Portfolio Review

A lending institution’s loan portfolio is typically its most important asset. As the primary source of revenue, it is both a critical business resource and one of the greatest potential liabilities to a bank’s fiscal and business stability. 

Caused by a variety of things (inexact credit standards, inadequate portfolio risk management, or a weak economy), issues with the loan portfolio are traditionally one of the most prevalent causes of bank failure.

Effective loan portfolio management (LPM) is critical to a bank’s short- and long-term success. This process helps bank leadership assess, manage, and control the risk that is a given part of the credit process.

Birchwood offers two types of portfolio review:

Credit Portfolio Review

Birchwood’s Credit Portfolio Review is a streamlined, cost effective risk management solution that enables you to evaluate both positive and negative changes to your accountholders’ credit status on a weekly, monthly, quarterly, or as-needed basis.  It helps you effectively manage your portfolio risk and accountholder relationships.

Product Features:

• Results within 48 hours
• “Soft” inquiry to the consumer credit file

Flood Portfolio Review

More fines are levied for flood violations than any other type of violation.  According to the 2011 FDIC Annual report, 80% of the fines issued by the FDIC in 2011 were flood related.  The Biggert-Waters Flood Insurance Reform and Modernization Act passed in June 29, 2012 included an increase for penalties against lenders from $350 to $2,000 per flood violation and removed the annual cap on flood violation fines. 

Birchwood’s flood portfolio review helps you meet compliance requirements and maintain accurate flood certifications.

Product Features:

• Validation to ensure the current FEMA maps are being utilized
• Flood zone analysis to identify any potential insurance discrepancies