Specifically, beginning with data for February 2010 and later, the concern is that we will begin to observe a spike in delinquencies - first in the form of «30 - day delinquencies» and gradually in either large increases
in loan loss provisions or in the actual onset of foreclosures.
Not exact matches
The firm's mortgage investment corporation has about 2,400 such
loans in its portfolio, with an average size of $ 85,000, and says it maintained a $ 4.3 - million
loan loss provision on a $ 214 - million portfolio last year.
«If there are any negative effects of low rates on net interest income
in the future, they should be largely offset by the positive effects of monetary stimulus on the other main components of profitability, such as the quality of
loans and therefore on
loan -
loss provisions,» Draghi added.
It should be noted that a big part of the increase
in Synovus is due to its shrinking
provision for
loan losses (what it expects to lose on the
loans it makes); however, the bank did see its expenses fall by $ 50 million over the first nine months of the year and,
in 2012, it actually realized a benefit of $ 2 million from taxes versus an expense of $ 72 million
in 2013.
The bank was able to lower its
loan loss provision by 88 % year over year, indicating that management has engineered a dramatic improvement
in its problem
loan portfolio.
The bank is
in workout mode, cutting costs, making heavy
provisions for bad
loans and trading
losses, and, most recently, announcing a 15 % reduction
in staff levels.
Before
loan losses and
provisions, NLB increased its operating profits to $ 318 million, which is $ 130 million more than
in 2011.
The book reveals how commercial banks that ostensibly lost money on bad
loans to Third World governments
in reality lost very little because, since 1982, Northern taxpayers have contributed between $ 44 and $ 50 billion
in tax relief on bank
provisions and «
losses».
The
provision for
loan losses was peanuts
in» 87, and they actually wrote some
loans back up (a negative
provision)
in» 88.
Keep
in mind that the 3 - 4 % return is guaranteed against
loss, has tax benefits,
loan provisions, estate benefits, and income protection.
As a result, its
loan -
loss provisions in the quarter ended July 31, 2015, rose 23.1 %, to $ 160 million from $ 130 million a year earlier.
This may lead to increases
in charge - off rates from these historically low levels, but issuers will feel that the resulting growth
in noninterest and net interest income will more than offset any rises
in provisions for
loan losses and noninterest expenses, such as marketing costs.
another cool billion expensed
in H1 - 2013 on
loan losses /
provisions & exceptionals) still equates to a sub-5 % return on equity.
The increase
in the
provision for
loan losses was 1.8 %, while actual
loan losses were significantly higher.
Loan loss provision % has dropped to 58 %
in Dec 2013.
Apollo Commercial Real Estate Finance Inc., managed by an indirect subsidiary of Apollo Global Management LLC, last quarter recorded a $ 15 million
loan -
loss provision tied to a mortgage on apartments, rental homes and land
in Williston, North Dakota, the epicenter of Bakken shale drilling.