Bair Meets with Georgia Bankers, Senators
FDIC
Chairman Sheila Bair was in Atlanta Wednesday and took time to
meet with a cross-section of Georgia bankers and U.S. Senators Johnny
Isakson and Saxby Chambliss. Our thanks to the Senators for letting GBA
sit in on the meeting. Chambliss and
Isakson organized the hour-long meeting to give members of
Georgia’s banking community the opportunity to meet with Bair and ask
questions about the real estate marketplace, FDIC regulatory policies
and capital markets. The institutions represented varied by size,
location and general financial performance. "The bankers seemed to
appreciate the opportunity for a direct conversation with the Chairman
about issues and ideas important to economic recovery and improving the
banking environment in Georgia," said Joe Brannen, GBA president
and CEO. "The Chairman, Senators and bankers had a candid, productive
discussion about the pertinent issues we've been hearing about from
members such as the application of accounting standards, supervisory and
exam activities, brokered deposits and bank resolution activities.” Also
sitting in on the meeting were FDIC Regional Director Doreen Eberley
and the incoming Regional Director, Tom Dujenski.
Click here for the press release issued by the Senators about the
meeting. Chairman Bair was in Atlanta to participate in the HOPE Atlanta
Financial Forum hosted by the Federal Reserve Bank.
Click here for her speech
to the HOPE event where she discusses consumer protection, the need to
regulate the "shadow banking" sector, the need to encourage saving and
better financial education.
State Legislative Update:
Finally Some Good News
The
General Assembly was in recess this week, so we don't have much to
report. There was some good news this week, though:
the Revenue Department announced its first tax revenue growth since
November 2008. Revenues were reported as $998.2 million in March
compared with $988 million in March 2009. Most of the growth was in
corporate income tax revenue (up 9.8 percent) and motor fuel taxes (up
19 percent). All other categories continued to be lower: sales tax
(-11.6 percent), property tax (- 41.1) percent and individual income tax
(- 2.6 percent). In reacting to the announcement, Gov. Sonny Perdue said
in a statement, “While we are always cautious about reading too much
into a single month’s revenue report, the March numbers are certainly
encouraging. Springtime in Georgia always brings us the Masters and the
Braves’ opening day, and I am hopeful we are also seeing the first buds
of economic recovery.” The Masters is just getting underway, so we don't
know the outcome there. But let’s all hope the state's economy has the
same success the Braves did in their opener Monday night when they
slammed the Cubs 16-5! (Sorry, Cubs fans.)
Hearing Tentatively Scheduled on Interchange. We're working with
other organizations and companies that would be as adversely affected as
our members would be if
HB 1456 by Rep. John Lunsford were to pass. A hearing is tentatively
scheduled for next Thursday. The bill is of significant concern to
state-chartered banks. This bill would essentially void contracts
between banks, credit card issuers, processors and merchants. The bill
would take away significant income from banks that offer credit or debit
cards. The convenience stores and retail merchants associations are
behind the bill.
There are seven legislative days left in this session. Check our State Issues web site frequently for updated information and access to more details about all the bills we're tracking. With questions about any of this legislation or to give feedback, contact GBA's Elizabeth Chandler at 404.420.2027.
Transaction Account Guarantee Program Extension Approval Expected Tuesday
The
FDIC board Tuesday will likely approve an extension of the Transaction
Account Guarantee Program (TAGP) that provides unlimited FDIC guarantee of
deposits in qualified non-interest accounts. The program is scheduled to
end June 30.
We've been supportive of an extension because it will help members
retain important local core deposits from businesses and government
agencies with large-dollar operational accounts.
"Several bankers noted the importance of an extension for the TAGP during
Wednesday's meeting with Chairman Bair, and she said the board is keenly
aware of why an extension would help bolster depositor confidence in
their relationships at this time with community banks as the economy
remains fragile," said Joe Brannen, GBA President and CEO. With questions,
contact
Joe Brannen, 404.420.2027, or
Elizabeth Chandler, 404.420.2027.
Regulatory Reform Bill
Would Curtail FHLB Lending
Among the
many concerns we have with the Senate Regulatory Reform bill is that the
current draft contains a “concentration limit” that could prohibit
Federal Home Loan Bank lending to members in excess of 25 percent of a
Federal Home Loan Bank's capital. This provision, and several other
items related to Federal Home Loan Bank business, could
significantly affect a key funding source for some GBA members. We've
written this week to our Senators to help them understand
these concerns. As we point out in our letter, if passed as currently
drafted, it’s estimated the bill would reduce Federal Home Loan Bank
funding to its member banks by 50 percent. That would mean that more
than $300 billion this year would immediately stop flowing from
credit markets through the Federal Home Loan Banks to communities in
Georgia and throughout the U.S. If you have questions, contact
Joe Brannen, 404.420.2026, or
Elizabeth Chandler, 404.420.2027.
