Making loans to high-risk borrowers, engaging in risk or faulty investments, and otherwise managing money in a sloppy way is a surefire way to get derision from regulatory bodies and/or the public. The figures for the competition bear out that remaining in proper fiscal shape in banking operations is possible even during these uncertain times and there is no reason why Regions Bank cannot do the same.
Over the next twelve quarters, customer service initiatives to drive and retain recurring business are important as this is the best thing Regions Bank can do to get some breathing room. Attracting high-quality borrowers that are willing to borrow money during uncertain times is also important and at a premium nowadays. A barrier to both of these ideas is that people often become paralyzed and are hesitant to make major fiscal decisions in the midst of economic uncertainty. The potential loss of a job and/or concerns about the fiscal safety of one's money is an omnipresent matter to many people. Banking customers of Regions Bank should be reminded that Regions Bank is in sound fiscal shape and even if the worst happens with Regions Bank, the FDIC will insure any deposits made.
An overall increase in business, despite how it is garnered, will boost income (interest income in particular as well as the fees that Regions Bank's customers incur) and these extra funds can be used to start to loosen up credit standards to people excluded prior but that are still rather low risk based on their career and borrowing histories. As long as the right being are being lent to, Region Banks' overall risk profile should remain positive.
Projections bear out that non-performing loans were at an apex from 2009 to the beginning of 2011 but the possibility of significant growth in those bad loans is below 3.6% after being in excess of four percent. A fall of nearly one percent over the last 2-3 years is no small thing and should be taken advantage of. Despite the current economic challenges, much of the economic fallout to bear has already revealed itself and things are starting to settle down, even if economic growth patterns are uneven. The current state of affairs seems to be based more on people being hesitant and tepid rather than a clear and present danger being in play. The failure rate of banks has dropped significantly. All of these factors should be gently pressed upon potential quality loan customers as this would be the main roadblock to procuring their business at this current time.
One market condition that Regions Bank should take full advantage...
(Warnings to be ignored) The market for interest-rate change is another privileged playground. Banks just pay a low, short-term floating rate and get a high, fixed one. Most of the top 20 American banks receive at least 10% of their profits from this increase, and for J.P. Morgan Chase, it was an astounding 33% last year. (Warnings to be ignored) as well as civilizing their interpretation of the economic tealeaves,
The Bank of America is not leveraging its assets effectively at present, and this is something that makes it a relatively unattractive investment. In addition, the Bank of America may not be in a position to take advantage of an upswing in the U.S. economy, because the retail housing market is still depressed and the Bank is likely gun-shy about building back its mortgage business. The bank has probably
S. The bank expanded into the Chicago market. Bank of America, with a strong California base, was already the largest bank in the U.S. By deposits at that time. The company completed the largest bank merger in U.S. history with the acquisition of NationsBank. The next major step was the 2004 acquisition of FleetBoston, followed by MBNA, a major credit card company. The bank began to expand outside of the U.S.
From its creation to 1988 it undertook banking functions and opined generally on the international banking system. 2. Starting in 1988 it began to assume the role of an unofficial international bank regulator. Although it had no official international status, its members -- central banks of the major banking countries -- were obligated by the nature of their membership to abide by its edicts and the rest of the world
S. banking industry." By 1974, the card has virtually assumed its contemporary form: "What an amazing transformation has taken place since Bank of America began marketing the precursor to Visa with its 1974 ad campaign 'BankAmericard. Think of it as money.'" 3. GOALS-OBJECTIVES-STRATEGIES. The companies overall strategy can be summed up in terms of its commitment to identifying what its customers want and being there on a "firstest-with-the-mostest" basis. Taken together,
Bank of America Vision and Mission Statement and Long-Term Objectives The mission statement of Bank of America (BOA) is that the actions of individuals working in tandem build strong communities and businesses such as BOA are obligated to support the communities that it operates in and serves. The vision of the BOA Company is to become the finest financial corporation in the world. Thus, the Bank of America plans to use its
Our semester plans gives you unlimited, unrestricted access to our entire library of resources —writing tools, guides, example essays, tutorials, class notes, and more.
Get Started Now