Curriculum | Commercial Lending School - Advanced

8:00 AM – 10:00 AM

Credit risk management: Tools and techniques

Credit risk management is key to a bank making profitable and prudent loans, which in turn is driven by the bank’s credit culture. Banks with value-driven credit cultures enjoy good asset quality and higher-than-average shareholder value, so a strong credit culture pays for itself. This course explains how to implement, achieve and maintain a values-driven credit culture in practical, logical steps and employing pragmatic tools and techniques.

• Martin “Dev” Strischek, Principal, Devon Risk Advisory Group, LLC

10:00 AM – 10:15 AM

Break

10:15 AM – 12:00 PM

Credit risk management case studies

Case study requires students to apply the techniques and tools learned in the credit risk management course to solve the credit risk problems found in the case study’s bank.

• Martin “Dev” Strischek, Principal, Devon Risk Advisory Group, LLC

12:00 PM – 1:00 PM

Lunch

1:00 PM – 2:00 PM

CRE risk management

Commercial real estate (CRE) loans continue to be a significant segment of bank loan portfolios. This course examines the components of an effective risk management system for CRE loans. This includes identifying and dealing with CRE loan accommodations and workouts, CRE concentrations, strategies for developing industry data and references, plus following the various regulations for appraisals (covered more extensively in a separate class) and environmental due diligence. Prior to class, participants are encouraged to download (from www.occ.gov) and review the Version 2.0, March 2022, Office of the Comptroller of the Currency (OCC) Commercial Real Estate Lending Handbook.

• Richard Hamm, Owner, Advantage Consulting & Training

2:00 PM – 2:15 PM

Break

2:15 PM – 3:15 PM

CRE risk management

Commercial real estate (CRE) loans continue to be a significant segment of bank loan portfolios. This course examines the components of an effective risk management system for CRE loans. This includes identifying and dealing with CRE loan accommodations and workouts, CRE concentrations, strategies for developing industry data and references, plus following the various regulations for appraisals (covered more extensively in a separate class) and environmental due diligence. Prior to class, participants are encouraged to download (from www.occ.gov) and review the Version 2.0, March 2022, Office of the Comptroller of the Currency (OCC) Commercial Real Estate Lending Handbook.

• Richard Hamm, Owner, Advantage Consulting & Training

3:15 PM – 3:30 PM

Break

3:30 PM – 4:45 PM

Strategic loan pricing

With intense competition to capture and keep loans, it is important to have a strategic approach to loan pricing — more than simply matching the competition. This includes adequately covering your bank’s costs and meeting profit objectives. It also includes differentiating loan interest rates to reflect relative risk, plus knowing that you CAN win the borrower’s business on a basis other than the lowest price.

This session covers two “big issues” that influence pricing: (1) understanding your bank’s financial structure, especially its loan-to-deposit situation, and (2) recognizing how these financial positions drive loan profitability and competitive advantages/disadvantages. Often a competitor will offer a price that looks “stupid” but actually is helping to improve the competitor’s financial performance. Applying this knowledge includes scouting your competition and its financial structure, then developing your bank’s competitive advantages/disadvantages based on financial structure.

Along the way, we will demonstrate how to measure loan profitability and calculate the required rate on a loan, with time to discuss various models being used in your banks. We’ll discuss getting premiums for taking risk and for adding value to the customer relationship, and ways to compete with a lower rate for larger loans that better cover overhead or when you are able to mitigate risk better than your competitor can.

• Richard Hamm, Owner, Advantage Consulting & Training

8:15 AM – 9:45 AM

Portfolio stress testing

Strongly encouraged by bank regulators, stress testing is a forward-looking quantitative assessment of potential economic events that could adversely impact the quality of the loan portfolio, earnings performance and capital adequacy. Stress testing involves the development of “what if” scenarios for the loan portfolio from a transactional level (bottom-up approach), portfolio level (top-down approach) or both. Originally based on the December 2006 joint guidance entitled Concentrations in Commercial Real Estate Lending, Sound Risk Management Practices, stress testing has evolved into an integral part of a bank’s credit risk management framework.

• Rob Newberry, Senior Advisor, Abrigo

9:45 AM – 10:00 AM

Break

10:00 AM – 12:00 PM

Problem loan management

This session focuses on how to avoid problem loans, recognize early warning signals and their causes, and the major factors to consider in managing problem loans. Case studies are utilized to assist participants in identifying these issues and managing a troubled asset.

• Kevin Nickodem, Retired – Senior Facilitator, Kevin J. Nickodem

12:00 PM – 1:00 PM

Lunch

1:00 PM – 3:00 PM

Avoiding lender liability issues

Consumer-based lender liability claims against banks are becoming more common again. In this course, lenders will learn to think like a lawyer to identify potential red flags that could lead to a lender liability lawsuit. Topics include the legal pitfalls of accepting late payments after repeated defaults, continuing to lend to an insolvent borrower, making verbal promises that borrowers rely upon, and exercising excessive control over a borrower’s business. Participants will also learn effective defenses to avoid and defeat these claims based on current case law and legislation.

