By Rose Oswald Poels
As students around the state head back to school, the importance of ensuring every individual has access to high quality financial education and resources to improve their financial literacy continues to ring true. The Wisconsin Bankers Foundation (WBF) has served since 2015 as the hub for Wisconsin bankers when looking to provide resources, including Reading Raises Interest Kits each spring, to communities across Wisconsin.
As the Foundation continues to grow, we are happy to provide small grants to Wisconsin nonprofit organizations that align with our mission of improving the financial capability of our communities.
WBF recently awarded a second $5,000 grant to Asset Builders, a Wisconsin nonprofit organization, in support of its Finance and Investment Challenge Bowl, a quiz bowl competition geared towards high school students on subjects such as personal finance, economics, business, and marketing. The program aligns with Wisconsin’s statewide learning standards and is an effective strategy to complement what students are learning in the classroom.
The Challenge Bowl serves as an exciting and interactive supplement that educators across the state year after year sign up and accompany students to participate in. As students work in small groups to prove their mastery of finance-related knowledge against their peers, they also have a unique opportunity to interact with local banking and financial services professionals, who serve as quizmasters and competition judges.
For the 2022–2023 school year, the Finance and Investment Challenge Bowl tournament now has 12 regional competitions — reaching students in every corner of the state — and concludes with the state championship in Madison in May. These in-person tournaments are lively and immersive for students and volunteers alike. As the Challenge Bowl continues to expand to reach more students, I highly encourage bankers to volunteer not only to keep this value-adding program as high quality as possible, but as an opportunity to connect the banking industry with hundreds of passionate students. This type of engagement demonstrates our industry’s involvement in these critical efforts to keep our community members financially savvy. If you or any member of your staff is interested in a fun and rewarding service experience, please contact Cassie Krause, WBF’s executive director, or me.
In addition to volunteering for one of the many Finance and Investment Challenge Bowl tournaments across Wisconsin, please also consider making a tax-deductible donation to the Wisconsin Bankers Foundation. Contributions made to the 501(c)3 nonprofit organization support financial education in communities across our state. Thank you for your continued support of not only the Foundation, but of programs such as the Finance and Investment Challenge Bowl that offer engaging educational opportunities to Wisconsinites.
By Jeff Wilke, Bank First
The 2022 inflationary pressures on a milk producer’s costs to produce milk have made the need to manage milk price risk/volatility that much more important. Two relatively economical and user-friendly milk price risk management tools available to dairy producers are the USDA’s Dairy Margin Coverage (DMC) and Dairy Revenue Protection (DRP) programs.
DMC provides dairy operations with risk management coverage that will pay producers when the difference (the margin) between the national price of milk and the average cost of feed falls below a certain level selected by the program participants. The only cost for $4.00 margin “catastrophic” coverage is a $100 administrative fee. For coverage from the $4.00 margin to $9.50 margin levels (in $.50 increments), there is also a premium payment of only $.0025 to $.15 per hundredweight of milk, respectively, on up to 95% of a producer’s recent average of historical milk production (up to a maximum of five million pounds of milk at those premium costs). Coverage for milk production over five million pounds of milk is available at the $4.50 margin to $9.50 margin levels (in $.50 increments), with premiums from $.0025 to $1.813, respectively. Sign up for the program is through the USDA’s Farm Service Agency.
DRP is designed to insure against unexpected declines in the quarterly revenue from milk sales relative to a guaranteed coverage level (“price protection”). The expected revenue is based on futures prices for milk and dairy commodities, and the amount of covered milk production elected by the dairy producer.
DRP offers two revenue pricing options: The Class Pricing Option, which uses a combination of Class III (milk primarily used for cheese production) and Class IV (milk primarily used for butter and non-fat dry milk production) milk prices as a basis for determining coverage and indemnities. The Component Pricing Option, which uses the component milk prices for butterfat, protein and other solids as a basis for determining coverage and indemnities. Under this option the producer may select the butterfat test percentage and protein test percentage to establish their insured milk price.
Through DRP, 80-95% of expected quarterly milk revenue may be covered (in 5% increments). A premium subsidy of 44-55% is provided through the program, depending on the coverage level selected. DRP insurance is available through authorized crop insurance agents.
For more information on the DMC and DRP programs, visit usda.gov.
Jeff Wilke is vice president-business and ag banker with Bank First in Denmark. Wilke currently serves on the WBA Ag Section Board of Directors.
By Rose Oswald Poels
Every fall, I travel to Washington D.C. with a small group of bankers to visit regulators. During this trip, we nearly always meet with staff from Consumer Financial Protection Bureau (CFPB).
Since CFPB’s inception, we inevitably encourage the CFPB staff during each of these annual visits to focus more on the non-bank financial organizations that operate in the traditional “banking” space. Nearly every time we have this conversation, they nod and share that they provide this type of supervision typically through a complaint-based system. This means that if enough consumers complain about a particular financial organization (not a regulated bank), they will investigate and take whatever action they deem appropriate. Certainly, this has been incredibly frustrating for bankers to hear over the years given that many non-bank actors contributed to the causes of the Great Recession back in 2008 and 2009 and CFPB’s mission is that of protecting consumers. It has been too easy for CFPB to focus on the banking industry through their rulemaking and enforcement authorities since banks are easier to find with traditional brick-and-mortar offices.
