It's Time to Level the Playing Field
The Debt Crisis Problem - In plain English, 20 risks that will soon fuel a serious economic downturn
Using 'Creditor Tools' During a Serious Economic Downturn - An inside look for BORROWERS preparing for debt repayment negotiations
Debtor-Proposed Repayment Solutions - The coming paradigm shift from creditor to debtor in seasons of default and restructuring
Subscribe / Notices - To actively participate with NCARA.org, please simply subscribe. We invite you into the NCARA community of colleagues and friends. For those that want to share their passion and contribute their own CRMs, or recommend new CRM topics to NCARA.org, please bring your passion, expertise, and professionalism. We welcome you, your thoughtful opinions, and perspectives.
What is National Credit Awareness and Resolution Association, Inc.?
(NCARA.org)
NCARA.org is the solution to the coming debt crisis problem for small businesses with annual revenues <$10 million. NCARA.org offers ‘inside-baseball’ tips on how the creditor views credit risk in the administration of problem loans during an economic downturn.
Creditor Tools
Credit Risk Memos (CRMs) will help you see and understand what and how creditor tools are, and the purposes they serve. CRMs specifically include the ’why’ these creditor tools are important for you. The CRMs are divided into six sections and a number of subsections:
-
Obligor (7)
-
Credit Facilities (4)
-
Creditor Protection (6)
-
Financial Analysis (8)
-
Management (11)
-
Loan Types (18)
Debtor-Proposed Repayment Solutions
Ultimately, there will be a paradigm shift from the creditor crafting up repayment solutions for you, the borrower. You’ll soon be doing that role yourself, and bring those recommendations to the creditor. Due to the overwhelming volume of problem loans in seasons of default and restructuring, the borrower will become responsible to develop its own repayment solutions.
#105 - Inflation / Stagflation
On this episode:
Inflation / Prices –
In 2023, while the pace of inflation has decreased, per the table above, many would argue that prices remain high for food and other commodities, with some recent deflationary pricing coming in early 2024. Certainly, the pandemic helped cause supply disruptions and shortages that have led to higher prices for things like gasoline, used cars, lumber, housing, appliances, electronics, meat, fish, dairy, fruits, vegetables, healthcare, labor, housing, education, etc.
Many economists are arguing that unemployment is low, and spending is still up – that the economy is strong. Yet, many people still see those higher prices and conclude that the economy is bad, that we’re no longer going to have low interest rates and low inflation. The high cost of housing is probably one of the biggest contributors to the cost of living, especially those who are renting. The price of purchasing a place to live has risen so greatly as to becoming a homeowner is hardly a reality for millions. Rents have also surged greatly in the past few years, taking a big bite out of household income, and leaving less to spend on other essential products and services...
CLICK TO SUBSCRIBE
Share Now:
#550 Debtor-Prepared Pro Forma Cash Flow Statements
On this episode:
• A Debtor-Prepared Pro Forma Cash Flow Statement is the Bridge for Repayment
• Frequency and Quality of Financial Reporting
• Drilling Down into the Pro Forma Cash Flow Statement
• A Simple Monthly Cash Flow Statement
• Lenders Are to Prudently Work with Debtors
• Recent Regulatory and Supervisory Guidance to Creditors
• Interagency Statement on April 7, 2020
• Disclosable Loan Modifications (DLM), December 2022
CLICK TO SUBSCRIBE
Share Now:
#302 Covenants: Financial, Performance, Reporting
On this episode:
• Loan Covenants Are Conditions That a Borrower Must Comply With as Specified in a Loan Agreement
• Covenants Involve Reporting Requirements, Financial Performance Thresholds, Affirmative Actions and Negative Restrictions
• Take the Time to Read And Understand all Required Loan Covenants
• Loan Covenants Serve Various Purposes
• Covenants That Are Not Too Tight Or Too Loose
• IMPORTANCT TO YOU- Study and understand what your loan covenants are. Pay extra close attention the financial performance covenants. Make your voice heard when it comes to loan repayment
CLICK TO SUBSCRIBE
Share Now:
#800 - Commercial and Industrial Lending Evaluation
On this episode:
• Financial Performance, Other Considerations
• Cash Flow
• Net Operating Income (NOI)
• Profitability
• Efficiency
• Leverage
• Liquidity
• Performance to Plan (P2P)
• Pro Forma Outlook
• Management
• Competition
• Creditor Analysis of Your Ability to Repay
• Root Cause Considerations
• Structural Weaknesses and Underwriting Deficiencies; Be on the Lookout
• Yellow and Red Flags (18); Indicators of Potential Repayment Problems
CLICK TO SUBSCRIBE
Share Now:
#120 Artificial Intelligence (AI) / New Technologies
On this episode:
• We’ve Got Some New and New Exciting Risks to Deal with Here
• How Disruptive Will AI and Other New Technologies Become?
