Published on May 03, 2017
Written by The Servion Group
Driven to help financial institutions offer commercial financing while managing credit risk, Servion Commercial Loan Resources – previously known as CU Member Business – has grown to serve organizations in California, Illinois, Iowa, Minnesota, North Dakota, Pennsylvania, and Wisconsin.
Due to its size and complexity, commercial lending requires expertise that’s costly to acquire or hire into the organization. Commercial lending also offers significant opportunities – when combined with solid underwriting and overhead expense management – to grow profitability.
In the case of one partner from Minnesota, CU Member Business assisted with rapid expansion of its commercial lending during a three-year period – growing commercial loans by nearly $130 million. For this partner, CU Member Business acted as a trusted second eye for commercial files and underwriting. It helped manage risk as well as to show examiners that the credit union had made sound decisions.
CU Member Business has a proven track record. It has a passing risk rating (1-4) for 94.78 percent of its servicing portfolio. Loans categorized as substandard account for 0.96 percent of the servicing portfolio. (Nearly 100 percent of the loans underwritten at origination by CU Member Business have received a passing rate.)
We can cater its services to the needs of financial institutions all over the country. Our partners utilize our services to enter commercial lending, to grow beyond their current volume capabilities, or just as a second check for credit decisions. For financial institutions that have built their underwriting infrastructure, we can manage every aspect of your commercial loan portfolio including documentation, payments, statements, and annual reviews.
Contact us if you would like to learn more about how CU Member Business can help your financial institution manage risk and grow commercial assets.