CRM Training

Our course list spans credit, documentation and regulatory classes. We deliver both on premise and at our corporate training facility in Raleigh, N.C.

All Raleigh-based classes run from 9:00 a.m. to 4:30 p.m. (business casual) at:
GlenLake One, 4140 ParkLake Avenue, Suite 510, Raleigh, NC, 27612

Check out our preferred rates for local hotels.


Customizable Training Options:

Credit Risk Management, LLC (CRM) provides a broad range of credit, documentation and compliance solutions to empower your organization and employees with the skills and knowledge to excel. In addition to our scheduled training classes and topics, CRM will work with you to design and deliver specific innovative training that engages participants with content tailored to your organization’s needs.

NOTE: To print course descriptions, open one or more and select print from your browser menu.

 

Course Descriptions, Pricing and Registration

CRM Understanding Real Estate Appraisals

Understanding real estate appraisals and evaluations is an imperative step in the underwriting and review process given the current market conditions. This course focuse on the basics needed to perform internal real estate valuations where appropriate and to adequately review outside appraisals. We cover the full range of common valuation methods for loans related to Construction, Development, Residential properties, Commercial projects, etc.

Course Content:

Day One:
  • Understanding RE Appraisals and Evaluations
  • Residential Appraisal Compliance Review
  • Real Estate Evaluations Key Concepts
Day Two:
  • Reading Commercial Real Estate Appraisals
  • Understanding Appraisal Methodology and Key Concepts

 

Note: Adding CRM's Real Estate Valuation Methodology course will deepen your understanding of real estate valuations by addressing valuation methodology for multiple property types.
Cost:
$650 per person
$550 per person (Group Registration - 2 or more participants)
$500 per person (CRM Credit Manual or ALLL Client)

 

Register Now
CRM Real Estate Valuation Methodology

As a culmination of the previous two days of CRM Understanding Appraisals, or as standalone class for those with previous exposure to real estate appraisals, CRM offers Real Estate Valuation Methodology. Participants will learn the practice of validating the assumptions and values in appraisals, learn to develop and support their own collateral values, as well as learning the nuances and economics of real estate properties in order to be able to ascertain real estate collateral's value as a secondary source of repayment for their financial institution.

Course Content:

Participants will learn valuation methodology for the following property types:
  • Single Family Residences
  • 1-4 Family Rentals
  • Multifamily (apartments)
  • Office
  • Retail
  • Hotels
  • Land
  • Acquisition & Development
Cost:
$325 per person
$275 per person (Group Registration - 2 or more participants)
$250 per person (CRM Credit Manual or ALLL Client)

If combined with CRM Understanding Real Estate Appraisals:

$975 per person
$825 per person (Group Registration - 2 or more participants)
$750 per person (CRM Credit Manual or ALLL Client)

 

Register Now
CRM Consumer Lending School

Consumer lending entails more than just looking at a credit score, especially given the turbulent credit environment. A lender must look beyond the score and objectively judge each credit on a case-by-case basic. Learn how to evaluate credit bureau reports, calculate debt ratios, review personal financial statements, and consider unsecured lending standards using case analysis and classroom discussion.

  • Calculating loan-to-value and the debt ratio
  • Review, analysis and comparison of credit reports and Personal Financial Statements
  • Determining a borrower's actual net worth
  • Determining when and what mitigating factors to use for exceptions
  • Making use of the three methods (Adjusted Net Worth, Gross Annual Income and Stable Liquid Assets calculations) to analyze unsecured loans
Note: Adding CRM's Small Business Lending course will deepen your understanding of consumer lending by addressing borrowers with multiple sources of income and small businesses.
Cost:
$650 per person
$550 per person (Group Registration - 2 or more participants)
$500 per person (CRM Credit Manual Client)

 

Register Now
CRM Small Business Lending

One of the strongest competitive advantages of a community bank is catering to small business owners, but it is extremely important to properly underwrite the cash flow with this type of borrower. This course will help lenders identify when to use tax returns to evaluate requests, calculate simple business cash flow, and global cash flow concepts. Course Content:

  • Understanding the different business entity types
  • Establish the difference between profit and cash flow
  • Calculating simple business cash flow using the tax return
  • Calculating monthly disposable income standard expense deductions
  • Analyzing several cash flow sources and calculating a global cash flow
Cost:
$325 per person
$275 per person (Group Registration - 2 or more participants)
$250 per person (CRM Credit Manual Client)

 

Register Now
CRM Loan Documentation

Has your lending staff's basic knowledge of loan documentation kept up as doc prep systems and centralized delivery systems have evolved? Loss prevention requires community bankers to maintain a good working knowledge of documentation concepts and proper lien perfection. This course focuses on the key risk issues related to real estate loans, loan modifications, Uniform Commercial Code, title opinions and insurance, legal entities and more.

