Michigan Business Connection Creates Innovative New Subscriber Service Platform for Participating Credit Unions

Michigan Business Connection (MBC), located in Ann Arbor, MI, has created a new and innovative subscriber service platform and fee schedule. This new service aids in enhancing the value participating credit unions get from sharing the costs and risks of their business lending program. Specifically, the new platform allows credit union partners to have unlimited new loan underwriting and documentation support for a fixed cost starting as low as $1,750 per month.

“Credit unions want the benefit of cost and risk sharing, but also desire flexibility and control of their member interactions,” noted Bill Beardsley, President/CEO of MBC. “Our new Subscriber service platform gives credit unions the opportunity to have the resources of a credit department for less than half of what one junior credit analyst costs. This is especially important in this environment as super aggressive lending by banks and other lenders puts pressure on credit union competitiveness. Having the ability to price with the market significantly enhances success.”

In addition, MBC now offers enhanced support and pricing for SBA lending and an orientation to positioning SBA loans for optimal value if sold on the secondary market. “The sale of the guarantied portion of SBA loans has been used by banks and other lenders for a long time as a way to both serve borrowers and generate fee income and liquidity,” stated Beardsley. This new enhancement is particularly helpful to credit unions as SBA loans do not count against the regulatory lending cap and the servicing of the loan can be retained by the credit union even if the loan guaranty is sold.

MBC is also excited to share news of a major milestone that demonstrates its continued success as a Credit Union Service Organization (CUSO). The organization has reached the threshold of more than one half billion dollars in new loan originations with its participating credit union partners.

About Michigan Business Connection, LLC

Since 2004, Michigan Business Connection (MBC) has supported the State of Michigan’s small and medium-sized businesses and real estate investors by underwriting and servicing commercial loans for financial institutions statewide. They primarily serve Michigan credit unions and their members. MBC is a credit union service organization (CUSO) leveraging a collaborative effort of more than two dozen affiliated credit unions. They now help manage a portfolio of over $400 million in business loans for these financial institutions. Partnering with MBC enables Michigan credit unions to share the costs and spread the risks of commercial lending while providing critically needed capital for small business reinvestment throughout our state. To learn more please visit their website at, www.mbcloans.biz.

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