Your deposits are covered by the Federal Deposit Insurance Corporation (FDIC). The FDIC provides resources to determine how much insurance you have and how to increase your coverage. You can visit their website directly at www.FDIC.gov. We also have the ability to triple your coverage by opening accounts at our sister banks, Anson Bank & Trust or Cabarrus Bank & Trust.
The media is highlighting the closing of Indymac Bank in California and continues to talk about the number of potential bank failures that may occur over the next 12-24 months. The 80-some banks (which is less than 2% of the total banks in the U.S.) they continue to reference come from the FDIC watch list. A majority of these banks, much like Indymac Bank, focus on a single product line or have a number of loans that are considered to be of higher risk, or sub-prime.
Our bank has not participated in sub-prime lending programs or exotic mortgage loan structures like “pick-a-payment”; the type of programs that are being closely scrutinized and are receiving the blame for the credit crisis. The investments we make in loans are to residents and businesses in Stanly County and surrounding counties whose home values have held relative to the rest of the country.
Bank of Stanly is strong! We maintain capital levels above what regulators consider well-capitalized. Also, we have outperformed the banking industry in general over the past couple of years.
