A few months ago, one of the community banks we work with was close to its legal lending limit. The bank needed help participating an existing loan in order to help a customer with a new request.
Those are the kinds of situations where we love to help. Unfortunately, the banker didn’t call us because he thought the participation would be too small. We understand that sometimes you don’t need a lot of help. Sometimes even a $50,000 participation will help you free up enough room so you don’t hit your legal lending limits. We’re able to provide the participation or liquidity help you need to give you some added security.
No Deal is Too Small
No deal is too small for us to consider. Many times, the deals banks need help participating are $100,000 or less. We are absolutely interested in looking at all types and sizes of deals.
We can also help with larger deals on our own without needing to find other participants. Our goal is to take all of a deal offered to us. We have general hold limits determined by risk rating and type of loan, but we try to meet the needs of your request. We do not sub-sell loans in which we participate; if we buy a $10 million loan participation, we hold it all on our books, so we do not share your bank or customer information with other banks.
When in doubt, give us a call. Our goal is to help you in any way we can, whether through loan participations or bank stock, bank investor, bank building or bank ownership loans. We can also serve as a resource if you need some advice on a loan you’re trying to structure.
By working with Bell on a loan participation, we can help you keep your customers. If your customers can’t get the loan from you, they’ll likely find another bank to work with. Bell is a community bank, and we want to help other community banks remain community banks.
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