FDIC-Insured - Backed by the full faith and credit of the U.S. Government
REGULATION BB
SEPTEMBER 30, 1996
It will be the goal of the Commercial Bank to provide credit for the legitimate needs of our local community, thereby aiding in the economic development of the area.
Our local community shall be defined as the greater Nuckolls, Clay and Thayer Counties
The Board of Directors expects that loan applications will be evaluated on their own merits and not on the basis of race, color, national origin, religion, sex, handicap or familial status. It is our policy to be in full compliance with all state and federal regulations governing commercial banking. We continually strive to adjust our procedures to remain in compliance with them. Any loan meeting these legal requirements may be approved by the senior lending officer. We will strive to meet the credit needs of the entire community, including our low and moderate income customers. Their need for credit will include, but not be limited to, home loans, home improvement, small business development and low cost checking services.
Of paramount importance when considering any loan request is the borrower’s integrity, his financial capacity, and his repayment ability. The purpose of the loan as well as the primary and secondary sources of repayment shall be determined. Only when these are favorable can a loan request be given full consideration. We realize that there will be times when conditions exist that will cause us to extend credits that are exceptions to our loan policies.
Loans of the following types are considered desirable provided each borrower is credit worthy:
- Loans to business concerns on a short term basis, for seasonal needs and other short term operating purposes with satisfactory financial statements or security.
- Loans to business concerns and individuals on a seasonal basis.
- Loans to companies secured with a pledge of accounts receivables or inventory or both.
- Loans collaterally secured by negotiable United States Government securities.
- Loans secured by marketable securities.
- Loans against the cash surrender value of Life Insurance; and such loans shall not exceed the cash surrender value less one years premium.
- Loans secured by the assignment of savings accounts passbooks or certificates of deposit issued by federally insured banks and savings institutions.
- Personal, automobile and home improvement installment loans.
- Commodity loans secured by warehouse receipts in bonded warehouses or by field warehouse receipts.
- Loans to agricultural enterprises including loans secured by livestock and FHA subordinated loans.
- Secured or unsecured personal loans to persons of good character with an assured income and satisfactory credit history.
- Participation Loans approved by senior loan officers, provided that the purchased loan meets all of the requirements set for our direct loans.
- Interim construction loans with firm take-out commitments with written notices from institution spelling our amount and date of expiration.
- Commercial loans guaranteed by the Small Business Administration and Farmers Home Administration.
- Sale of federal funds to regional and money center banks with acceptable credit ratings.
- Real Estate Loans which, in most cases, will not exceed ten years. Included are farm, commercial, and residential Loans.
The Board of Directors, Officers, and Employees are active in many civic organizations and we feel we are well aware of the needs of our community.
The Board of Directors is pleased with the growth of the Commercial Bank since present management took over in l968. An examination of our loans and investments in each category will show the community has been well served. We will be glad to discuss the needs of the community with anyone or any group.
The Board is happy to show to the public figures that represent our record in serving the community. This could not have been accomplished without being aware of and serving the needs as they arise.
The Board of Directors shall annually appoint the Cashier to be the Community Reinvestment Act Officer.
Revised & Board Approved: March 27, 2020