Why Banking Local is Better for Your Business and Community
With the amount of attention big banks get, the average person may not realize how many alternatives are available in the world of local banking. As of 2011, 95% of U.S. banks were local. It is not hard to understand why so many people rely on community banks for their families and businesses. These small institutions offer a range of perks that large banks simply cannot provide. Before you head out to open a checking account or get a loan from one of the big names, consider these advantages of local banks:
Community banks serve the people in their area first and foremost. The top priority is to help families and entrepreneurs succeed. Bank leaders want to create jobs, sustain businesses and help homeowners in their area. They often provide financial education and participate in community events. Not only does this foster positive relationships between the bank and community members, it also encourages the bank to contribute directly to the local economy.
Just like a family-owned business, the team at a community bank truly has the chance to get to know you. Even high-level bank officers are generally permanent area residents and will relate to you as both a client and a neighbor. That kind of personal service lets you know the bank truly cares about your well-being and will work with you even when times get tough.
Small Business Support
Community banks recognize that entrepreneurship is the backbone of the American economy. They are dedicated to local business and are likely to provide loans and services at reasonable rates to fledgling businesses. The results of supporting these ventures are no joke: between 1993 and 2013, 63% of all new jobs were created by small businesses.
Whether on the phone with a large bank or while on hold with a large retailer, you have probably felt the frustration of sluggish service at some point. Community banks benefit from their small size in this regard. As they may operate from just a few locations, you are likely to find on-site bank officials who can make decisions quickly. That means less red tape and shorter wait times.
Whether you are starting a business or simply looking for a reliable institution for your family, banking local is the way to go. There is no way big banks can compete with the genuine interest in your success that local banks provide. With the boost local banks provide to your area’s economic activity, you will be glad you chose to put your community first.