FDIC ASSET LOSS SHARE MANAGEMENT
At Dittrich and Associates, we offer our clients unsurpassed experience and expertise in the management of FDIC Loss Share Agreements.
Loss-Share Agreements, first introduced by the FDIC into selected purchase and assumption transactions in 1991, have become a standard tool of the FDIC for moving failed bank assets into the private sector. In 2010, more than 75% of failed bank resolutions involved an FDIC Loss-Share Agreement. In 2011, it is expected that this percentage will increase to as high as 90% or greater.
These loss-share transactions provide qualified financial institutions an economically attractive opportunity for lower risk strategic growth; however, they are also very complex and require proper management, in order to recognize and maximize the available benefits.
Dittrich and Associates has compiled a team of banking industry experts to assist our clients in effectively and efficiently structuring and managing these loss-share transaction complexities. Our consultants are former bankers who have extensive experience in working with regulators in both RTC and current resolution environments. Their knowledge of regulatory requirements enables the acquiring bank to address loan management and certificate reporting in a highly efficient manner while the bank builds its own internal expertise.
We are proud of the fact that our niche is in helping the bank implement Loss Share requirements and training them to manage this function over the longer term. In so doing, we assist our clients in identifying and addressing the following seven essential components to loss-share management:
- Discovery Phase
- Policies and Procedures Development and Implementation
- Portfolio Management
- Documentation and Recording Compliance
- FDIC Reports Certification
- Assuming Bank Staff Training and Assumption of Loss Share Management
- Loss Share Audit both Internal and External
We invite you to consider all that Dittrich and Associates has to offer, as you evaluate your current and future loss-share needs.