Independent Banker - July 2022 - 5

FLOURISH
" Loan providers are multiplying,
and we cannot underestimate
the need for a frictionless loan,
one that removes hoops for our
customers and feels simple,
efficient and effective. "
Rebeca Romero Rainey
President and CEO, ICBA
s we kick off this year's lending
issue, I want to pause for a
moment to reflect on just how much
lending has changed. Remember,
not that long ago, when a loan card
was handwritten on a one-page
form? You would just rip off the top
sheet, fill out the terms and provide
a description of the collateral. From
there, the loan assistant would key
it in and produce loan documents.
That was it. That was the process.
Fast forward to where we are
today, and you almost can't believe
it's the same product line. The
pendulum has swung from a simple
solution to the point of extreme
detail and complexity. While it has
had some benefits, like stronger
risk management for our banks,
it has made the customer process
much more daunting. In fact,
the loan process has grown more
complicated in lockstep with today's
financial landscape.
But community banks have
adapted to address that shift. Over
the past couple of years, we have
drawn on technology to complement
the human touch with digital
efficiency and have been using
behind-the-scenes automation more
A
consciously to streamline the process.
By implementing these new strategies,
we have focused on what matters
most: our customers.
Take, for example, how the
Paycheck Protection Program (PPP)
affected our infrastructure. The forced
urgency behind that program lit a fire
under us to implement new solutions
quickly and efficiently, because our
small business customers needed
them. In fact, for many bankers, PPP
compelled action around technologies
they had been considering for years:
everything from e-signatures to digital
document processing and beyond.
That experience left me questioning
what we could be doing now to
anticipate what will come next. As
we think about our ability to leverage
technology, what are the low-hanging
fruit? What new solutions can we stop
kicking down the road?
It's smart business strategy to turn
inward and ask the tough questions,
particularly as we're up against
such a competitive landscape. Loan
providers are multiplying, and we
cannot underestimate the need for
a frictionless loan, one that removes
hoops for our customers and feels
simple, efficient and effective.
Today's lending environment is
markedly different from that of a
decade ago, but we have weathered
bouts of economic volatility, inflation
and restrictive regulations in the
past, and we have flourished despite
them. So, while this next round
of uncertainty will bring with it
new challenges, the strength of the
community bank business model
remains intact. We, as community
bankers, will continue to adapt to
meet our customers' needs.
Connect with Rebeca @romerorainey
Where I'll be this month
I'll be attending the 2022 Idaho, Nevada, Oregon and
Washington Bankers Associations' Annual Convention
in Coeur d'Alene, Idaho, and meeting with ICBA's board
of directors.
independentbanker.org Q 5
Photo by Chris Williams
http://www.independentbanker.org
Independent Banker - July 2022

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