CREDIT RISK MANAGEMENT CONSULTING
No matter what Credit Risk Management topic is on your institution's radar, Ardmore Banking Advisors has the expert staff and proven processes to help you implement real changes that will increase your bank's efficiency and profitability, satisfy regulatory agencies and demonstrate proactive risk management for Executive Management and the Board.
The Ardmore team provides the Bank expertise and solutions in all areas of credit risk management, including mergers and acquisitions, board and management training, regulatory compliance, credit policy and expert witness testimony.
Conditions in the current banking environment are extremely favorable for merger, acquisition and investment activity, but at the same time, regulators are warning banks that these transactions will be under careful scrutiny.
If your bank is considering such a transaction, trust the professionals at Ardmore, who have a wealth of experience and expertise in providing due diligence consulting services, to assist in determining the value of assets being purchased and identify any potential gaps and weaknesses that the buyer needs to address in these transactions.
Ardmore's due diligence process establishes the Credit Mark based on the probability of default and loss-given default for the target portfolio, and performs overall credit management analysis of, but not limited to, the following:
Collateral Valuation and Integrity
Participation and SNC Exposures
Monitoring of Credit
Reporting & Measurement of Credit
For additional information on Ardmore's due diligence services, please contact us today.
"We are looking at due diligence, how deep a dive they did into the bank...We are looking at the operational and reputational risk that could be coming to their institution. That is what we are really focused on."
-John Meade, Central District Risk Officer & OCC Risk Committee Chairman
When a bank is interested in evaluating its long-term vision, mission, values, goals, strategies and tactics, Ardmore is available to help with a multi-step process that helps the Board establish a plan, the means to implement it, and generate metrics to gauge its success.
Board members, Senior and Executive Management, and occasionally associates from different departments are surveyed and interviewed, and their responses are used to assess the bank's current internal and external environments and prepare a Strengths, Weaknesses, Opportunities, Threats (SWOT) Analysis. From there, a strategy with measurable goals is formed, along with a plan to execute and evaluate progress.
If your institution is interested in obtaining a new perspective in developing your vision, mission, values, goals, strategies and tactics, contact the seasoned experts at Ardmore Banking Advisors to help you map a course for your long-term success.
Your credit policies have to reflect the current lending environment and need to support your bank’s strategy, goals and mission. Ardmore Banking Advisors provides consulting services to Banks on writing and maintaining credit policy(ies) that are consistent with safe and sound banking practices.
The team assigned to help you with your credit policy challenges are ABA professionals with decades of bank supervision and consulting experience who have "sat in your chair." This gives them the experience and knowledge to provide you with the guidance and counsel needed to retool your credit policy for today’s lending challenges.
To see how Ardmore can help you with your credit policy concerns, please contact us.
The following are examples of engagements where ABA was called in to perform special assignments and successfully completed them:
Evaluation of general expenses and a major lease for real estate from an Executive/Board member for a bank regulated by the Federal Reserve Bank. ABA also performed consulting services for the bank to assist in complying with the Consent Order including development of a new Strategic Plan.
Management and Board assessment for a bank regulated by the Federal Reserve Bank.
In our over 27-year history, Ardmore has performed numerous consulting projects demanded by virtually every federal banking regulator. These engagements have been performed for the banks that have been criticized by regulators in Reports of Examination (ROE), Consent Orders (Memos of Understanding, Supervisory Agreements) and Cease and Desist Orders. They have also been only at the suggestion of regulators in Matters Requiring Attention.
Special loan review and evaluation of credit underwriting practices, lending processes and staffing for a bank regulated by the Comptroller of the Currency. ABA also subsequently provided credit risk management consulting and Board training for the bank.
Strategic plan to include risk management enhancements for a bank regulated by the Federal Deposit Insurance Corporation.
Investigation of expenses incurred by Bank in the disposition of real estate on loans and expenses incurred for capital improvements that were paid to investors of the bank. Performed at the request of the Comptroller of the Currency.
Special loan review with emphasis on problem credits for a bank regulated by the former Office of Thrift Supervision. Ardmore also provided follow up risk management consulting and portfolio evaluation on an ongoing basis until the Consent Order was terminated.
Evaluation of entire lending process, Management and Board for a bank regulated by the Comptroller of the Currency. Ardmore also provided guidance to the bank in complying with the Consent Order.
Special evaluation of the loan portfolio of a bank regulated by the Federal Deposit Insurance Corporation
If your bank is under scrutiny from the regulators, contact us to discuss how Ardmore can help chart a course to recovery.
According to the Interagency Appraisal and Evaluation Guidelines, anyone performing reviews on appraisals must be independent of the loan transaction and insulated from influence by the loan production staff, and possess the requisite education and expertise to perform the review. Hiring a qualified individual can be an expensive undertaking for a bank, so we offer this specialized service to mitigate the bank’s costs, and with Ardmore’s sterling reputation in mind, you can be sure that the appraisal will be reviewed correctly.
One of the chief concerns when reviewing an appraisal is whether sufficient information is provided of the value obtained, and thus is credible for making an informed credit decision. We bring a banker’s perspective to appraisal review, since our appraisal reviewers have approved credits and understand what an approver needs to know about the strengths and weaknesses of an appraisal. We also perform a thorough technical review to ensure that numbers are accurate and the report is consistent.
For more information on Ardmore's appraisal review services, please contact us today.
EXPERT WITNESS TESTIMONY
It’s no secret that our society has become extremely litigious and that lender liability-based claims are on the rise. Ardmore Banking Advisors provides expert witness and litigation support consulting services to law firms looking for experience in lender liability matters and litigation support.
Ardmore prides itself in selectively accepting expert engagements only where its principals are confident that we can support the case based upon an independent review of the facts, we believe in the position we are being asked to advocate, and, we have the expertise necessary to qualify as an expert and meet our client’s needs and expectations.
Ardmore’s opinions, reports and testimony are based on an independent understanding and evaluation of the facts of each case in light of industry standards and best practices, good faith, commercial reasonability and fair dealing. Our knowledge is a product of decades of senior-level transactional and lending experience. Our experts have structured, underwritten, negotiated, closed, administered and worked-out all types of complex financial transactions.
To hear more about our expert witness services, please contact us.