GBA In the News: Promoting Relationship Banking
The
Savannah Morning News this week published an
article encouraging its readers to get more from the relationship
with their bank. The article, in part, stemmed from GBA's release in
March of consumer tips about
"How
to be the Boss of Your Bucks." In conjunction with the article, the
paper hosted a
web chat about the topic, with GBA's Joe Brannen as the
expert on line to help consumers with their bank-related questions. With
questions, contact
David Oliver, 404.420.2036.
Labor Ruling Says
Mortgage Lenders Entitled to Overtime
Here's
an important note from GBA Strategic Partner
Helms & Green,
Employment Law Compliance. On March 24, the United States
Department of Labor issued its first Interpretation of the Fair Labor
Standards Act under the Obama administration. In its interpretation,
the Department of Labor concluded that mortgage lenders are entitled to
overtime compensation, contrary to regulations issued in 2004 and a
number of opinions issued over the years. The
interpretation also has serious implications for consumer lenders,
personal bankers and a host of roles in our community banks. Helms &
Green, Employment Law Compliance has an updated Overtime Exemption Guide
that can help you comply with this ruling and other important overtime
regulations. To purchase a copy, contact
Steve Greene at Helms & Green, 866.801.6302.
Funding and Liquidity
Risk Management Gets Focus
Regulators want to
make sure banks are taking appropriate steps to manage funding and
liquidity risks. This week they issued guidance emphasizing the
importance of cash flow projections, diversified funding sources, stress
testing, a cushion of liquid assets and a formal, well-developed
contingency funding plan as primary tools for measuring and managing
liquidity risk.
The
guidance clarifies the process financial institutions should follow
to appropriately identify, measure, monitor and control funding and
liquidity risk, including effective corporate governance; provides an
overview of appropriate strategies, policies and procedures, which
include risk limits for managing and mitigating risks; and discusses the
management of intra-day liquidity and collateral.
FHLBank
Atlanta Announces Offerings
for Its 2010 Homebuyer Assistance Programs
The Federal
Home Loan Bank
Atlanta announced last week it will make up to $11 million
available as part of its 2010 First-time Homebuyer Program (FHP).
GBA Member banks that are FHLB members can
apply for funds to be used in their own homebuyer assistance programs.
The FHLBank Atlanta will offer the matching funds through its member
financial institutions in the corresponding districts of eligible
first-time homebuyers. The FHP offering
cycle opens April 19 and continues through Dec. 31 or until
all available funds are expended. It was also
announced that FHLBank Atlanta’s 2010 Affordable Housing Program (AHP)
application round will open July 6 and continue until the application
deadline of Aug. 5. Funds are provided to FHLB
member institutions on a first-come, first-served basis, and applicants
must request the funds from a participating member institution.
Read more here…
Declining Loan Delinquencies in Fourth Quarter 2009 Signal Slight
Economic Improvement
Here's some more good economic news.
The ABA reports that consumer loan delinquencies fell in eight of 11
loan categories in the fourth quarter 2009,
indicating a moderate upswing in the economy. Delinquencies declined in six
of eight categories of installment loans, including auto, marine,
personal and property improvement categories. However, home
equity loan delinquencies still rose. In the open-end loan categories
tracked by the ABA, delinquencies on home equity lines of credit and
bank cards declined. ABA Chief Economist James Chessen said “The
fall in consumer delinquencies is a very positive and hopeful sign.
Clearly, consumers are shoring up their finances and banks are putting
losses behind them. Overall, there is a prudent approach to credit.”
Read more here…
Georgia Man Sentenced in
Fraud Case Related to Loans Funded by Failed Bank
Mark
Anthony McBride
of East Point, Ga., was sentenced last week to 16 years and two months
in prison, to be followed by five years of supervised release on charges
of conspiracy to commit bank, mail, wire, and bankruptcy fraud. McBride
was also ordered to pay $2,197,929 in restitution. According to
testimony, dozens of banks and other lenders, including the closed
Omni National Bank, funded fraudulent loans for McBride. McBride
obtained fraudulently inflated mortgage loans, vehicle loans, lines of
credit, credit cards, and other extensions of credit in his name, in his
aliases, in the names of numerous stolen identities, and in the
identities of other unqualified borrowers. McBride is the fourth person
since December 2009 to be prosecuted on charges of criminal activity
that victimized Omni National Bank.
Read more here...
Hot Topic
Webinar!
Getting Ahead of the Headlines:
How to Lead Your Bank through a Tough News Event – April 27
You
know it is coming. Something is likely to make news that will challenge
trust and confidence in your bank. How you plan for the inevitable
headline BEFORE it makes news can make all the difference in the direct
impact the headline has to your business and reputation. The good news
is there are some simple steps you and your team can take to make sure your community knows your full story, ensure your
story is accurate and minimize any negative impact on your business.
