|May '23||Jun. '23|
|Net interest margin||46.8||54.8||19.4||21.7||15.3|
|Unrealized losses on securities portfolio||14.5||16.1||3.2||1.7||11.9|
|Difficulty hiring and/or retaining employees||11.3||14.5||1.6||3.3||10.2|
|Commercial real estate risks||6.5||12.9||3.2||5.0||5.1|
|Competition for loans||8.1||3.2||0.0||1.7||1.7|
NOTE: 62 responses.
|Paying a higher interest rate to retain core deposits||73.5|
|Declining deposit volume||23.5|
|Increased cost of noncore funding||2.9|
|Difficulty accessing liquidity||0.0|
NOTES: 34 responses. This question only posed to those who selected "Liquidity/deposit volume" on question 1.
NOTE: 61 responses.
NOTE: 62 responses.
|Keeping them at the Fed||47.5|
|Lending them to customers||29.5|
|Lending them to other banks or third parties||11.5|
|Paying down Federal Home Loan Bank borrowings||3.3|
|Investing them in short-term securities||3.3|
|Investing them in long-term securities||0.0|
NOTES: 61 responses.
|Commercial real estate loans||52.8|
|Commercial & industrial loans||26.4|
|Residential real estate loans||9.4|
NOTES: 62 responses. The results exclude the 14.5 percent of respondents that answered, "Not applicable; we did not increase loan pricing."
|Commercial real estate loans||72.5|
|Commercial & industrial loans||7.5|
|Residential real estate loans||7.5|
NOTES: 62 responses. The results exclude the 35.5 percent of respondents that answered, "Not applicable; we did not tighten credit standards and terms."
|No||Yes, some tightening||Yes, significant tightening|
|Construction and land development||27.5||56.9||15.7|
NOTE: 52 responses.
Special Questions Comments
These comments have been edited for publication.
- Our chief deposit concern is that consumer access to treasuries and nonbank alternatives is becoming easier, creating greater pricing parity. The unprecedented pace of Fed funds rate increases has put the industry far behind the curve of the nonbank markets. We believe the industry will come out of this situation with a much tighter deposit cost and margin that will promote consolidation and cheaper digital channels. The tighter margins will force it. Our strategic focus is redesigning our business model to align with that future.