Customers looking for the latest Commercial loan, deposit pricing and relationship profitability tool will soon be able to purchase Pricing Manager by Strunk. Today Dan Roderick, Chief Executive Officer at Strunk releases details of Pricing Manager’s development.
Pricing Manager is designed to appeal specifically to community financial institutions (CFIs) and includes:
Pricing Tool – This feature was included because community financial institutions need to ensure lenders are armed to price loans profitably and consistently based on target profitability objectives. This is great news for the consumer as It also provides the ability to understand the details of relationship profitability so better pricing decisions can be made.
Pricing Power – This was made part of the product, since seeing how much ‘pricing power’ each deposit brings to the loan or total relationship helps CFIs understand the key drivers of profitability. Customers who buy Pricing Manager should enjoy this feature because it offers lenders the ability to vary rate, fee, risk premium and term structure among other variables and develop pricing options for borrowers that all achieve the target ROE for all types of loans.
Customizable Assumptions – Strunk made sure to make this part of the Commercial loan, deposit pricing and relationship profitability tool’s development as the built-in assumptions for loan origination, loan servicing and cost of funds update automatically on a weekly basis from FHLB. Customers will likely appreciate this because they can use the standard assumptions or make their own based on origination costs, servicing costs or risk profiles.
Dan Roderick, when asked about Pricing Manager said:
“Until about a year and a half ago, pricing was fairly straight forward for most community FIs, given historically low interest rates and record high liquidity. However, that has changed dramatically, as should an FI’s approach to pricing. Liquidity, which only several months back was far from a consideration, is now becoming a concern for many community FIs. Economists are beginning to predict tightening commercial credit largely due to a downturn in commercial real estate values – particularly for office space and retail properties.”
This is Strunk’s 3rd release of a new product and Dan Roderick is particularly excited about this release because at no point in history has proper loan pricing been more important.
Those interested in learning more about the business can do so on the business website at https://strunkaccess.com
Those interested in purchasing can go directly to the product listing, here: https://strunkaccess.com/pricing-manager/
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Disclaimer: The views, suggestions, and opinions expressed here are the sole responsibility of the experts. No Daily Scotland News journalist was involved in the writing and production of this article.