PrecisionLender is designed to empower lenders to easily and quickly price Opportunities to find a deal structure that works for both the borrower and the bank. Pricing a new commercial loan is simple and easy. In the application, you will price all new business within an Opportunity. To create a new Opportunity, just click the New Opportunity button in the upper left hand corner. The New Opportunity will provide a list of possible Commercial Loan Products around which you can create a new pricing Opportunity. This list is completely customizable and should represent the types of Commercial Loans that you typically price at your institution. To begin pricing a loan, just select the applicable Commercial Loan Product name from the list.
If you need to price more than one loan facility within this one pricing Opportunity, you can easily add loans to the Opportunity later. For now, just select the main loan facility for this Opportunity. For example, if you are pricing a $1MM Commercial Real Estate loan along with a $150K Operating Line of Credit, you should just choose the Commercial Real Estate product and then add the smaller Operating Line of Credit once the Opportunity is open. If you are pricing an Opportunity without any loan facilities, you can choose Deposit/Other and this will create an Opportunity without any Commercial Loan Product.
When you open the New Opportunity Screen, PrecisionLender will automatically populate the fields with that Product's default settings for your institution. You can edit these fields if desired. Input the borrower's name and the amount of the loan.
Next, set the interest rate for this Opportunity by clicking in the Initial Rate field, and typing in the desired rate. Andi will calculate what interest rate you need to reach your target and her suggestions will be indicated by colored bars. She also shows you what your borrower's payment will be at the current interest rate.
As you change the opportunity, the tabs at the bottom indicate how your Opportunity as it stands now compare to your target. The tab on the left shows your profitability for this loan, and the tab on the right shows your profitability for this entire Opportunity. In this example, my Opportunity consists of only one loan, so the left and right tabs are the same.
From here, you can continue to customize the Opportunity until you and the borrower are happy with the terms. You can also add additional Commercial Loan Products, Deposit Products, or Other Products. Make sure to click "Save" at the top when you are done.
For more information on pricing Opportunities, please visit our support article The Opportunity Screen.