So we will continue to try to look at that as a source for us to look at lower cost deposits. Lower than wholesale funded, lower than FHLB funded, lower than government – high-rate government deposits. So, there are a few areas that are emerging for us, because we’ve gotten into asset-based lending, equipment finance and enhanced our commercial approach to business. And then finally, I’d say just acquiring customers vis-a-vis digital and mobile banking, we’re seeing the percentage of customers coming through on our brand advertising campaign through digital increasing. They are modest and incremental numbers, because we’re testing and learning and making sure they’re not falling off on the backside. So it’s a lot of the things that we’ve talked about.
And the answer is yes. We do believe that we have opportunity in the marketplace. That being said, we don’t expect anything like the growth that we saw in the previous year in 2022. But that was by design to increase your capabilities. So that you can continue to lend in the higher return areas as you deemphasize some of the lower return areas. With regards to capital, we feel like we’re in a pretty good position as we – create that shift in what we’re lending on that, of course, you increase your capital vis-a-vis profitability. And right now, we don’t see a constraint on capital based on the way that we’re approaching it, deemphasizing some lower yield, emphasizing some higher yields. So, we do think – and with regards to regulatory, we’re early innings.
We’ve heard quotes from the OCC and seeing those out there, and seeing that they thought it probably would be a big emphasis on the over $100 billion banks. But it’s a little too early to comment, I think, on what that’s going to mean to the banks above us in size.
Scott Siefers: Okay, good. Appreciate the thoughts. Thank you very much.
Andrew Harmening: Thank you, Scott.
Operator: Thank you. Our next question comes from Terry McEvoy with Stephens. Please proceed with your question.
Terence McEvoy: Hi, good afternoon, everyone.
Andrew Harmening: Hi, Terry.
Terence McEvoy: The forward curve is implying lower rates next year. So as I look at your $6 billion of brokered CDs and other time deposits, what’s the repricing opportunity over the next kind of 12 or within 2024 with the assumption that rates are lower? Do you have a schedule, a maturity schedule when those roll?
Derek Meyer: Yes. We don’t, but let me give you some color all of our brokered CD programs were largely within 12 months. So think of 12-month term is the outside limit and then we scheduled both depending on price and volume and appetite, either nine months, six months or shorter than that. And we started out very short. And then, if you think about our specials for retail, it’s largely centered on the seven-month CD. So, we had a couple of other maturities, but our most popular that we’ve been with the last couple months is seven months. So, we think of most of this all re-pricing between now and mid-next year, the majority of it.
Terence McEvoy: Okay. And can you remind me the network transaction deposits, that’s a 100% beta product?
Derek Meyer: Yes.
