Lending to Complex Borrowers
Complex borrowers pose a different sort of challenge. They include wealthy individuals, real estate developers and those owning multiple businesses.
Tax returns are voluminous and layered. For one loan you may be analyzing as many as ten tax returns, perhaps more.
More than other lenders, you need to be able to sift through the overwhelming amount of information to: Pull qualifying income and spot red flags Understand the borrower and have more meaningful conversations Consider the requested loan and uncover more loan opportunities Make a good decision and document the file
Linda and her husband are complex borrowers. Each own their business. Linda's is an S Corporation. Her husband was a general contractor. They are real estate investors.
Besides her personal, complex situation, Linda has worked with thousands of lenders at hundreds of financial institutions for over 25 years. As a Certified Public Accountant, she has a practical understanding of the story behind the numbers. As a Certified Speaking Professional, she can actually explain what she understands. She was a commercial borrower over 20 years as CFO with a residential construction business. Linda stayed with the same bank and knows how your bank can create 'sticky' customers.
What do bankers say
I’ve learned how to better interpret the numbers I see on tax returns, beyond just putting a number on a form. I feel more confident asking borrowers questions to get a better picture. Linda takes a complex subject, brings it to life and makes it interesting.
, Assistant Manager, Loan Center
Unitus Community CU
Unitus Community CU
I will recommend the course {for teams} because it will keep our approach to Global Cash Flow consistent.
, Chief Credit OfficerMegaBank
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