Sound danger handling of loan purchase activities generally includes

Sound danger handling of loan purchase activities generally includes

Ceos of all of the National Banks, Federal Savings Associations, and Federal Branches and Agencies; Department and Division minds; All Examining Personnel; and Other Interested events


Any office of the Comptroller regarding the Currency (OCC) today issued this bulletin to share with banking institutions 1 of sound danger administration axioms loan that is regarding tasks. 2 Commercial and retail loan purchase tasks include purchasing whole loans, loan swimming swimming pools, loan portfolios, loan participations, or participations in syndicated loans from other banking institutions or nonbank loan providers. 3 Lending activities, including loan purchase tasks, are at the mercy of particular regulatory requirements and long-standing danger administration tips. The OCC expects banking institutions to take part in loan purchase tasks in a secure and sound way and in conformity with relevant accounting criteria, regulations, and laws. Loan purchase activities should align with banks’ strategic plans and become supported by sound danger administration systems. 4


A bank’s loan purchase tasks should be managed regularly having its other financing tasks, that is, with sound risk management commensurate with all the bank’s size, complexity, and risk profile. This bulletin covers the after topics regarding a bank’s loan purchase tasks: