Strunk is pleased to announce the Community Bankers Association of Georgia, Kansas Bankers Association, Kentucky Bankers Association, Missouri Bankers Association, Nebraska Bankers Association, Tennessee Bankers Association, and the Independent Bankers Association of Texas have all provided endorsement of Strunk’s latest offering, Pricing Manager.
Strunk is pleased to announce partnerships with several state banking associations across the country. The Community Bankers Association of Georgia, Kansas Bankers Association, Kentucky Bankers Association, Missouri Bankers Association, Nebraska Bankers Association, Tennessee Bankers Association, and the Independent Bankers Association of Texas have all provided endorsement of Strunk’s latest offering, Pricing Manager.
Pricing Manager is a fully hosted, web-based solution that allows banks to deploy a tool to all lenders to ensure they are armed to price loans profitably and consistently based on target profitability objectives. It also provides the ability to understand the details of relationship profitability so better pricing decisions can be made. Pricing Manager will increase a bank’s net interest income by 25-50 basis points.
Pricing Manager offers lenders the ability to vary rate, fee, risk premium and term structure among other variables, to understand the drivers of profitability and develop pricing options for borrowers that all achieve the target ROE for all types of loans. Deposit relationships can be included to see how much ‘pricing power’ each brings to the loan or total relationship. The solution contains built in assumptions for loan origination, loan servicing and cost of funds which can all be customized.
According to Strunk’s Chief Executive Officer, Dan Roderick “Until about two years ago, pricing was fairly straight forward for most banks, given historically low interest rates and record high liquidity. However, that has changed dramatically, as should a bank’s approach to pricing. Liquidity, which not long ago was far from a consideration, is now becoming a concern for many banks. Also, economists are beginning to predict tightening commercial credit largely due to a downturn in commercial real estate values - particularly for office space and retail properties - which will impact the risk profile of these loans and should have a corresponding impact on pricing. At no point in history has proper loan pricing been more important.”
Pricing Manager will:
Strunk is providing free demonstrations of the Pricing Manager solution for interested banks. Please visit https://strunkaccess.com/pricing-manager/ or contact Strunk at [email protected] to learn more.
