The Hidden Cost of Successful Workouts

As a workout banker, few moments felt better than issuing a payoff letter, especially when it meant a 100% repayment of principal and accrued interest and fees. Short of returning a restructured relationship to the line of business, knowing that a troubled loan would be fully resolved, assuming the payoff actually closed, felt like a clear win after months or years of managing risk. That sense of victory was even greater when the loan had been on non-accr…