Deposit rates have been at historic lows for several years. The Federal Reserve has raised their target federal funds rate a few times, causing credit union managers to wonder, “Should we raise our deposit rates?” There are many reasons a credit union may feel...
Segmentation strategies continue to evolve as a tool to manage the cost of funds and optimize the flow of deposits. In 2001, we began urging clients to consider segmentation strategies, and we continue to advocate their use. The objectives of a segmentation strategy...
When we talk with credit unions about the results of their interest rate risk analysis, we are often asked the question, how do my credit union’s results compare to my peers or to the industry? The answer is not always applicable because credit unions vary quite a bit...
Many are calling this the most sweeping change to financial institution accounting ever! What is it and what is changing? CECL is a new standard for Allowance for Loan and Lease Loss (ALLL). In June 2016, FASB issued the current expected credit losses (CECL) standard...
