As fair lending analysis becomes increasingly technical, industry practitioners have had to familiarize themselves with the terminology of statistical analysis. Statistical significance is one of the most common and foundational concepts to successfully navigating these new waters. Moreover, it is a concept that, when misunderstood, may result in serious error.
Read More
Community Banks are important economic cornerstones in many communities throughout the nation. According to call report data, commercial banks with less than $10 billion in assets hold 17 percent of total banking assets in the United States but roughly 53 percent of small loans to businesses. From 2008 to 2017, the number of banks this […]
Read More
In response to the changing risk landscape, the Depository Trust & Clearing Corporation (DTCC) published a whitepaper titled, “The Next Crisis will be Different: Opportunities to Continue Enhancing Financial Stability 10 Years after Lehman’s Insolvency.”
Read More
On September 26, 2018, United States Senator Elizabeth Warren (D-Mass.) introduced the American Housing and Economic Mobility Act. Among other things, the legislation expands the scope of the Community Reinvestment Act (CRA), grants $500 billion in subsidies to homeowners and investments in low-income housing projects.
Read More
Banking regulations contain a degree of subjectivity. Regulations are broad and pertain to the entire industry, but institutions can vary significantly in operations and size even within the subsets of rules that apply to each. Practically speaking, this often leaves the examination process subject to interpretation in terms of what is compliant and what is not.
Read More
We have discussed the essentials of CECL in a previous post in which we explained the new requirements. Below we show a simple path toward CECL compliance which may serve as a catalyst toward more refined and robust methods.
Read More
In response to an executive order signed by President Trump on February 3, 2017, the U.S. Department of the Treasury released a series of reports. These reports identify government policies that promote or inhibit regulation of the U.S. financial system in a manner consistent with the administration’s stated Core Principles. The most recent of these reports, […]
Read More