Getting Ahead of the Headlines is a how-to session to help you
make a plan, implement it and manage through tough news. David
Rubinger of Rubinger Communications in Atlanta and Walt
Moeling of Bryan Cave Powell Goldstein in Atlanta will be
presenting along with other experts. Sign up now for the hot topic
rate of only $99 for members! With questions, please contact GBA’s
Courtenay Pope at 404.420.2015.
Bank
Analyst Nancy Bush Added to Annual Convention Program
Bankers will get to
hear timely information from well-known bank analyst
Nancy Bush with NAB Research, LLC, Annandale, NJ, as she shares
her insights about where the industry is headed, growth opportunities
and what investors want to know about your bank. "I am a big fan of
Nancy Bush and her writings about the state of our industry,” says Elaine Demarest, President of Demarest Strategy
Group, Hilton Head, NC. “She’s thoughtful, perceptive and grounded,
with a big-picture investment analyst background mellowed by southern
roots. I can’t wait to hear her insights for us at the 2010 GBA
Convention." The
2010 Annual Convention is scheduled for June 13-16 at Charleston
Place in Charleston, SC. GBA has reserved a block of rooms at Charleston
Place at a reduced rate of $299 per night for single or double
occupancy. Make your reservations by calling the hotel directly at
843.724.8410. The cut-off date for reservations is May 21.
With questions about the Convention, please contact GBA’s
Susie McGehee at 404.420.2010.
Leadership Conference Brochures to be Mailed
Brochures announcing Leadership GBA’s Annual
Leadership Conference at Amelia Island Plantation in Amelia
Island, Florida, will be mailed next week. The program contains an
outstanding lineup of speakers, including economist Dr. Donald
Ratajczak and Charles E. “Gus” Whalen, Chairman, Warren
Featherbone Company, Gainesville, a Regulatory Panel and
a Legislative Update. Also, take advantage of the $395 early-bird
registration fee by registering before June 1. With questions about the
Leadership Conference or Leadership GBA, please call GBA’s
Susie McGehee at 404.420.2010 or
Jennifer Stevens at 404.420.2024.
Managing
Workouts to Optimize Portfolio Value - April 22
This
seminar is designed to provide participants with skills to support
early recognition of problems, assessment of client viability,
alternative courses of action for the lender and decision support for
choosing appropriate actions. This one-day course will cover workout
issues and is intended to optimize the resolution of problem loans in
the bank’s commercial portfolio. Participants will learn about handling
individual loans as well as portfolio management. Dr. Ruediger
Mueller CTP, President of Turnaround Consulting & Management
International, Inc. in Suwanee, is the instructor. The seminar is
April 22 at Idle Hour Country Club in Macon. Registration is only $225
for members. With questions or to register, contact GBA’s
Courtenay Pope
at 404.420.2015.
Don’t Miss out on
Legal Issues for
New Account Documentation - April 27
This one-day seminar will teach new
account personnel proper account-opening procedures and compliance
requirements. Designed for new accounts representatives, back-up new
account personnel, certificate-of-deposit staff, bookkeeping and
accountholder service personnel. Topics to be covered include
signature-card contracts, a CIP Compliance overview, TIN compliance,
individual accounts and much more. Patrice M. Konarik of
Sunwest Training Corp. in Kendalia, Texas will be presenting. The
seminar is April 27 in at the Holiday Inn Lanier Centre in
Gainesville and April 28, at Idle Hour Country Club in
Macon. The registration fee is $225. With questions, please contact
GBA’s
Courtenay Pope at 404.420.2015.
A Free
Way to Fight Fraud - Here's a Good Example of How it Works
GBA
member banks can participate in
FinCrime, a free online, searchable database of fraudulent activity.
Just this week, the City of McDonough police department posted
information on the site about a suspected check forger they had arrested
and asked help from bankers and other police jurisdictions in finding
other instances of similar activity. An informant told the police the
alleged perpetrator was cashing 3-4 check a day in banks around the
metro-Atlanta area. Working together, we can help law enforcement build
cases against the fraudsters, so sign up today if you're not already a
member. The
service is free for GBA members. FinCrime provides a
communication vehicle for financial institutions and law enforcement,
functioning as a clearinghouse of information. Participants submit fraud
data into a central depository, which immediately notifies the
participating users by e-mail. This early awareness allows you to take
action to prevent fraud losses in your bank. The shared database
provides opportunities to build larger “multi-bank” cases out of smaller
individual losses, helping financial institutions and law enforcement
focus on repeat offenders and organized crime. Through this effort, we
hope to reduce losses for GBA members. With questions, contact GBA's
Kenyetta Parks
at 404.420.2035.
