Baker Hill, an Experian company and an expert in banking process solutions, announced that Bank of Oklahoma (Nasdaq: BOKF) has chosen its Portfolio Risk Advisor, an automated portfolio monitoring system, to streamline the management of the bank's small-business loan portfolio.
The bank will use Portfolio Risk Advisor for its loans of $500,000 or less.
Portfolio monitoring is typically a very manually intensive process. Since Bank of Oklahoma delivers small-business lending services from 100 branches in six states, the bank intends to centralize and standardize the monitoring of its small-business portfolio in order to redirect staff time to better serve its customers. "Consistency plays a critical role in effectively managing our loan portfolios," said John Anderson, Bank of Oklahoma's senior vice president of business banking. "Our bank has grown both organically and by acquisition; so, we are building a variety of loan underwriting skills, products, and policies, while adding lending professionals to our team. Consistency, now more than ever, will have an impact on our future success. Risk Advisor is the solution we've been looking for to ensure our continued success."
The bank also is committed to identifying problem loans before they become problems. "Like many banks, our existing loan monitoring systems are defensive," said John Anderson, Bank of Oklahoma's senior vice president of business banking. "Portfolio Risk Advisor will automatically review our portfolio and will raise red flags to provide us with much earlier identification of a loan's credit quality deterioration. In addition, this tool will allow our marketing officers to proactively reduce renewal activity, and to up-sell clients based on line-of-credit use, and credit score changes. There is no comparison in the market to this system."
"In a typical month, as many as 396,000 businesses show outstanding balances that became greater than 60 days delinquent," said Mark Hill, president of Baker Hill. "It's an enormous task to monitor a loan portfolio of any size. Portfolio Risk Advisor automatically monitors a portfolio for key events and flags those accounts that merit special attention. It provides an enormous lift in efficiency and effectiveness to a bank."