How to Create Effective Loan Policies

Adam LaBoda


Adam LaBoda, Esq. is an attorney with Spencer Fane Britt & Browne LLP where he specializes in the representation of financial institutions.

Adam was awarded his juris doctor from the University of Kansas Law School. Prior to joining Spencer Fane, Adam served as a law clerk for Chief Judge Lee M. Jackwig, United States Bankruptcy Court for the Southern District of Iowa. He is a member of the Missouri Bar and the Kansas Bar Associations, as well as a member of the Kansas and Missouri Bankers Associations, and the Kansas City Bankruptcy Bar Association. He is licensed to practice law in Missouri and Kansas, as well as the federal district courts in Kansas and the Western District of Missouri.

Thursday, July 30th, 2009
10:00 am - 12:00 pm CT
The Institute of Certified BankersTM(ICB) is dedicated to promoting the highest standards of performance and ethics within the financial services industry. This webinar has been approved for 2.5 CLBB credits.

Loan policies vary considerably among financial institutions because each institution has its own distinct product mix and tolerance for risk. Therefore, an effective loan policy must be tailored for the specific institution. That's why an institution can't just copy the loan policy manual from the financial institution down the street. And, loan policies must be reviewed and revised on a periodic basis as the institution's circumstances change. This webcast seminar will help an institution create effective loan policies with special emphasis on the FDIC Manual of Examination Policies, the Interagency Guidelines for Real Estate Lending Policies, and the Interagency Guidelines Establishing Standards for Safety and Soundness.

Covered topics:

  • Lending authority of loan officers and committees
  • Responsibility of the board of directors
  • Guidelines for portfolio mix and risk diversification
  • Limitations on loan-to-value, aggregate loans, and overdrafts
  • Credit and collateral documentation standards
  • Guidelines addressing loan review and loan grading systems
  • Adequate allowance for loan and lease losses
  • Categories of substandard, doubtful, loss and special mention
  • Charge-off guidelines and collection procedures
  • Handling exceptions to policies

Who Should Attend?

This webcast seminar will be very useful to any person that deals with the financial institution's loan policies. It can help the financial institution prepare for an upcoming examination or ensure the financial institution operates within its prescribed risk tolerances.
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