The Underwriting department falls within Credit Administration and is split between two specialized teams: Central Underwriting and Commercial Underwriting.

Central Underwriting is responsible for underwriting a wide range of consumer and small business loans, such as:

• Unsecured loans
• Auto loans
• Boat, R.V., and motorcycle loans
• Associate loans
• Home equity loans
• Lot loans

The Central Underwriting department works closely with personal bankers, lenders, and administrative assistants across the Capital City Bank footprint. The team has a wealth of knowledge, and they use this expertise to develop creative solutions while making sound loan decisions. Many associates think of them as the "credit help desk," and the team enjoys sharing their knowledge.

Once Central Underwriting receives a loan application, the frontline processors begin reviewing the application. The loan origination system automates numerous credit underwriting steps and provides policy-based recommendations to approve, decline, or review the loan application. 

An underwriter then reviews the application and decisions the loan. Once a decision is reached, the personal banker or lender working the loan is notified. If the application was submitted by the Internet, the underwriter contacts an associate in Loan Support.

Applications received by personal bankers are reviewed and a decision is made in Central Underwriting. The decision is relayed to Loan Support and the personal banker. Loan Support orders and reviews title work and appraisals and obtains any other documentation needed for closing. They communicate with the personal banker to arrange for loan closing.

Applications received by Internet: Loan Support sends a link to the client to upload all required documentation. Central Underwriting reviews the application and makes a decision, which is then relayed to Loan Support. 

Loan Support then contacts the client to relay the loan decision. Approved loans are handled by Loan Support. They order title work and appraisals, and they obtain any other necessary documentation. Loan Support contacts the closest office to coordinate closing.

Central Underwriting is committed to processing and completing loan applications in a timely fashion. This is accomplished by following service standards that ensure quality and efficiency. If an application is complete upon receipt, the approval process proceeds normally. To ensure timely processing of loans, associates should always review each application carefully and make sure all required fields and documents are completed correctly.

It is the underwriter's job to know loan policy, regulatory requirements, and procedures to make sure Capital City Bank makes sound loan decisions.

Collectively, the underwriters perform the following duties:

• Ensure the collateral qualifies for the loan requested
• Confirm the loan terms are appropriate
• Confirm the client's monthly income
• Confirm the client’s monthly debt from their credit reports
• Use monthly income and monthly debt to establish the client's monthly debt ratio
• Calculate the client's Loan-to-Value on loans with collateral
• Ensure that these numbers are all within appropriate guidelines
• Communicate with the lender or the personal banker any change in terms or conditions
• Decide if we will use market value, an appraisal, or a Residential Evaluation Report 
• Determine title work needed: Ownership & Encumbrance, Title Report Plus, or Full Title Policy

By reviewing all necessary documentation with a loan application, the underwriters ensure loan quality and stability.

Commercial Underwriting has a primary responsibility to assist the Bank’s lending staff with filtering and selecting acceptable credit risk profiles. This is generally accomplished with a thorough review and analysis of a prospective or existing client’s financial information. 

In short, they serve the Bank’s clients’ borrowing needs without comprising the Bank’s credit quality standards or risk appetite.

Commercial Underwriting typically works on loans of size and type that require approval by the Credit Committee or certain associates within Commercial Underwriting, but also assists lenders with the underwriting of loans that will be decisioned by the lender or the market president.

The Credit Committee makes decisions on loans and relationships above a certain amount. They meet every Wednesday at 9 a.m. to discuss all loans requiring their approval. The Commercial Underwriting team presents these loans to the Credit Committee, who then decides on each loan. Commercial Underwriting then approves and documents the loans based on the Credit Committee’s terms in Abrigo.

Commercial Underwriting utilizes Abrigo as their lending platform. This allows the department to use workflows to manage all new loan requests, renewals, Automatic Clearing House (ACH) and Remote Deposit Capture (RDC) requests, Annual Reviews, Action Plans, and Watch Lists. Within Abrigo, Commercial Underwriting can spread financials, prepare credit memos, and make loan decisions. All financial documents are housed within Abrigo.

A summary of the loans/relationships that require credit committee approval:

• Cash & Equivalents > $2,000,000
• Real Estate > $1,500,000
• Secured (Monitored ABL’s, specific equipment) > $750,000
• Unsecured > $200,000

The Commercial Underwriting department is also charged with the responsibility of monitoring the quality of the Bank’s loan portfolio. This is done using annual reviews of larger relationships and more frequent reviews of those loans/relationships that are deemed to carry more risk.

Specific Commercial Underwriting responsibilities:

• Spread financial statements and construct a narrative of the financial support offered by the borrower
• Assist in structuring loans
• Decision loans
• Present loan requests weekly to the Bank’s credit committee
• Monitor large bank relationships through annual financial reviews:
  • Commercial Real Estate ≥ $2,000,000
  • Loans to Municipalities ≥ $2,000,000
  • Other Collateral ≥ $1,000,000
  • ACHs ≥ $1,000,000 that are not refunded 
  • ACHs ≥ $1,000,000 that can originate debits
  • Working Capital Finance ≥ $500,000
  • Demand Loans ≥ $250,000

• Monitor and report on loans with well-defined weaknesses quarterly using action plans
• Monitor and report on loans for which there is an elevated concern, but not to the extent that would warrant an action plan (pass watch loans)
• Review and approve of larger RDC and ACH relationships