Explore Crisil, a company of S&P Global

Formerly known as Global Research & Risk Solutions

  • Crisil Integral IQ
  • Banking
  • Commercial And Industrial Loans
  • Commercial Real Estate Loans
  • Credit Monitoring
  • Small Business Administration Loans
  • US Community Banks
August 29, 2025 Content Type Case study

Added 30% efficiency to credit review process of a US community bank, reduced regulatory backlog

August 29, 2025 Content Type Case study

Background/ Objective

  1. A US-based community bank that caters to entities in the New York metropolitan area and has an asset base of mostly commercial real estate (CRE) and commercial and industrial (C&I) loans faced challenges in its credit risk review process:
  • Annual reviews were pending in many high-risk loans, posing asset-quality and regulatory risks  
  • There was a need to standardize templates for financial spreadsheets and credit reports
  • While the need for analytically rigorous coverage was increasing, the turnaround time could not be compromised
  1. Our ability to provide quick and comprehensive credit analysis enabled the client to take crucial decisions on time and fulfil the regulatory requirements around credit reviews
  2. Within six months of the association, the bank asked us to double the size of the team
  3. The key objective of the engagement was to support the credit risk review process through activities such as financial spreading and report writing, managing urgent requests and monitoring risk in the portfolio of CRE and C&I loans

 

CRE and C&I loans

 

 

Solutions

We provided a customized solution for comprehensive credit risk review:

 

  • We deployed a dedicated team with extensive experience and deep understanding of the institutional framework across banks, and strong domain expertise in relatively niche asset classes such as CRE and C&I loans. Given the inherent riskiness of these asset classes and the time-sensitive nature of annual credit reviews, not to mention the pressure from regulators, the client expected us to bring a high level of analytical rigor to the table without compromising on the need for quick turnaround
  • The team started by standardizing the financial spreading and credit report templates. The step was essential to bring uniformity across the analysis of various loans and sharpen analytical focus on credit areas that materially differentiated one entity’s creditworthiness from the other. Such standardization of templates at the onset laid a strong foundation for efficient and effective categorization of loans in various rating categories. This helped the team find a balance between quality and quantity

 

We provided a customized solution for comprehensive credit risk review:

  • We delivered short notes covering developments such as change-in-terms or any other material changes in the creditworthiness of the borrower and this supported workout planning for riskier loans

Impact

Our services helped the client undertake timely and comprehensive credit risk assessments, which are crucial for riskier asset classes such as CRE and C&I, and meet the regulatory demand for periodic credit assessments. 

 

The engagement led to a 30% improvement in efficiency in the form of a reduction in costs and freeing up of bandwidth for the bank’s credit team. 

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