• New National Security Risks and Rewards
• New Technologies Just Keep Coming; They Can’t Be Stopped
• Will Careers in Science, Technology, Engineering, and Math be at Risk (Disrupted)?
• Consider These Warnings
• A Disruptive Technology Coming After 300 Million Jobs?
• Election Disruption from AI
• AI Risks for the Upcoming Elections
• CONCLUSION - So What, When, How It Affects You?
• Unforeseen Events with AI and New Technology Risks Will Increase
CLICK TO SUBSCRIBE
Share Now:
#402 Foreclosure
On this episode:
• Foreclosure Occurs When the Underlying Collateral is Liquidated Due to There Being an Event of
Default on a Loan
• Getting to the Auction Bid
• Real Estate Collateral Will Become 'Other Real Estate Owned,' or OREO
• Personal Property Collateral Will Be Liquidated
• Market Bids are Still Market Bids
• IMPORTANCE TO YOU - Liquidation of collateral is a big, very big deal, but what's the real cost? Forced or cooperative liquidation? Making the best of a bad situation. Don't be deceptive, even if you are angry with the creditor. There is a better way to resolve any dispute
CLICK TO SUBSCRIBE
Share Now:
CRMs – Obligors
CRMs – Credit Facilities
CRMs – Creditor Protection
CRMs – Financial Analysis
CRMs – Management (Creditor)
CRMs – Debtor-Proposed Repayment Solutions
Amazon eBooks for You!
The Debt Crisis Problem Series
Crisis rarely starts with one event - it builds. This guide shows how interest rate spikes, asset bubbles, job loss, and fiscal missteps converge to trigger collapse and what borrowers and institutions must watch for.
Explore Jerry Staker’s full collection of all five (5) The Debt Crisis Problem eBooks - all free to read with Kindle Unlimited!
Using Creditor Tools Series
If your business is falling behind, this book provides a step-by-step plan to regain control. Learn how to talk to your lender, build a credible workout plan, and protect your business through tough times.
Don't miss all six (6) Using Creditor Tools eBooks - all are free to read with Kindle Unlimited!
Debtor-Proposed Repayment Series
Learn how lenders evaluate your business using tools like cash flow projections, credit risk ratings, and loan monitoring systems. This guide empowers small business owners to speak the same language as creditors - and negotiate from strength.
Checkout Framework and Foundations too, both are free to read with Kindle Unlimited!
The Tunabudget Solution Series
Tunabudget – The Solution, The Most Powerful Budget Worksheet Plan in the World – Yours. Learn the WHAT, the WHY, the HOW, and more.
Enjoy reading Jerry Staker’s full collection of all six (6) The Tunabudget Solution Series eBooks - all free to read with Kindle Unlimited!
The Price of Silence Series
This collection of fearless dispatches exposes the hidden truths behind America’s growing debt crisis, budgetary deception, and political silence. Jerry Staker delivers sharp, unfiltered commentary on the systemic risks our leaders refuse to face - making this a must-read for anyone demanding truth over illusion.
Credit Risk Management Series
An essential guide for lenders and credit professionals preparing for financial stress. Learn to assess borrower risk, conduct effective loan reviews, and protect your institution without abandoning your clients.