Independent Banker - November 2020 - 74

Innovative
Insights
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Low lending margins, paired with a
surplus of cash, have driven many
banks to seek out new income
opportunities or diversification of
their portfolio to drive their bottom
line. One way to overcome this-and
achieve revenue goals for the year-is
to form strategic relationships with credible partners in
the industry.
One well established alternative lender, Bankers
Healthcare Group (BHG), sets itself apart from fintechs
by carving its own niche as a financial quantitative
service company, or FinQuant for short. BHG has been
originating and selling loans to community banks for
nearly two decades, targeting high-earning, licensed
healthcare practitioners and highly-skilled professionals
throughout the United States.
BHG has built proprietary quantitative analysis models
that leverage 19 years' worth of its own historical
borrower data to uncover variables that dictate the risk
associated with each borrower. Utilizing some of the
brightest minds in analytics, as well as 30 data vendors,
BHG has gained unmatched insight into its borrower
characteristics and performance.
Not only does this data help inform future decisionmaking
into who BHG lends to, but it's also leveraged
by BHG's full-service, in-house marketing division
to execute highly targeted campaigns to millions of
professionals every day. BHG's origination strategy is
extremely selective: The company targets the top 17% of
the strongest credit-quality borrowers in the market. This
attention to detail gives BHG an unbelievable advantage
to ensure it's only lending to top-performing borrowers,
which has resulted in over $6 billion in financial solutions
to date.
FinQuant-driven results
Today, BHG works with more than 20,000 of these
coveted borrowers each month, with nearly $9 million
in loan volume sold daily through the BHG Loan Hub, a
state-of-the-art loan delivery platform for community
banks.
This secure, online system allows for the daily sale and
delivery of medical and professional loans while helping
BHG meet the growing loan demand from community
banks. The platform includes various methods whereby
a single loan or portfolio of loans can be purchased. It
has been a highly effective distribution channel where a
bank can approve the loan program and purchase loans
according to its underwriting standards the very next
day. New loans are posted each day and, as with all BHG
loans, a consistent, complete credit file is available for
review prior to purchase.
Across the country, a network of more than 1,150
community banks access this program-earning a solid
3-6.5% return-and over the course of 19 years, no bank
has ever taken a loss on the BHG Core Loan portfolio.
Meghan Crawford, President of Institutional Sales
MCrawford@em.bhgbanks.com
315-407-4253 // bhgloanhub.com/ICBA
http://www.bhgloanhub.com/ICBA
Independent Banker - November 2020

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