We are actually in the process of having an OCC exam at the time of this writing. Our earnings and liquidity are better than they were last year which was a record year. We are in the fourth week of the week (longest I have ever had was 3) and they have 11 examiners on site. Our LPM did not show up on site until Monday of this week. It's been a process that has been very frustrating.
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Original Message:
Sent: 7/11/2023 10:35:00 AM
From: Rob Blackwell
Subject: Tuesday Topic: The Wooing of Retired Bank Examiners
The OCC is aiming to recruit examiners out of retirement as regulators anticipate "more activity in the sector," the WSJ reported last week. Staffing shortfalls are hurting all three banking regulators and likely contributed to the regional bank failures in March, according to investigations into those collapses. Given the approximately $3 trillion of commercial real estate debt held by banks (mostly community and regional banks), the OCC is prioritizing examiners with real estate experience. Meanwhile, many institutions continue to grapple with declining deposit balances, large unrealized losses, and quantitative tightening
Is the OCC right to be worried? Or is it not concerned enough?
What are you seeing in your markets? How are things shaping up on the loan side for the second half?
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Rob Blackwell
Chief Content Officer and Head of External Affairs
IntraFi
Arlington, VA
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