Course Outline:

Legal Documentation Overview—Organizational Documents, Uniform Commercial Code, Title Insurance, Real Estate Documentation and Other Aspects of Collateral Lending

Course Content:
  • Determining appropriate documentation requirements for secured and unsecured commercial and real estate loans
  • Managing the documentation and closing process
  • Perfecting security interests in collateral with regard to UCC, titled personal property and real estate
  • Discussion of recent court decisions relating to collateral perfection
  • Suggestions for enhancing the secondary review process
Who should attend: Any lender, underwriter, operations manager, credit officer, executive or administrative staff member who wants to expand their general knowledge of current legal documentation.
Cost:
$325 per person
$275 per person (Group Registration - 2 or more participants)
$250 per person (CRM Credit Manual or ALLL Client)

 

Register Now
CRM Lending Compliance — Beyond the Basics

One of the biggest challenges for banks in 2014 is the practical implementation of changing regulatory requirements and, even more critically, shifting supervisory expectations. In this workshop we will discuss the new rules, implementation strategy, and best practices of the most relevant new and updated regulations. We will also explore the technical requirements behind recent regulatory exam reports.

Bring a copy of your compliance procedures; we will discuss and offer suggestions for revising them during this interactive and informative session.

Topics Include:
  • Dodd-Frank 2014 Mortgage Changes
  • Basic Regs
  • E-Sign Act disclosures
  • Complaints
  • Biggert-Waters / Homeowner Flood Insurance Affordability Act of 2014
  • SCRA applicability to commercial loans and in servicing
  • UDAAP violations
  • And related subjects
Who should attend: Any lender, underwriter, administrator, manager, credit officer or executive responsible for lending compliance issues and minimizing compliance risks.
Cost:
$325 per person
$275 per person (Group Registration - 2 or more participants)
$250 per person (CRM Credit Manual or ALLL Client)

 

Register Now
CRM Toolbar® Training

Valued Credit Risk Management, L.L.C. clients have multiple spreadsheet tools provided to assist in proper underwriting and structuring of consumer, commercial and real estate credits. In response to growing demand, we are offering a unique training course, dedicated to maximizing your investment in the most commonly used spreadsheet underwriting tools.

Course Content:

Day One:
  • Consumer and Small Business Risk Grade
  • Global Cash Flow Analysis Workbook
  • Financial Spreads and Projections
  • Borrowing Base Calculation Worksheet
Day Two:
  • Residential Construction Line
  • Builder Line of Credit
  • Builder Liquidity Analysis Worksheet
  • Developer Line of Credit

 

Cost:
$650 per person
$550 per person (Group Registration -2 or more participants)
$500 per person (CRM Credit Manual Client)

 

Register Now
CRM CECL - How ASU 825-15 (CECL) impacts estimation of Allowance for Loan Loss

CRM expects final guidance on CECL to be issued in the fourth quarter 2014 to take effect in either 2017 or 2018. CRM has developed and been using a lifetime discounted cash flow "CECL" model for several years now to estimate portfolio losses for M&A, recapitalizations, and stress testing. Based on our experience, we have designed the following one-day practical approach to CECL.

Course Level: Intermediate
Prerequisite: Experience in financial accounting and reporting
Other: 8 CPE Credits
Class Time: 8:30am to 4:30pm

Who should attend: CPA's and financial professionals involved in and responsible for complex reserve calculations and accounting issues

Course Topics:
  • Common questions and issues we see with the existing incurred loss approach
  • The conceptual underpinnings of CECL, including Migration based approaches and Discounted Cash Flows
  • The various pitfalls and challenges you’ll find along the way as you develop model assumptions with real world examples
  • How our functioning CECL approach can work for your bank
Highlights:
  • Discussion of changes compared to current guidance
  • Discussion of models and the necessary components for accurate calculations
  • Case Studies
Locations and dates:
Cost:
$395 per person
$100 discount if reserved one week in advance of class
Discount cutoffs: Raleigh (10/24), Atlanta (10/31), Chicago (11/7), Venice Beach (11/14)
If you provide us the data, CRM will provide a free CECL estimate based upon your portfolio composition, impairments, risk grades and maturities, utilizing average migration loss parameters (PD and LGD) from our blind pool database. Data requirements will be provided at the conclusion of the training class.

