Statistics, Facts & Such

Robert Morris Associates, a trade group for lenders, predicts that 50% of all financial institutions will use credit scoring software by 1998 (up from less than 10% today), to evaluate small-business loans.

Bank Rate Monitor, a newsletter, reported in a survey of 558 people, nearly 25% believe their 401(k) or pension plan will fail.

85% of small businesses that applied for bank credit in 1995 were successful, according to a survey conducted by Arthur Andersen & Co. and National Small Business United. The success rate in 1994 was 74%, and in 1993 was 75%.

Starting September 30, only 26 of the nation's 9,800 banks will have to pay as much as 31 cents deposit insurance premium for every $100 of domestic deposits. The average bank premium will be 4.4 cents per $100.

Financial industry experts estimate the reasonable industry average unit cost to originate a mortgage loan is $2,500, most of which is marketing cost to get the loan in the first place.

According to the Equal Employment Opportunity Commission, discrimination complaints in all industries (except banks) in the United States have increased by 50% since 1990. Discrimination complaints against banks during the same period have decreased more than 10%.

About 50% of financial institutions have separate officers that handle diversity training and have specific authority to make sure discrimination does not occur, according to estimates by the Consumer Bankers Association.

37 of the top 50 credit card issuers are financial institutions. 13 are non-banks.

Copyright © 1995 Bankers' Hotline. Originally appeared in Bankers' Hotline, Vol. 6, No. 1, 9/95