Lending

Young & Associates Inc. offers a variety of lending and loan review services designed to:

Create a high-quality loan portfolio, increasing profitability and shareholder value
Assist your bank in meeting the complex regulatory compliance requirements
Improve the overall efficiency of your bank’s lending function

For more information on our Lending Services, give us a call at 1.800.525.9775 or click here to send an E-mail.
ALLL Review
Our lending consultants will perform an independent assessment of both the methodology and documentation of the financial institution’s Adequacy of Loan and Lease Loss (ALLL) process as required by the regulatory agencies’ policy statement on ALLL Documentation and Methodology Guidance. We will also validate your ALLL methodology and determine if it conforms to generally accepted accounting practices and financial supervisory guidance.
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Appraisal Review
The third-party appraisal review is designed to help you comply with independent appraisal and evaluation guidelines and regulations. This review provides the bank with an objective assessment of selected appraisals, gauge usefulness of the appraisal document as a basis for determining collateral coverage, identify any documentation and procedural concerns or areas in which improvements could be made, and ensure that the selected appraisals adhere to the bank’s policies. Reviews can be tailored to the needs of your bank. The third-party appraisal review offers banks a practical alternative when time and personnel constraints might otherwise occur when ensuring adherence to the regulations and guidelines.
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Due Diligence Review of Loans/Portfolio
Our lending consultants can conduct a due diligence review of individual loans and portfolios of loans considered for purchase by your bank. This review will be conducted in order to determine the underwriting quality, the level of regulatory compliance, and the adequacy of file documentation. This review can assess quality from a secondary market viewpoint or can be tailored to determine underwriting risks set by your bank.
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Fair Lending Review
The Fair Lending review offers a fair lending assessment of your bank’s lending function. This review is modeled after the fair lending examination procedures issued by the regulatory agencies. It includes, at a minimum, a loan policy review and comparison of questionnaires completed by your loan officers pertaining to their underwriting practices, and a comparative file analysis. Once completed, this review may be kept confidential from your regulatory agency if you comply with all the requirements of Regulation B, or may be shared at your discretion.

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Lending Department Analysis
The lending department analysis is a detailed study of your bank’s lending department. It includes a detailed review of your bank’s credit processes, a review of appraisal policy and practices, ALLL policy and documentation levels, collateral valuation and inspection techniques, utilization of the bank’s MIS system, adequate staffing levels, sufficiency of workflows, responsibilities, etc. The assessment process includes a review of the institution’s credit risk management processes and systems to identify, measure, control, monitor, and report credit risk as outlined by the supervisory guidelines. The study will be tailored to the needs of your bank and compared with institutions of similar size. The objective of the study is to maximize departmental efficiency while controlling costs.

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Loan Officer Training
Commercial, mortgage, and/or consumer loan underwriting training can be performed by our lending professionals on-site at your bank’s location. This training can be tailored to fit your bank’s lending standards or the standards set by the secondary market. This training can be used as a refresher course for your experienced lenders or as initial training for newly hired loan officers.
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Loan Review

Young & Associates, Inc. can conduct a third-party loan review of your bank’s loan portfolios. This review is performed using an eight-grade scale consistent with regulatory objectives. The scope of the loan review can be tailored to fit your bank’s needs, or we can propose a full-scope assessment of your portfolios more in-line with current regulatory philosophy regarding loan review.

Types of loan review we can perform include, but are not limited to:

Sampling of new originations by loan type and/or loan officer
Review of your bank’s top borrowing relationships
Specific portfolio or concentration review
Watch list review and validation
Review of insider loans
Virtual loan review (using imaged files)

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Loan Workout Services

Young & Associates, Inc.’s consulting team includes experienced professionals who can assist banks that desire to mitigate the adverse impacts of non-performing loans (including losses from charge offs, write downs, foreclosures, and bankruptcies) and those experiencing difficulties collecting on their impaired loans, restructuring marginal and weakened credits, and managing troubled debt portfolios. We can assist in all phases of the lifecycle of a troubled credit, from early default detection, to negotiation, creative structuring, and documentation of a successful workout, as well as through liquidation of collateral and other remedial measures designed to maximize returns and minimize losses.
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Operational Analysis

Young & Associates, Inc. will conduct a comprehensive operational analysis of your lending operations. This includes a detailed analysis of origination, processing/underwriting, closing/post closing, servicing, and policies and procedures.
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Outsourced Loan and Escrow Servicing

Young & Associates, Inc. offers Outsourced Loan and Escrow Servicing for financial institutions that do not have the time or resources to perform this process in-house. Our experienced loan servicing team has hands-on loan servicing experience and specialized knowledge to guide you through this time-consuming and complicated process. Our loan servicing services have been designed to increase operating efficiency and servicing capacity, reduce servicing costs (I.T. and infrastructure investments), enhance decision making and risk management, and manage regulatory compliance, data security, and business continuity.
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Quality Control Review

Required by Freddie Mac, Fannie Mae, HUD, and private investors, the Quality Control Review tests residential mortgage loans and origination sources, and validates income, cash sources, collateral value, and qualification analyses to assure product quality. The review will assure that loans conform to company policies, are of a quality acceptable to institutional and secondary market investors, meet insurer and guarantor requirements, comply with lending regulations and laws, and meet current Freddie Mac, Fannie Mae, HUD, and specific private investor requirements.
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Quality Control System Development

Young & Associates, Inc. can help you establish and implement a customized quality control system. This system is developed, written, and implemented inclusive of necessary staff training. An existing quality control system can also be evaluated for conformance with Freddie Mac, Fannie Mae, HUD, and investor guidelines, bank policies, insurer and guarantor requirements, and regulatory compliance.
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Seller/Servicer Application Processing

Young & Associates, Inc. will assist in the application stage for obtaining approval to sell and service residential mortgages. This includes an analysis of existing lending and services policies. We will either complete your application package or make recommendations for reinforcing the final application package for submission to Freddie Mac and Fannie Mae.

For more information on our Lending Services, give us a call at 1.800.525.9775 or click here to send an E-mail.