 

Register Now

Our recent experience with our CECL model shows:

  Average Standard
Deviation
Current Bank ALLL 2.1% 0.8%
CRM One-Year Loss Estimate (sans Q&E) 1.3% 0.6%
CRM CECL Model (sans Q&E) 2.8% 0.8%
Portfolio Weighted Average Maturity 7.2 years 3.9 years
CECL Increase over ALLL 42% 38%

Observations:
  • On average, we see a 42% increase needed in the ALLL reserve amounts to comply with the new guidance if it took effect today.
  • Low reserves generally increased more than high reserves. There is a larger impact on pass credits than identified rated loans.
  • By definition, loans with long terms will require more reserves. However, we believe the FASB Board has made recent tentative decisions that provide more guidance (in particular) on problem loans with short maturities.
  • Calculation of life of loan expected credit losses involves a number of complex assumptions which have widely varying impacts depending on the composition of your portfolio. Understanding CECL now allows you to make changes to policies and terms offered in order to mitigate this impact.
  • The data needed to support this type of modeling is extensive regardless of the method you use. Understanding what is needed, whether you have it and whether it's accurate is important now while there's still time to make any changes needed to support CECL.
  • Many banks are currently holding substantial Q&E reserves. With improving economic indicators, improving real estate fundamentals and declining loss rates many Banks are considering releasing a portion of these reserves back into earnings. It makes sense to understand how CECL will impact your reserves as you consider changes to your current ALLL.
  • The definition of collateral dependent loans appears to be narrower under CECL and will impact the extent of using the fair value practical expedient.
  • A run rate approach to CECL becomes more problematic and we find the migration approach effective.
Register Now
NCBA Basic Commercial Lending

This course, which serves as the introductory session for the NCBA's School of Commercial Lending, will provide an overview of the challenges and opportunities inherent in commercial lending. Using a combination of individual and group case studies, this course will cover the following topics:

  • Using personal and business tax returns for global cash flow analysis
  • Understanding and analyzing business financial statements
  • Loan structure fundamentals —matching term to the sources of repayment
  • Personal financial statements — what matters most?
  • Credit memo tips — documenting and supporting your loan decision
  • Introduction to income property cash flow analysis
  • How and when to consider unsecured lending
Who should attend: Any bank personnel desiring to deepen their understanding of commercial lending from an introductory level.
Cost:
$750 per person

 

To enroll, register online at https://www.ncbankers.org/calendar-of-seminars-events/
NCBA Intermediate Commercial Lending

Community banks specialize in relationship-based lending. However, successful commercial lending requires a deeper, more objective understanding of your borrower. This course will provide the participant with a deeper knowledge of cash flow analysis and loan structuring for operating companies. Topics to be addressed include:

  • Evaluating sources and uses of cash within a business, beyond the simple cash flow approach;
  • Detailed analysis of lines of credit and asset conversion, to better understand accounts receivables, inventory and the cash cycle;
  • Loan structure fundamentals —matching term to the sources of repayment
  • Appropriate due diligence strategies, based on sound banking principles;
  • Using covenants to monitor borrower performance.
Who should attend: Any participant who has successfully completed the NCBA's Basic Commercial Lending Course, or a lender, manager, credit officer or executive who has excellent commercial underwriting abilities, tax analysis skills, and an expansive general knowledge of current commercial market risks and opportunities. Satisfactory completion of final examination is required to receive course certification.
Cost:
$800 per person
$775 per person (NCBA Member/Affiliate)

 

To enroll, register online at https://www.ncbankers.org/calendar-of-seminars-events/
NCBA Advanced Commercial Lending

Commercial lending often demands that community bank lenders understand complex business structures, loan requests and methods of financial analysis. This course focuses on advanced concepts needed to underwrite and service commercial loan transactions. Through class discussion and a combination of individual and group case studies, the following topics will be addressed:

