As credit unions become even more active in business lending, CUBG
is encouraging members to use a risk-based, holistic and quantifiable pricing methodology via a simple, yet comprehensive tool like MMi, the CUSO said.
Jeff Fiedler, EVP of finance at Advia Credit Union, a CUBG
client, commented, "We leverage Margin Maximizer Interactive to competitively price commercial deals and large retail opportunities.
It wasn't that CUBG
's model was flawed but the NCUA wanted something more robust, said Jim Clark, CUBG
SVP and chief credit officer.
One participant said using a national bank makes his business seem larger and more sophisticated, while using a credit union would make his clients think he was a smaller organization, according to CUBG
The organizations teamed up in an effort to help credit unions become a one-stop shop for business members, CUBG
To that end, CUBG
is planning to roll out a business lending staffing survey in the first quarter of 2013.
The CUSO's upgraded credit presentation now focuses more on balance sheet analysis and includes more details on business history, marketplace and management information, risk monitoring and loan exit strategies, according to CUBG
In August, CUBG
will survey attendees at its annual conference on their business services staffing levels to create a benchmarking database.
Middleman said based on a recent CUBG
survey, 90% of the CUs served by the CUSO either have RDC now or plan to implement it in the near future.
Of the 160 credit unions that CUBG
regularly underwrites, Middleman said 116 had no delinquencies.
According to its website, the Portland-based business lending and deposit services CUSO received initial capital contributions for corporates to start CUBG
He recently spoke with a $100 million credit union in a strong market that has been with CUBG
for seven years and hired a veteran commercial banker to oversee the loan program.