Navigating the Real Estate Valuation Process Effective real estate collateral valuation policies and practices are a critical component of a real estate lending program and help minimize losses when collateral becomes the primary repayment source. To clarify supervisory expectations for prudent real estate appraisals and evaluations, the federal financial institution regulatory agencies issued the Interagency Appraisal and Evaluation Guidelines (Guidelines) in December 2010. This article highlights certain aspects of the Guidelines and provides information for bankers regarding sound practices for banks’ real estate valuation processes in the areas of valuation review, independence, content standards, preparer selection, and monitoring.
Mobile Banking: Rewards and Risks Mobile banking is a relatively new banking service that is rapidly gaining popularity with consumers and businesses. However, as is the case with any new service, mobile banking presents unique risks. This article discusses the technologies used to deliver mobile banking services, identifies the risks to financial institutions and consumers, and describes strategies for mitigating these risks.