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The Importance of Community Banking

Where else can you go and get free popcorn on a Friday afternoon? Well, there might actually be a few places around town where you can do that, so let us rephrase: Where else can you get free popcorn and deposit money into your checking account? The answer is, of course, your local community bank! At NebraskaLand Bank, we’re proud to faithfully serve the longtime residents of North Platte and Kearney who often make their way in on Friday afternoons. We can’t quite put our finger on it, but there’s just something special and reassuring about swinging by your local community bank and receiving swift, courteous customer service that goes beyond your highest expectations.

Our Love For The Community at NebraskaLand

If you’ve been with NebraskaLand Bank for just about any period of time, you’ve probably noticed that we strongly identify ourselves as a community bank - but why, exactly? What’s the importance of a community bank, and why do we closely associate our banking business with the local community? Well, there are many valid reasons that answer those questions, and that will serve as the framework for today’s blog post.

Check out our event calendar and how we give back to our North Platte and Kearney communities by visiting here, and learn more about our Community Minded Checking Accounts at NebraskaLand here.

A Focus On ‘Relationship Banking’

Customer service is imperative in many different industries, and community banking is hardly an exception. It makes sense, right? Customer service is of the utmost importance to community banks because they service their local community on a daily basis. ‘Relationship banking’ takes this level of superb customer service up another notch by maintaining a touch of personalization and customization when it comes to serving various community members.

Isn’t it nice to walk into a business that you frequent and instantly be greeted by your first name? Or perhaps you visit a restaurant and they know your exact order - it’s the small things that tend to make a favorable impression on the customer over time. The inherent personal knowledge that comes with relationship banking is great for merchants who seek more of a “one-on-one” financial approach within their local area. One of the main features that community banks concentrate their efforts on is the needs of the local families and business, which makes the bank a great asset for the local small business community.

Local Economic Growth And Development

As we were mentioning about small businesses, they tend to thrive better by choosing a community bank to work with. Why? For starters, community banks provide almost one-half of small business loans, more than 40 percent of farm loans, and over one-third of commercial real estate loans across the country. Lending to nearby businesses helps nurture the local economy by increasing services and trade.

Conversely, big banks are not tied down in the specific areas they operate, and instead use the community’s deposits for investments in other regions. So, selecting a community bank may also give small businesses a certain advantage of being approved for a loan. Small businesses tend to focus this decision more on discretionary spending as opposed to focusing on credit scoring like big banks do.

Same Services At A Lower Cost

Community banks offer the type of banking services that larger banks do, including things like online bill paying, debit and credit card processing, and loans. But here’s what separates local community banks from the big players: In many cases, the fees associated with these services are exponentially lower at community banks. Indeed, some of the amenities that community banks can save costs on for local merchants and investors include better interest rates on savings, loan options, and terms on credit cards.

Again, it all connects back to relationship banking, as community banks tend to lend to small businesses because of the relationship that they’ve been able to develop with their clients over time.

Community Involvement And Commitment

Community-oriented banks tend to have more of an invested interest in their borrowers, and it actually goes beyond the relationship that they’ve been able to build over time. It’s a symbiotic relationship between community banks and their borrowers because the banks benefit when the local community prospers.

So, many local banks like the team at NebraskaLand Bank are much more involved with their local communities and provide assistance and resources that big banks just can’t offer. Ultimately, the core concern with community banks involves an intricate understanding of the needs of the local community, which serves as another reason why banks like us are such a viable (even preferred) choice for small and mid-sized businesses.

So Come On Down And Meet The NebraskaLand Team Today!

Sure, there are plenty of other reasons why community banks have their vital place in various places around the United States, but we think you get the idea. Whether you’re looking for a Community Minded Checking Account, FHA loan, a first-time home buyer mortgage loan or you just need another savings account, get in touch with the community banking professionals at NebraskaLand Bank today!

Local People. Local Decisions. Local Ownership.