5 Minutes with the Bank Chair

 

WHAT'S HAPPENING in the bank sector of the equipment finance space? Equipment Leasing & Finance magazine caught up with Rob Seltzer, Chair of the Bank Business Council Steering Committee (BCSC), to take the pulse of this sector. Seltzer, Chief Commercial Officer at BciCapital, Inc. (BciC), is currently serving his first year as Chair of the committee, which represents bank-owned and bank-related organizations that use internal funding, including bank departments, divisions and affiliates, as well as divisions and subsidiaries of bank holding companies. 

What do you feel are the most pressing topics for ELFA bank members this year?

Our bank members are faced with macroeconomic and political uncertainties that will have substantial impacts on our employers, our customers and the markets we serve. Inflation is having a material impact on our customers’ business models, pressuring pricing of goods driven by sizable increases in input costs (labor and materials). Supply chain issues linger in the U.S., fueling inflation, delaying equipment deliveries and increasing equipment costs. Our government’s current response, rapid change in monetary policy via increased interest rates and shrinking the Fed balance sheet, is driving up the cost of borrowing/leasing, putting stress on customers and driving up banks’ costs and availability of deposits, which may result in increased spreads and reduced funding availability. The Fed moves are also leading many experts to predict a recession over the next six to 12 months. Foreign policy issues including Russia’s actions in Ukraine and concern over China’s intentions further add to the uncertainty. I expect healthy discussion in the Bank BCSC on making sure our existing portfolios stay safe and getting ahead of any customer/industry weakness, maintaining financing margins in a rising rate environment, and continuing to help customers through what may be difficult times.

How did you get involved with the BCSC? Would you recommend it to others?

I have been in the industry for over 25 years, mostly at GE Capital, but was not really exposed to the broader industry until 2015 when I left GE and became a commercial leader for a bank equipment finance business. I started attending the ELFA Funding Conference and the Annual Convention and was able to network with great people across the industry, which got me interested in being more active with ELFA. Joining the BCSC was the logical next step and has provided me the opportunity to interact with my peers, consult each other through challenges (like the Covid pandemic) and develop my network and friendships. I highly recommend being engaged in the BCSC and attending the Bank Roundtable on March 14 and the Funding Conference on March 14-16.

Join the Roundtables!
The Bank, Captive & Vendor Finance, Independent and Small Ticket BCSCs are planning best practices roundtables, to be held March 14 in Chicago. See details at www.elfaonline.org/events. 


About the BCSCs
The BCSCs represent ELFA’s five key business segments: Captive and Vendor Finance, Bank, Independent, Service Providers and Small Ticket. Learn more at www.elfaonline.org/BCSCs. Interested in joining? Contact Ed Rosen at [email protected].