• Tricia DeLeon, Litigation Partner, Holland & Knight LLP

3:00 PM – 3:15 PM

Break

3:15 PM – 5:00 PM

The relationship building competency

The ability to build strong relationships — and do so quickly — may be the closest thing to a silver bullet in sales when paired with other essential selling skills. In this course, participants gain a clear understanding of core relationship-building attributes and how they directly impact prospecting, qualifying, relationship management and overall sales performance.

10:00 AM – 11:45 AM

Commercial real estate construction lending

Commercial real estate construction lending, whether for owner-occupied or income-producing properties, is a significant and lucrative segment of the loan portfolio for most commercial banks, regardless of asset size. Unlike other commercial and consumer loan types where loan proceeds are secured from day one by an existing asset, construction loans are unique as the collateral and its value are created by the disbursement of loan proceeds over time. Only when the project is complete is the value of the collateral realized, either in the form of a project that can be occupied and deployed by an owner, or in the form of income-producing property available for lease to third-party tenants in the market. This course navigates the entire process from front-end due diligence and loan documentation to best practices for the administration of the disbursement of loan proceeds.

• Joseph Javitz, Executive Vice President, Chief Credit Officer, ConnectOne Bank

12:00 PM – 1:00 PM

Lunch

1:00 PM – 2:00 PM

A conversation with federal regulators – Emerging issues for lending portfolios

The session is a panel discussion with representatives of the Federal Reserve, the FDIC and OCC. Each panelist has a strong credit background, knowledge in regulatory lending emerging issues, and current or recent bank examination experience. Discussion will include:

1. Broad overview of hot topics in lending regulations
2. How to better prepare for your safety and soundness exam
3. Common findings of what may be lacking in the credit files
4. Exam protocols or best practices to make an exam go smoothly
5. Insights on best practices for forbearance and post-forbearance solutions
6. Pandemic recovery – insights on when to upgrade credits
7. What examiners are focusing on in 2026

• Lorenzo Garza, Vice President of Banking Supervision, Federal Reserve Bank of Dallas
• Joseph Hoge, Bank Examiner, Office of the Comptroller of the Currency
• Kevin Cole, Senior Examination Specialist, FDIC – Atlanta Regional Office
• Moderator: David Rodarte, AVP, Credit Analyst Assistant Manager, Austin Bank

2:00 PM – 2:15 PM

Break

2:15 PM – 3:45 PM

Electives

Navigating commercial real estate lending

This elective course is designed for professionals in the commercial lending industry who want to deepen their understanding of current trends and best practices in commercial real estate (CRE) lending. The course will cover hot topics in the market, key appraisal considerations and the intricacies of perfecting liens. Through an interactive Q&A format, participants will have the opportunity to engage with industry experts and network with peers, fostering a collaborative learning environment.

Deep dive into C&I lending

This elective applies key Commercial & Industrial (C&I) lending concepts through real-world business cases in small group settings. Students focus on identifying cash flow and liquidity challenges to enhance their credit analysis and deliver greater value to clients. The course also covers working capital analysis to assess funding needs, the application of UCA cash flow methods for loan evaluations, and the principles of source and use of funds. Participants will gain access to resources, including a cash flow early warning checklist, a 5-minute cash flow statement analysis, and an Excel template for evaluating the monetary implications of inefficiencies in the cash conversion cycle.

Profitability: Banks financial analysis and asset/liability management

Understanding the components of a balance sheet, and how they drive the income statement, is critical to understanding how commercial lending affects bank performance. Management reporting, including Asset-Liability Management (ALCO) and profitability reporting, are used internally to manage risks, measure progress and drive decision-making. In this course, learn to identify profit drivers that result in positive financial performance and how to develop a strategy that focuses on strategic objectives that drive long-term success.

Small business administration lender training: Marketing, loan origination and post-closing

The session is designed for financial institutions with an interest in becoming a Small Business Administration (SBA) lender or increasing SBA lending activity. Participants will gain in-depth knowledge of SBA 7(a) effective marketing strategies, loan origination best practices, loan modifications pre-closing and essential post-closing procedures to ensure compliance and maximize loan performance. Bonus: Highlights on SBA 504 lending program and parameters. How to leverage a 504 and 7(a) loan for a project.

3:45 PM – 4:00 PM

Break

4:00 PM – 5:30 PM

Electives

Navigating commercial real estate lending

This elective course is designed for professionals in the commercial lending industry who want to deepen their understanding of current trends and best practices in commercial real estate (CRE) lending. The course will cover hot topics in the market, key appraisal considerations and the intricacies of perfecting liens. Through an interactive Q&A format, participants will have the opportunity to engage with industry experts and network with peers, fostering a collaborative learning environment.

Deep dive into C&I lending

This elective applies key Commercial & Industrial (C&I) lending concepts through real-world business cases in small group settings. Students focus on identifying cash flow and liquidity challenges to enhance their credit analysis and deliver greater value to clients. The course also covers working capital analysis to assess funding needs, the application of UCA cash flow methods for loan evaluations, and the principles of source and use of funds. Participants will gain access to resources, including a cash flow early warning checklist, a 5-minute cash flow statement analysis, and an Excel template for evaluating the monetary implications of inefficiencies in the cash conversion cycle.

