October 2014

Do You Have Bank Customer Baldness?

Bank Customer Management

About 70% of all men have worried about genetically programmed hair loss since the days of Julius Caesar (who incidentally had a serious comb over).  As a man ages, somewhere around his early twenties, hair loss takes place and no amount of Rogain, head massages, Cayenne pepper rub or goose dropping treatment can replace it.  Similar to Male Pattern Baldness, some banks are genetically programmed to lose younger customers. They start to lose them around the edges, in the middle and then the most profitable on top.

Pricing Loans In Relationship To Your Bank's Cost of Funds

Cost of Funds

Banking is competitive. Luckily, community banks have a number of competitive advantages over national banks. However, if you ask the average banker, it doesn’t feel that way, particularly when it comes to loan pricing and community banks are forced to compete against 10-year, 3.90% fixed rate loans. Then again, many community bankers state that they cannot compete against the national banks because of higher cost of funding.

True Banker Grit: How To Get It If You Don't Have It

Human capital

Here at CenterState Bank we have some of the grittiest bankers around. Of course, every bank has them and chances are if you are reading this there is a high probability that you are one as well. Why else would you be clicking on this when you have all that work to do? The answer is likely dedication to the journey of banking and the need to learn from our and other’s triumphs and failures.

This Might Be A Way to Get Cash to Your Customers When They Want It

Human ATM - Cash Delivery ATM

Sometimes the future isn’t that clear, and this one has us perplexed. We are not sure this is a step forward or backwards in technology, but we find it interesting. Nimbl, a San Francisco start-up now has an app available where you can request cash and a certified runner brings it to you. For those that have converted to Apple Pay this week (along with the other 8 million people), the app solves the problem of how to get cash easily in an increasingly cashless society.


Risk or Warning – What Bankers Are Thinking After Yesterday’s Signal

Bank Risk

Back in October and November of 2007, yields dropped 20+ basis points and credit spreads increased by more than 10%. It ended up be a signal as the next month the US found itself in a recession. Yesterday we saw similar movements in the markets, as at one point the 10Y Treasury had moved more on a percentage basis than it had when the Lehman Brother’s collapse was made public and when 9/11 occurred. While both equities and bonds underwent some reversion by day’s end, there is a clear signal being sent that bankers can ignore at their own peril.