As problem loans escalate, it may not be a bad idea for bankers to make friends with the "mopes" -- that is, the management of a faltering company.

Confused? Welcome to the rapidly changing world of workouts, or dealing with borrowers whose loans are nonperforming. Though banks have had bad loans since lending began, the workout process has changed dramatically in recent years.

Limited Time Offer

Save $400 off your subscription. Special offer ends April 30, 2017.

14-Day Free Trial

No credit card required. Complete access to articles, breaking news and industry data.