Why Bank Locally?

bank locally

The Advantages of Banking With a Community Bank

When choosing the right bank for you, there are many considerations. It is common to consider the personal benefits and the financial products offered.  Another ideal feature of a bank is the availability of ATM’s and retail branches.  However, the value of picking a bank that is local should also be of utmost importance.

A local bank impacts the stability and prosperity of your community. The money that you put into a community bank stays in your community.  It is similar to shopping locally.  The money stays local as it goes to small businesses within the neighborhood and to sponsorships of community initiatives.  Let’s take a closer look at the advantages of banking with a community bank.

Relationship Banking

When you bank locally, you are sure to have a happy, comfortable experience.  Community bankers always go above and beyond to make sure their customers receive a personal touch.  They understand the value of strong, lasting relationships. With a smaller pool of customers, they can focus on building personal relationships based on credibility and trust. Tellers, advisers, and loan officers learn their clients’ names and their banking needs. They remember each client’s financial history and spending habits so they can make informed decisions and serve them better.

Small business owners rely on their relationships with community banks. Your business is your passion and a product of your hard work. It requires personalized attention from a financial professional who believes in your work and wants to see your business succeed. These strong relationships provide better communication, loyalty and faster turnaround time with processes.

Community banks, like Jarrettsville Federal Community Bank, take great satisfaction and pride in helping their clients grow and reach their financial goals. They work with you to understand your unique needs and offer solutions based on a personal, relationship-driven decision-making process. They are able to put you in the right account for your financial situation or help you open a health savings account (HSA), or work with you to get a personal or business loan for your specific needs.

Huge Economic Impact

Community banks care about the same things you do, like helping your community. When small businesses needed access to funds from the Small Business Administration’s Paycheck Protection Plan (PPP), community banks stepped up. This was an initiative to help small businesses meet payroll during COVID closures. Community banks issued 4.7 million loans as part of the PPP, totaling $429 billion and saving an estimated 49 million jobs! Community banks accounted for 67 percent of PPP loans to industries with average hourly earnings of $10 to $20 per hour. They also accounted for over 50 percent of all PPP loans to industries with average hourly earnings between $20 and $50 per hour. Community banks far exceeded the support given by much larger institutions.

A small business from the Harford County community said, “The team at Jarrettsville Federal walked us through the PPP loan process when we needed help the most. Now our business is growing fast, and JFSL’s speed and expertise have kept pace with us every step of the way!”

Community banks provide personal banking services. They accept deposits, offer checking and savings accounts, as well as personal and mortgage loans. These local institutions reinvest in their communities by providing loans to businesses in the community, which promotes localized growth. In the 2019 Federal Reserve’s Small Business Credit Survey, 79% of independent businesses that used community banks reported satisfaction with their overall experience. This comes to no surprise since local banks understand the direct impact of a thriving small business.

When banking locally, your bank is able to make more loans to people within your community.  This makes up the backbone of your local economy. You support the community cash flow when you shop locally.  Regardless of the economic climate, funneling money into the local market benefits everyone in the community. You are helping create jobs and put money directly into your local economy.

Community Involvement

Local banks do not just have a significant impact on the economy.  They are involved in community development and supporting local resources that improve the well-being of the community. Supporting nonprofit organizations with volunteers, donations and sponsorships help the bank grow.  For example, Jarrettsville Federal works with valuable community organizations such as Toys for Tots, the Arc Northern Chesapeake Region, Harford Family House, Jarrettsville Lions Club, Chesapeake Therapeutic Riding, Jarrettsville Volunteer Fire Company, Anna’s House, the Harford County Chamber of Commerce and more to support the communities we serve.  Jarrettsville Federal was a headline sponsor for the Jarrettsville Lions Club ”Romancing the Chrome” car show and recently, Mary Ann Bogarty, Chief Lending Officer, was installed as this year’s Chair of the Harford County Chamber of Commerce Board of Directors.

Safe and Secure

Local banks are just as secure as any larger banks. Megabanks, community banks, and credit unions are all subject to the same federal security standards and safety protocols. All financial institutions must meet rigorous compliance standards. Local banks like Jarrettsville Federal are safe banking options as long as they are federally insured. This means that if a bank fails, money that was deposited into your account will be safe. The FDIC secures up to $250,000 in individual accounts and $500,000 in joint accounts. A bank will have a logo on the website if it is federally insured.  

Fast and Efficient

At a community bank, your financial request will likely be made, or influenced, by someone you know or have worked with. This will result in a quicker decision. You won’t have to wait for someone that you have never met to review your file and render a decision. They also offer a variety of products and services to meet any customers’ needs, such as online banking, mobile deposit, as well as personal and business loans. A community bank provides choices that are tailored to fit your needs.

Better Rates and Lower Fees

Community banks are able to offer better lending rates and lower and often fewer fees than larger banks. By keeping more money in their customers’ accounts, they are making a direct investment in their community. Local banks are able to make fee structures simple, and work to minimize your cash flow. Many local banks will also forgive or reimburse overdraft and ATM fees. Fortune reported that Millennials are opting to leave the familiarity of larger banks because they have higher fees for withdrawals and overdrafts.

Opening an account with your local bank is an investment in your community. You can count on your money to be used to strengthen your community. Banking should feel good and improve your economic outlook.

Jarrettsville Federal Savings and Loan put down roots in the community in 1869 as a strong, stable financial institution. Over the years, we have developed relationships that span generations. Our 150-year tradition of community banking helped us to grow. Today, we continue to thrive, with checking, savings and loan products that meet our customers’ needs, technology that brings us into the future, and community service that gives back to our customers.

JFSL has helped thousands of business owners achieve their dreams. We know you by name because our staff members stay with us for decades and serve generations of customers. We are involved where our customers live and work, supporting local community organizations as much as we are able, including schools, libraries, emergency services, and many local charities.

Jarrettsville Federal makes banking locally fast, easy, secure, and convenient. Visit us online at info@jarrettsvillefederal.com or stop by our warm, welcoming environment in person and say hello!