What Is Collateral Management in Commercial Lending, And Why Getting It Wrong Is Getting More Expensive
 A regional commercial lender discovered the problem during a CRE workout on a mixed-use property that had gone into a nonperforming status. The UCC-1 financing statement filed against the borrower’s equipment at origination had lapsed eighteen months earlier. Nobody had scheduled the five-year continuation filing. A junior creditor who had filed a UCC-3 continuation […]
Collateral Risk Management in Commercial Lending: Why Loan-Level Thinking Isn’t EnoughÂ
A community bank completed its quarterly portfolio review with a clean result. Every CRE loan in the book showed an LTV ratio within policy thresholds, every file contained documentation of a completed appraisal, and the credit team moved on. During the subsequent regulatory examination, examiners identified that sixty percent of the institution’s non-owner-occupied office […]