Why Bank Local?

Community-based banks have long played a critical role in the U.S. economy and this has never been more important than in today’s unprecedented times. The central principle driving community banks is “The Relationship”.

This approach provides customers financial services based upon the ongoing personal interactions that improve the flow of information, resulting in an understanding of all of your financial needs and allowing for customized solutions.

• Community bank executive officers, including the President & CEO, are typically accessible to their customers. Megabank CEOs are headquartered in far-away office suites with little customer dealings.
• Community banks focus attention on the needs of local businesses. Conversely, many of the nation’s megabanks are structured to place a high priority on serving large corporations and investment banking activities on Wall Street.
• Community banks are strong supporters of local nonprofits both with their dollars and volunteer hours.
• Community banks channel most of their loans to their depositors’ neighborhoods, helping to keep local communities vibrant and growing. Megabanks may take deposits in one state and lend in others.
• Community bank executives and directors typically are deeply involved in local community affairs, while large-bank executives are likely to be detached physically and emotionally from the communities where their branches are located.
• Many community bankers are willing to consider character, family history and discretionary spending in making loans. Megabanks, on the other hand, often apply impersonal qualification criteria, such as credit scoring, to all loan decisions without regard to individual circumstances.
• Community bankers can offer nimble decision-making on business loans because decisions are made locally. Megabanks usually have limited loan decision-making authority at the local level.
• Community bank boards of directors are local businesspeople, leaders and your neighbors who often played a role in starting the bank. It’s unlikely that big bank corporate board members live, work or operate businesses in your neighborhood.

The Community Banking Movement is Strong

A February 2010 Zogby Interactive poll found that 32 percent of respondents have considered moving some or all of their banking from a large national bank to a community bank or credit union because they are unhappy with the policies or behavior of large national banks. Fourteen percent said that in the past year they have actually moved some of their banking from a large national bank to a community bank or credit union.