL
Risk ratings are the basis for understanding credit risk in the portfolio, yet many institutions struggle to maintain and apply an objective risk rating system. Accurate risk ratings allow institutions to better price loans and account for risk in the allowance for loan and lease losses (ALLL). This webinar covered the basics of identifying risk, pricing it appropriately and reflecting it in the reserve.
Watch this webinar to learn
- The benefits of a standardized risk rating system
- How to improve profitability of loan pricing models
- How risk ratings affect the ALLL now, and in the future under CECL
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