Abrigo

JUNE 4, 2024

Takeaway 2 The panel encouraged banks and credit unions to change their approach to compliance and technology, getting compliance involved sooner in new initiatives to encourage safe innovation. Takeaway 3 Attracting new and younger customers is a top priority for community financial institutions.

Compliance 221

Compliance Community Bank Community Conference 221

South State Correspondent

DECEMBER 13, 2023

Bankers must understand the relationship between money supply and their bank’s COF. Even if the Fed does not increase the Fed Funds rate or even decreases the rate in the future, continued QT is expected to put pressure on the cost of funding in 2024. The graph below shows COF for the same three groups of banks.

Community Bank 195

Community Bank Community Policies Security 195

American Banker

JULY 11, 2024

The top five community banks have combined first mortgage loans of more than $2.8 billion as of March 31, 2024.

Community Bank 87

Community Bank Community Industry 87

South State Correspondent

FEBRUARY 29, 2024

Since our last update on pricing and credit HERE , commercial loan pricing trends for the first quarter of 2024 continue to be driven by the perceived increase in credit risk, tighter credit supply and banks’ need for wider margins. percentage points bringing forward looking LGD to 44% of the average community bank loan amount.

Trends 195

Trends Community Bank Community United States 195

ABA Community Banking

JULY 12, 2024

Federal banking regulators released the 2024 list of distressed or underserved nonmetropolitan middle-income geographies eligible to receive CRA consideration. The post Regulators release 2024 list of distressed, underserved communities appeared first on ABA Banking Journal.

Community 52

Community Regulation FDIC Community Bank 52

ABA Community Banking

OCTOBER 23, 2024

ABA has elected Jennifer Jones as chair of the Community Bankers Council for the 2024-2025 association year. Jones is president and CEO of CBL State Savings Bank in Greer, South Carolina. The post South Carolina banker elected chair of ABA’s Community Bankers Council appeared first on ABA Banking Journal.

South Carolina 98

South Carolina Community Community Bank 98

ABA Community Banking

JANUARY 18, 2024

The Federal Reserve announced the members of the Community Depository Institutions Advisory Council for 2024, including the new council president and vice president. The post 2024 Community Depository Institutions Advisory Council Members announced appeared first on ABA Banking Journal.

Community 52

Community Community Bank 52

South State Correspondent

SEPTEMBER 25, 2023

Given this new signal, community banks need to analyze what this interest rate environment means for their business model and how to maximize performance. The question is how will this interest rate development affect community banks’ performance, and what must community banks do to remain profitable?

Community Bank 195

Community Bank Community Industry Marketing 195

Jack Henry

OCTOBER 29, 2024

This year’s Jack Henry Connect was a remarkable event that captured the spirit of community banking while embracing the continuously shifting world of technology.

Community Bank 78

Community Bank Community Technology 78

American Banker

JANUARY 3, 2024

A resilient economy and the potential for interest rate cuts could infuse further bullish sentiment into markets and bolster the shares of small lenders.

Community Bank 87

Community Bank Community Marketing Industry 87

South State Correspondent

JUNE 18, 2024

Deposit costs and liquidity remain a challenge for some community banks as competition for core funding remains intense. The graph below compares the liquidity ratio for community banks (under $10B in assets) and banks over $100B in assets. Community banks do have a few strategies for mitigating COF pressures.

Community Bank 195

Community Bank Community Risk Management Management 195

Jeff For Banks

NOVEMBER 5, 2024

Bank Director Magazine recently came out with its Ranking Banking report for 2024. It uses four metrics to gauge the performance of public commercial and savings banks as defined by S&P. One is I wanted to push it forward to second quarter 2024 (the list was year ended 2023). Click on image to see it larger.

Trends 93

Trends Comparison Report California 93

South State Correspondent

APRIL 30, 2024

An inverted yield curve, continued bank failures, and the desire to manage risk and offer clients higher service are all factors that are driving more community banks to adopt a loan hedge program. Community banks do this profitably by turning transactional accounts into relationships.

