Most people tend to have a general distrust of banks. We see them as a necessary evil that you need to use, but most people assume that they don’t have your best interests at heart. They are just big companies that are looking to make as much money for themselves as possible. In some cases, that might be true, but there are still plenty of banks out there that are invested in your success.
Community banking is making a comeback and more people are opting to work with smaller banks. There are a lot of reasons for this but ultimately, it means you get better service and you are more likely to meet your financial goals. Putting your money into a community bank also helps to encourage growth in the local area. These are some of the reasons why you should consider moving your money into a community bank.
Community banks are focused on building close relationships with their customers, and this benefits you in a number of ways. Firstly, it means that you can get much better advice that is tailored to your personal situation. If you are useless at saving up money and you need help, your bank can provide extra support and advice. As a result, you will find yourself in a much stronger financial position. This close relationship is also very useful when you have a problem because you can easily meet with somebody in person instead of trying to phone up and being left on hold for ages.
As you’d expect, community banks are invested in the success of the local community. There are some great organizations like Evolve Bank & Trust that put a lot of their profits into outreach and development initiatives, community sponsorships, and local events. So, even though they are profiting from their customers, that money goes into helping improve the area where you live, rather than big bonuses for the board of directors. The more customers that community banks have, the more positive changes they can make to the local area.
The way that they invest your money is different too. When you deposit money in a big bank, this is usually gambled on speculative investments like stocks and shares. Maximizing profits is the main priority, but that isn’t the case with community banks. They tend to invest your money in loans to small businesses in the surrounding area instead.
One reason that people avoid community banks is that they assume you won’t get the same products and services as you would with a big bank. That simply isn’t true and you will still get access to things like online banking, debit and credit cards, business loans, and mortgages. In many cases, these financial products are available at a lower price, so it’s actually better to go with a community bank over a big one.
If you want to make your money go further and get a much better service, you should consider switching to a community bank.