Profitability: Banks financial analysis and asset/liability management

Understanding the components of a balance sheet, and how they drive the income statement, is critical to understanding how commercial lending affects bank performance. Management reporting, including Asset-Liability Management (ALCO) and profitability reporting, are used internally to manage risks, measure progress and drive decision-making. In this course, learn to identify profit drivers that result in positive financial performance and how to develop a strategy that focuses on strategic objectives that drive long-term success.

Current industry updates

This dynamic panel discussion brings together leading experts to explore the evolving landscape of the commercial lending industry. The conversation will highlight major trends shaping today’s market — from shifting regulatory expectations to the transformative impact of emerging technologies. The panel will also examine the broader compliance environment, including new data collection standards and fair lending considerations influencing institutions of all sizes. In addition, participants will hear insights on modern strategies for underwriting, structuring and managing participation loans, with a focus on improving efficiency, mitigating risk, and enhancing overall portfolio performance.

An intermediate guide to hotel underwriting and financing

This session features a robust primer on hotel underwriting, providing the tools and techniques to identify and understand hotel loans’ credit risks. Students will learn best practices for documenting loans, including key information from the franchisor, franchisee and borrower. The session will equip attendees to engage in high-level discussions, structure loan requests, and bridge the gap between initial conversations and detailed underwriting.

6:30 PM – 8:30 PM

Tacos and karaoke

8:00 AM – 9:45 AM

Strategic commercial lending: Integrating deposits for growth and profitability

This course explores the evolving role of commercial lenders in driving both loan and deposit growth as part of a bank’s overall portfolio strategy. Beginning with the perspective of senior leadership, participants will learn why deposits are critical to financial strength and how they complement lending activities. Through a mix of strategic insights and practical tools, the course empowers lenders to understand the deposit side of the balance sheet, identify profitable products, and embed value-added services into client relationships. Attendees will leave with actionable strategies to coach teams, engage clients in informed conversations, and build deeper, more profitable relationships.

• Ben Crowley, Managing Director, Wolf & Company, P.C.

9:45 AM – 10:00 AM

Break

10:00 AM – 11:45 AM

Appraisals and evaluations

This course is designed to promote participants’ understanding of commercial real estate valuations. It focuses on regulatory requirements and expectations for real estate loan policies; appraiser independence; appraisals and evaluations; reviews; re-appraising and re-evaluating property; value conclusions; loan modifications; third-party service providers; and referrals. Instruction is facilitation-based, and participants will work through case study scenarios to propose solutions based on given circumstances.

• Beverlea “Suzy” Gardner, Senior Examination Specialist (Retired), FDIC

11:45 AM – 12:30 PM

Lunch

12:30 PM – 2:30 PM

CRE valuation management

This course promotes participants’ understanding of the scope of commercial real estate lending activities and valuation-related issues, with an emphasis on a commonsense approach to determining whether an appraisal provides a credible value conclusion. Instruction is facilitation-based, supported by background materials on various CRE valuation topics. Participants will review case study scenarios and offer solutions or recommendations.

• Beverlea “Suzy” Gardner, Senior Examination Specialist (Retired), FDIC

2:30 PM – 2:45 PM

Break

2:45 PM – 5:00 PM

Developing leadership practices I

This course focuses on developing leadership skills through the Situational Leadership Framework, guiding participants in adapting their leadership style to different contexts. Integrating key concepts from Transformational, Transactional, Servant and Authentic Leadership theories, participants will learn to identify situational variables and apply the most effective leadership behaviors to individual and team settings.

8:00 AM – 10:00 AM

Fraud: Methods, detection and prevention

This course covers the different types of financial crime and fraud schemes typically encountered by financial institutions, particularly those involving lending products. The instructor will discuss applicable criminal statutes and use case studies to illustrate common fact patterns seen in fraud schemes. The session also addresses red flags specific to lending-related fraud, helping participants identify and report activity that must be escalated to a financial institution’s financial crime, security or BSA departments. Material includes schemes involving bank insiders, with a focus on recognizing potential collusion between bank clients and lenders.

• James Hitchcock, Vice President, Fraud Mitigation, American Bankers Association

10:00 AM – 10:15 AM

Break

10:15 AM – 11:15 AM

Developing leadership practices II

This course focuses on developing leadership skills through the Situational Leadership Framework, guiding participants in adapting their leadership style to different contexts. Integrating key concepts from Transformational, Transactional, Servant and Authentic Leadership theories, participants will learn to identify situational variables and apply the most effective leadership behaviors to individual and team settings.

11:15 AM – 12:00 PM

Developing an implementation plan

• C. Sandro Tonini, Chief Revenue Officer, Vice President – Lending, WESST

12:00 PM

School concludes

Please do not make travel plans to depart before the session ends at 12:00 PM. If you elect to depart early, a Program Certificate cannot be granted.