Community Bank 195

Community Bank FDIC Community National 195

South State Correspondent

APRIL 30, 2024

An inverted yield curve, continued bank failures, and the desire to manage risk and offer clients higher service are all factors that are driving more community banks to adopt a loan hedge program. Community banks do this profitably by turning transactional accounts into relationships.

Community Bank 195

Community Bank FDIC Community National 195

American Banker

NOVEMBER 21, 2023

Bankers are hopeful that several factors could strengthen profits next year, including higher loan demand and more stable funding costs as the Fed holds the line on — or even lowers — interest rates.

Community Bank 85

Community Bank Community Lending 85

ABA Community Banking

OCTOBER 21, 2024

The ABA Foundation named seven banks as 2024 Community Commitment Award winners. Raul Valles of Dallas Capital Bank in Texas to receive the George Bailey Distinguished Service Award.

Community 52

Community Dallas Texas Capital 52

South State Correspondent

JANUARY 16, 2024

Bloomberg recently announced that it will shut down its BSBY index on November 15, 2024. We published various articles comparing community bank alternatives to LIBOR (such as SOFR, Ameribor, Fed Funds, and Prime). Historically, community banks have hesitated to adopt derivatives for several reasons.

Community Bank 195

Community Bank Community Compliance CA 195

South State Correspondent

JULY 26, 2023

The bigger risk to community banks’ business model is not a moderate recession induced by aggressive interest rate increases by the Federal Reserve. The yield curve impact is having a negative effect on bank profits. Banks reluctant to commit to fixed-rate terms beyond two or three years are disadvantaged.

Community Bank 195

Community Bank Community Strategy Atlanta 195

ABA Community Banking

OCTOBER 22, 2024

ABA announced the 2024 recipients of its annual Emerging Leader Awards, which recognize the next generation of bank leaders committed to the highest standards of achievement and service. The post ABA announces 2024 Emerging Leader Award recipients appeared first on ABA Banking Journal.

Resources 52

Resources Leadership Community Bank Community 52

South State Correspondent

MAY 18, 2022

In two recent articles, we reviewed the banking industry’s deposit behavior with regard to cost of funding earning assets (COF) ( HERE ), and we compared how community banks’ COF behaves relative to national banks in a rising interest rate cycle ( HERE ). A graph for SouthState Bank appears below.

Community Bank 195

Community Bank Community Analysis Industry 195

Jeff For Banks

OCTOBER 2, 2024

Financial Markets Update – Third Quarter 2024 I had a fantastic September traveling to France and Luxembourg with my sisters. What would this disruption mean especially since there is so much need in states like Florida, North Carolina, and Tennessee after Hurricane Helene destroyed so many communities with massive rain and flooding.

Marketing 153

Marketing North Carolina US Community 153

South State Correspondent

NOVEMBER 29, 2023

Community banks are striving to increase loan yield and maintain their cost of funding (COF). We have created and used a novel structure to take advantage of the inverted yield curve to allow community banks to increase net interest margin (NIM) and fee income on these existing fixed-rate loans.

Community Bank 195

Community Bank Community Tools Strategy 195

ABA Community Banking

DECEMBER 8, 2023

From the Basel III endgame to Regulation II to new Community Reinvestment Act and Section 1071, 2023 has delivered a regulatory onslaught for the industry. The post Podcast: The bank policy outlook for 2024 appeared first on ABA Banking Journal. How are bankers navigating the waves of overlapping changes?

Policies 59

Policies Community Regulation Industry 59

ABA Community Banking

SEPTEMBER 12, 2024

ABA announced the winners of its 2024 ABA Diversity, Equity and Inclusion Awards, which recognize member banks for their internal-facing programs, leadership and activities focused on improving DEI within their workplace. The post ABA announces 2024 Diversity, Equity and Inclusion Award winners appeared first on ABA Banking Journal.

Leadership 52

Leadership Resources Community Bank Policies 52

South State Correspondent

SEPTEMBER 12, 2022

The banking industry’s cost of funds (COF) is highly correlated to short-term interest rates. However, as of Q2/22, the average community bank’s COF has risen only a few basis points. The COF over the past five quarters is shown for three asset peer groups: banks under $1B (3.5k The Data on Cost of Funds.