  • Overview of specialized lending products — letters of credit, asset-based lending and lease financing
  • Detailed analysis of lines of credit and asset conversion, to better understand accounts receivables, inventory and the cash cycle;
  • In-depth discussion of specialized borrowers, including professional entities, contractors, nonprofits and religious organizations
  • Establishing lendable value and proper security interests in non-real estate collateral
  • Proper use and monitoring of covenants and guaranties
  • “Red flags” associated with problem C&I loans — and appropriate response strategies
Who should attend: Any participant who has successfully completed the Intermediate Commercial & Industrial Lending course.
Following the course, satisfactory completion of a final examination is required to receive course certification.
Cost:
$800 per person
$775 per person (NCBA Member/Affiliate)

 

To enroll, register online at https://www.ncbankers.org/calendar-of-seminars-events/
NCBA Intermediate CRE Lending

In our current weakened economy, it is especially important that lenders understand issues encountered when evaluating the merits of larger, more complex real estate transactions. In this course, you will gain a deeper understanding of the sources of repayment for different types of commercial real estate loans, and strategies to identify and mitigate potential repayment risks.

Topics include:
  • Income Producing Properties – Examine financial and nonfinancial underwriting, net operating income analysis, and the proper use of assumptions and sensitivity analysis
  • Residential Builder Concepts – Evaluating builder liquidity; understanding the differences between spec, pre-sold, and model homes; financing parameters; Cost, inventory, and risk assessment; and how to manage the draw process
  • Residential Developer Concepts – Defining the project, and evaluating developer strength; underwriting subdivisions (including single-phase vs. multi-phase projects); using market analysis information; tracking sales, releases and loan repayment trends
  • Specialized Appraisal Topics – Discuss the pressures faced by appraisers in the current market and how that affects your lending decision
  • Course includes a group case study and loan committee presentation simulation
Who should attend: Any participant who has successfully completed the Basic Commercial Lending course or a lender, manager, credit officer or executive who has excellent commercial underwriting abilities, tax analysis skills, and an expansive general knowledge of current commercial market risks and opportunities.
Cost:
$800 per person
$775 per person (NCBA Member/Affiliate)

 

To enroll, register online at https://www.ncbankers.org/calendar-of-seminars-events/
VBA Commercial Lending School

While "relationship-based" lending is one of the foundations of community banking, today's economic environment demands a complete understanding of your borrower's repayment capacity. This course focuses on the fundamental concepts that lenders must understand when underwriting commercial loan requests.

Program Topics:
  • Identifying and calculating cash flow from tax returns;
  • Financial ratios and cash flow analysis using income statement and balance sheet information;
  • Evaluating personal financial statements – what matters, what doesn't;
  • Detailed analysis of lines of credit and asset conversion, to better understand accounts receivables, inventory and the cash cycle.
  • Identifying problem loan red flags and solutions.
  • Understanding the borrower, and performing appropriate due diligence.
  • Loan approvals and credit memo content.
Who should attend: Any bank personnel desiring to learn the basics of commercial lending.
Cost:
$715 per person

 

To enroll, register online at http://www.vabankers.org/education/calendar.aspx
VBA Appraisal Training

Regulatory guidance on appraisals and evaluations has undergone significant revision, with a renewed emphasis on independence, objectivity and proper collateral valuation methods. As a result, it is critical that banks ensure that their policies and procedures meet supervisory expectations now and in the future.

This course focuses on:
  • Understanding the new regulatory environment, and how it directly impacts the Bank's appraisal practices
  • Identifying the key components of an appraisal and how they affect the appraised value
  • How to review residential and commercial appraisals with confidence
  • When—and how—to perform an internal real estate valuation
  • Appropriate valuation methods for loans related to Construction, Development, Residential properties, Commercial projects and special purpose properties
Who should attend: Any bank personnel involved in real estate lending and reviewing appraisals as well as any individual who wants to learn how to prepare real estate evaluations instead of appraisals.
Cost:
$525 per person

 

To enroll, register online at http://www.vabankers.org/education/calendar.aspx

Credit Risk Management, LLC is registered with the National Association of State Boards of Accountancy (NASBA) as a sponsor of continuing professional education on the National Registry of CPE Sponsors. State boards of accountancy have final authority on the acceptance of individual courses for CPE credit. Complaints regarding registered sponsors may be submitted to National Registry of CPR Sponsors through its website: www.learningmarket.org