The Customer Experience: 14 Ways To Better Understand Your Bank Customer

The reality is that banks don’t think from the customer’s perspective enough. The customer experience is horrible for many bank processes. Bankers often think from the bank’s perspective or from the regulator’s perspective. Not understanding your customer can lead to a brand and products misaligned with the customer’s needs resulting in an erosion of a…

Read More about The Customer Experience: 14 Ways To Better Understand Your Bank Customer

Help Your Lenders With Our Loan Proposal Generator

Competition is intense, and every bank is looking for a competitive advantage. Better products, faster service, or insightful advice can translate into additional loans, better credit spreads, or extra fee income. Sometimes just a graphics tool can help a banker win more loan business. At SouthState, our commercial lending teams use an online proposal generator,…

Read More about Help Your Lenders With Our Loan Proposal Generator

5 Actionable Insights From 2Q 2022 Bank Earnings

With 100+ public banks reporting, we have more than a representative sample to see 2Q 2022 bank earnings trends and derive some operational insights on bank performance. We touched on the 33 Items That Stakeholders Want to Know, which highlights some of the industry’s concerns and serves as a good checklist of items to touch…

Read More about 5 Actionable Insights From 2Q 2022 Bank Earnings

Use These Tactics When We Have A Full Inverted Yield Curve

A yield curve is a relationship between yield and different maturity dates. The yield curve’s slope can provide insight into future interest rate changes and economic activity. There is much discussion in the market about the current inverted yield curve between the two and ten-year Treasury yields. However, for bankers, the critical dates on the…

Read More about Use These Tactics When We Have A Full Inverted Yield Curve

Data Lake Houses: Getting Your Bank Data Right

In wrestling, there are hundreds of thousands of moves to learn. You will fail if you try to learn them all early in your wrestling career. Moves come with experience. Concepts come first. To start, what is essential is conditioning and learning about angles. Defending your angles and using angles to attack. When it comes…

Read More about Data Lake Houses: Getting Your Bank Data Right

What Will Be The Fed’s Terminal Fed Funds Rate?

Last week the Federal Reserve raised the Fed Funds rate by another 75 basis points – that was no surprise to the market.  However, in Powell’s unscripted remarks at the press conference, he stated that interest rates have reached a “neutral level.”  The market reacted to those words with equities and bonds both rallying.  We…

Read More about What Will Be The Fed’s Terminal Fed Funds Rate?

Bank Multiple Improvement: 33 Items Stakeholders Want to Know Now

Over the past several years, bank investors have been hungry to hear about growth and expansion. Revenue and growth have fueled bank multiples. Now, the tone is markedly different. We have poured through the recent 2Q earnings releases, spoken with a rash of institutional bank investors, traded thoughts with analysts, and compiled the following list…

Read More about Bank Multiple Improvement: 33 Items Stakeholders Want to Know Now

How to Best Use Volatility Instruments In Banking – Part II

Last week we discussed how lenders might use swaps, caps, floors, and collars to help borrowers manage borrowing costs.  We outlined how the market values swaps and volatility instruments (like caps and floors), and we reviewed the fundamental reasons for how and why these hedging instruments are applied to commercial loans.  In this article, we…

Read More about How to Best Use Volatility Instruments In Banking – Part II

The Formula For Brand Affinity Marketing To Make Your Bank Go Viral

Back in 2015, Brazil led the world in fan football-related injuries. Passions ran so high that there would be 25 deaths and about 300 serious injuries from fan-on-fan violence in a typical year. More private security was brought in and fights increased. A more significant police presence was tried, and altercations increased more. It was…

Read More about The Formula For Brand Affinity Marketing To Make Your Bank Go Viral

Using Swaps, Caps, Floors, and Collars in Lending – Part I

The Federal Reserve is rapidly changing the interest rate environment to fight inflation.  The Fed’s actions are forcing lenders and borrowers to consider ways to protect cash flow, credit, liquidity, and interest rate risks.  Many borrowers ask lenders how they can use swaps, caps, floors, and collars to protect their businesses and lower borrowing costs. …

Read More about Using Swaps, Caps, Floors, and Collars in Lending – Part I

5 Lessons We Learned Using AI for Bank Email Marketing

Email is one of the most effective bank marketing channels available. Most banks send emails with little regard to optimization – they create an email, then send it. Other banks, like ourselves previously, pour over countless amounts of data to optimize open rates, clicks, and conversions. Now, it is about personalization and using artificial intelligence…

Read More about 5 Lessons We Learned Using AI for Bank Email Marketing

Fixing Loan Selection Bias In Banking

At this point in the business cycle, we believe that community banks should migrate to higher credit quality loans.  However, in response to our last few blogs, some community bankers told us they have few opportunities to originate loans at 1.75X debt service coverage ratio (DSCR) and sub 60% loan-to-value (LTV).   We believe that the…

Read More about Fixing Loan Selection Bias In Banking