New tool helps financial institutions strategically price loans via real-time profitability analysis and total relationship value metrics

NEW YORK: FORVIS, a leading public accounting and consulting firm, announces the launch of LoanPricingPRO®, a tool that helps lenders strategically price commercial loans using real-time metrics to bolster their profitability goals.

LoanPricingPRO is designed to help financial institutions manage and grow loan portfolios by factoring in the value of existing customer relationships and optimizing proposed terms with real-time profitability analysis. It was developed alongside Andy Morgan, who has more than 20 years of consulting experience helping banks improve their profitability. Morgan is a director with the enterprise risk and quantitative consulting team at FORVIS, having joined the firm following its acquisition of ProBank Austin in 2022.

LoanPricingPRO’s key features include:

• Benchmark calculator providing profitability-enhancing recommendations
• Relationship-based pricing
• Custom risk-adjusted pricing
• Product-specific expense allocations
• Configurable minimum and desired ROE targets

This newly launched product is a significant evolution and refinement of a tool previously offered by ProBank Austin. The new platform’s multidimensional reporting allows financial institutions to dive deep into layers of meaningful data and track performance in an easy-to-use dashboard format. Decision makers can leverage the provided insights for objective analysis, Morgan says.

“Many institutions are still heavily reliant on intuition for their pricing strategies, which often leads to an unclear picture of how profitable their loans really are,” Morgan says. “LoanPricingPRO can help eliminate guesswork leading to more quantitative and strategic pricing decisions. This is essential in today’s competitive lending environment.”

“As a longtime user of the legacy system who has had an opportunity to work with LoanPricingPRO, I’m excited about what I’ve seen with the new system,” says John Clark, senior vice president and senior lending officer with West Shore Bank in Grand Rapids, Michigan. “The updated user interface will streamline our pricing process.”

The investment of time FORVIS professionals make to work with clients as they adopt the platform is one of LoanPricingPRO’s key differentiators, says John Bourquard, national practice leader for Loan Review Services at FORVIS. The firm’s team members help clients customize pricing models within the tool and train an institution’s staff to best leverage it for their purposes.

“A loan pricing tool is only as good as the way it is configured,” Bourquard says. “I’m extremely proud of our team’s approach to developing not just a powerful analytical tool, but a platform that allows us to use our insights and experience to help our clients unlock their full potential in ways that are unique to their needs.”

For more information, visit forvis.com/loanpricingpro.

About FORVIS

FORVIS, LLP is an integrated professional services firm with a global reach and a passion to drive businesses forward. The firm’s 6,000 dedicated team members provide an Unmatched Client Experience® through the delivery of assurance, tax, and consulting services for clients in all 50 states and internationally. Ranked among the largest public accounting firms in the United States, FORVIS upholds an unwavering purpose to help those we serve unlock their full potential—including our people, our clients, and our communities. Visit forvis.com for additional information.

Fonte: Business Wire