Community Bank 195

Community Bank Community Industry Online 195

Jeff For Banks

JULY 1, 2024

Financial Markets Update – Second Quarter 2024 A dream vacation! That and getting consumed by Euro 2024 and Copa America soccer and of course, the Phillies. In July 2024, we will mark two years of inversion between the 10-year Treasury and the 2-year Treasury yields. for 2024 and 2.0% It was so beautiful and lots of fun.

Marketing 153

Marketing Conference Policies Survey 153

ABA Community Banking

SEPTEMBER 17, 2024

The post ABA nominates officers, board for 2024–2025 appeared first on ABA Banking Journal. ABA’s Nominating Committee finalized the official slate of candidates to be presented for election at the association’s annual convention scheduled for Oct. 27-29 in New York City.

New York City 52

New York City New York Community Bank Industry 52

American Banker

NOVEMBER 12, 2024

This year, 90 banks made American Banker's 12th annual Best Banks to Work For ranking. The leaders of these institutions share how they keep their employees happy.

Community Bank 92

Community Bank Community Management 92

Abrigo

NOVEMBER 13, 2024

As rates stay high, concerns about credit risk and borrower health are top of mind for bank and credit union leaders, especially as it relates to lending to small businesses. Early 2024 figures show a dip in DSCR to 4.62x. However, recent data from Abrigo shows that privately held companies across the U.S.

Lending 195

Lending Meeting Data Risk Management 195

American Banker

AUGUST 14, 2024

A Northwest credit union announced plans this week to buy a community bank, lifting the 2024 total of such deals to 13 and putting the year on track to set a record. The all-time annual high of 16 was set in 2022.

Community Bank 53

Community Bank Community 53

South State Correspondent

APRIL 9, 2024

We estimate that the average contractual loan commitment for term credit at community banks has decreased from just under five years in 2022 to just under three years currently. Community banks should carefully consider the prudence of such a strategy from both a risk and revenue perspective.

How To 195

How To Community Community Bank Marketing 195

ABA Community Banking

MARCH 15, 2024

billion in awards from the CDFI Fund in fiscal year 2024, which is more than three times the amount of available. The post CDFI Fund received $1.55B in funding requests in 2024 appeared first on ABA Banking Journal. A total of 948 organizations from across the U.S. requested a combined level of approximately $1.55

Community Bank 52

Community Bank Policies Community 52

ABA Community Banking

MAY 29, 2024

The banking industry reported net income of $64.2 billion in the first quarter of 2024, an increase of $28.4 from the previous quarter, according to the FDIC’s most recent Quarterly Banking Profile released today. The figure was down from Q1 2023, when FDIC-insured banks and savings institutions earned $79.8

FDIC 52

FDIC Industry Report Community Bank 52

American Banker

AUGUST 14, 2024

A Northwest credit union announced plans this week to buy a community bank, lifting the 2024 total of such deals to 13 and putting the year on track to set a record. The all-time annual high of 16 was set in 2022.

Community Bank 45

Community Bank Community 45

ABA Community Banking

JANUARY 3, 2024

Citing his leadership in advocacy and “his thoughtful, deliberate dedication to the essence of community banking,” BankBeat magazine has named Bryan Bruns — president and CEO of Lake Central Bank in Annandale, Minnesota — as its 2024 Banker of the Year.

Minnesota 59

Minnesota Leadership Community Bank Community 59

South State Correspondent

AUGUST 14, 2024

Why Is It Important for Lenders Most community bank commercial clients do not have professional CFOs or treasurers. Therefore, while the community customer may be proficient in running his/her business, often they lack financial tools and need help understanding the math.

Tools 195

Tools Marketing Community Bank Community 195

American Banker

JULY 12, 2023

The company said long-time chief executive Chuck Sulerzyski would retire in 2024 and be succeeded by Tyler Wilcox, Peoples' executive vice president of community banking.

Ohio 69

Ohio Community Bank Community Company 69