Maximize Marketing Dollars and
Build a Sustainable Brand
Financial
Marketing Solutions
(FMS), a Strategic Partner of the GBA, is a niche branding and marketing
agency solely serving the financial services industry. Encouraging
clients to tap into the power of “brand” in a fresh new way, FMS
empowers banks across the country to take their marketing to the next
level—maximizing marketing dollars and delivering measurable results to
the bank’s bottom line through traditional mediums as well as online
channels such as e-mail marketing, social media marketing, blogs, online
display advertising, search engine optimization, search engine marketing
and mobile marketing. Through a strategic discovery process, FMS
partners with your bank to narrow corporate initiatives into real and
attainable goals, uncover and enhance your brand, create an identifiable
image, and develop customized and trackable marketing solutions that
integrate seamlessly across all channels and throughout all locations.
For more information, please contact
Sean Hockenbery or
Tim Pannell with FMS at 615.591.2073, or GBA’s
Levi Crabtree at 404.420.2022.
Attract and Retain Customers with
the Deluxe Experience
Deluxe
Financial Services
works closely with financial institutions to develop unique experiences
that attract and retain customers and grow business. As one of the top
check producers in North America, Deluxe combines its history of strong
brands and financial institution relationships with its insights into
small business. More than just a check printer, Deluxe offers programs
that can add to your bank's profitability and maximize customer
satisfaction:
-
DeluxeCalling®: An outbound calling service that helps you connect with customers, grow revenue, and reduce attrition through proactive touchpoints.
-
Deluxe Detect®: Screen new applicants with this comprehensive fraud and risk screening solution that integrates with most banking platforms. A unique emphasis on data integrity and an innovative revenue-sharing model sets this solution apart.
-
Deluxe ProventSM - Identity Theft protection: Often positioned as a popular value-add reward for an existing check program, or a feature of an elite checking program. In the event of a data breach, it’s a powerful turnkey solution.
-
Welcome Home® Tool Kit: A start-to-finish branch solution that captures best practices for gaining loyal customers.
-
Experience InquirySM: Proprietary CustomerBackSM Audit technology lets you analyze every customer impression from the customer’s point of view.
-
Deluxe Knowledge ExchangeTM Series: An exclusive suite of resources, events, and solutions that bring the best financial services information and events to you. Publications, workshops, seminars, and our powerful Collaborative give you access to the latest consumer experience insights.
-
Deluxe Customer Care AdventureSM: See, hear, and learn how our Customer Care Centers deliver exceptional experiences — then apply what you learn in your own organization. Depending on your needs, you can visit us or we’ll visit you.
-
Deluxe Experience Enrichment EventsSM: Learn how to improve your account holder’s experiences within your institution by attending one of our enrichment events.
Deluxe Financial Services works closely with financial institutions to develop unique experiences that attract and retain customers and grow business. For more information, please call Deluxe’s Bob Hicks at 317.873.5572, Brandt Tefft at 800.332.4234 ext. 159340, Angelia Grey, or GBA’s Levi Crabtree at 404.420.2022.
Find a Job, Post a Job
with GBA Job Bank
The
Georgia Bankers Association offers free job posting resources for our
member banks. These listings can be viewed
online or through our bi-weekly publication included in the GBA
Bulletin.
Resume postings
are also available. For more information, please call
Kenyetta Parks at 404.420.2035.
Read All About It --
Send Us Your News
Please remember to include the Georgia Bankers Association on the list
of recipients for announcements about promotions, new employees and
special recognition your bank has received. We want to share your news
with your colleagues across the state. Please forward your announcements
and photos to GBA's
Lydia Thomas.
Newsmakers
Alpharetta - Bank of North Georgia
Tim Roche has been promoted to Vice President.
Atlanta - The Bankers Bank
Our sympathy to the family, friends and colleagues of former President
Bruce Leonard on his recent death.
Carrollton - Community & Southern Bank
The bank announces that Rocky Lipham will serve as President of
it's West Georgia Region and Keith Caudell as President of its
North Georgia Region.
Lincolnton - Farmers State Bank
Our sympathy to the family, friends and colleagues of former President
and CEO
George C. Leverett, III on his recent death.
Savannah - The Coastal Bank
Kelley Remler has joined the bank as Mortgage Loan Originator.
Thomasville - Farmers & Merchants Bank
John A. Everett has joined the bank as City Executive of the
Thomasville area market. After the transition, Ervin Brock will
transfer to the Vineyards office in Tallahassee, FL, market.
 Roche |
 Lipham |
 Caudell |
 Leverett |
 Remler |
 Everett |
 Brock |
|
50 Hurt Plaza, Suite 1050 | Atlanta, Georgia 30303 | 404.522.1501 |