September 23, 2020
By: Caity Roach
Contributing Editor, C-Suite Wednesday
C-Suite Wednesday — Over 70% of Lenders Expect their Compensation to Remain the Same in FY 2021
According to the latest polls conducted during the Coleman Report Live daily show, 71% of SBA lenders say that they anticipate lender compensation in FY 2021 will remain the same as FY 2020. However, the remaining 29% of SBA lenders are split evenly, with half of the poll respondents believing SBA lender compensation will go up in the coming year and half believing it will go down.
Here are some of the other industry trends from this week’s polls:
- Over half (54%) of the SBA lenders polled say that their institution has recently increased cybersecurity protocols.
- Only 10% of lending institutions say that they are outsourcing their PPP loans.
- 87% of SBA lenders say they retain the first lien position on 504 loans and 6% sell it.
- 3 out of 5 lenders attended a virtual lending conference this year and 65% say that they plan to attend another virtual event before the end of the year.
- 4 out of 5 lenders say that their institution is not planning on participating in the Main Street Lending Program.
- The majority (57%) of lenders say the fees to manage the estimated costs of the 7(a) program are fair. However, 33% say the fees are too high.
- Although the number one reason for an incomplete credit memo is failing to address life insurance, 74% of lenders say that failing to document credit elsewhere in general remains a large problem for the industry.
- 46% of lenders say that the House Problem Solvers Caucus will not be able to pass a coronavirus relief bill before the November election and 2 out of 5 lenders say that the $290 billion from the Caucus’ COVID Relief Framework will not be enough to save Mainstreet.
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