Mary, are you referring to consumer loans or all loans? What regulation are they citing? Are they concerned about disparate treatment with the requirement possibly not being applied consistently? Are you seeking to have this be a policy or a best practice that you strive for? Is your concept to primarily enhance your credit underwriting or profitability? Have you considered using pricing incentives rather than a policy requirement where the interest rate reflects the presence of an active deposit account?
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Neil Stanley
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Original Message:
Sent: 02-22-2023 09:39
From: Mary Fowler
Subject: Lending - requiring a deposit relationship?
Our compliance people are telling us that we can't require that a customer have a deposit relationship with us before we make them a loan. Does this sound correct?
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Mary Fowler
Chief Executive Officer
The Peoples Bank
Magnolia, AR
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