I was pleasantly surprised to learn recently, however, that the CFPB has focused some of its attention on the non-bank financial industry by assessing fines to fintech companies for actions that have ultimately harmed consumers. Specifically, CFPB recently levied a $2.7 million fine against lender Hello Digit for a range of issues including misleading marketing claims such as “no overdraft fees.” This claim of no overdraft fees was one of several promises made to consumers by Hello Digit that were, in fact, not always true. Other fintechs have made similar claims regarding no overdraft fees as well, including digital lender Chime, that have turned out to be misleading or only true in a limited set of circumstances.
At the same time, the FDIC recently issued cease and desist orders against five crypto firms for making false or misleading statements suggesting that their digital assets were FDIC-insured. According to the FDIC, each of these companies made false representations on their website and social media accounts stating or suggesting that certain crypto-related products are FDIC-insured or that stocks held in brokerage accounts are FDIC-insured. As we all know, these representations are false and misleading.
There are many fintechs that are working to do the right thing and help improve the financial industry through technological efficiencies, but some reasonable level of regulation and oversight is important for these institutions just like banks. These recent regulatory actions against non-bank financial organizations are good reminders that it is important to continue sharing our concerns with regulatory agencies related to non-bank actors and to continue to stress to our clients and the public how trustworthy banks are.
If you are interested in accompanying me on a future fall regulatory agency trip to D.C., please let me know and I will add you to the list. I try to keep the group small, limited to 12 bankers, to ensure meaningful dialogue with the regulatory agencies. Bankers who have joined me in the past have found this trip to be worthwhile given much of our frustration and burden comes from regulation. In the meantime, WBA will continue to advocate for the members on these and other issues affecting the industry.
By Rose Oswald Poels
At the heart of the Wisconsin Bankers Association’s (WBA) mission is advocating on behalf of the Wisconsin’s banking industry. In the last year alone, WBA has taken action in combating credit card fees, increasing instances of elder fraud in our communities, legislation that would expand credit union powers, a looming recession, and so much more.
It’s no secret that WBA-member banks play a significant role in the support of our Association. Between political contributions that help further engage our legislators or by participating in Capitol Day, organizing a “Take Your Legislator to Work Day”, or testifying on a bill — the engagement shown by our membership has been paramount in advancing WBA’s efforts over the last 130 years.
I am also lucky to say that, in addition to the thousands of bankers throughout the state who engage with WBA, our Association is also made up of nearly 50 individuals who, like you, are sincerely dedicated to our state’s banking industry.
Earlier this month, WBA hosted its annual staff fundraiser in support of Wisbankpac and Alliance of Bankers for Wisconsin (ABW) — two critical methods of promoting advocacy for the Wisconsin banking industry. This timely event, in which the funds raised are used to help support pro-banking political candidates, welcomed staff donations (though participation was not required) by way of a specified contribution from payroll, a check made out to one of the funds, or the purchase of one or more Jeans Day stickers for a casual dress day at the office. All money raised directly aids in WBA’s advocacy efforts.
For their generosity, and to celebrate Wisconsin’s beloved county fair season, WBA hosted a fair-themed week of events. Ranging from a blue ribbon bake off to games and a cornhole competition, every staff person was able to participate in activities and win prizes.
I am proud to announce that our small but mighty staff was collectively able to crush our goal of $7,000 and raise over $12,350 this year. This amazing feat by our team highlights the commitment each WBA staff member has to the industry and our membership.
As we look ahead to the remainder of this calendar year, it is critical that all WBA-member banks continue to engage with our Government Relations team and take part in supporting our industry. In addition to making political contributions, banks should take a moment to ensure they remain on track to receive WBA’s Gold Triangle or Bankers Involved in Grassroots and Government (BIGG) Award.
The Gold Triangle Club, the highest level of fundraising recognition for banks, is awarded annually through contributions to ABW political conduit, Wisbankpac, or WBA’s issue advocacy fund. Corporate contributions as well as contributions from bank employees and directors count toward Gold Triangle status, and the amount to qualify ranges from $500 to $4,500 based on the size of the bank.
WBA’s BIGG Award expands beyond Gold Triangle fundraising to encompass grassroots advocacy engagement and serves as the Association’s highest level of recognition for overall advocacy. To learn more about how your bank can earn these prestigious awards, please contact Lorenzo Cruz, vice president – government relations, or me.
As I’ve stated in previous publications, the support and involvement of every member bank is critical to the continued success of our advocacy efforts. With the goal of raising $300,000 by the end of this year, it truly requires a team effort to keep our Association on target to continue surpassing our goals for the industry!
Cryptocurrency is currently an unregulated, speculative investment
By Hannah Flanders
With the increasing rise in popularity of cryptocurrency throughout the U.S., it is no question that banks and regulators alike aim to understand this unique form of encrypted exchange while also helping to protect the millions of individuals who have already invested in, traded, or used digital assets.
In May, crypto investors experienced the most severe price crash the global crypto market has ever seen. As inflation rises and individuals continue to draw what money they have left out of the market, prices continue to drop each day.
Cryptocurrency is a speculative investment for both banks and individuals engaging with it, and currently, there are no specific regulations tailored to it. As the market this last year has shown, although the market experiences rapid unpredictability and growing connections to money laundering activity, consumers and business alike continue to be interested in the potential benefits of this transferable wealth.
In this, many regulators are attempting to harness the security of financial institutions that are entering into the untamed landscape. As agencies — including the Securities and Exchange Commission (SEC) and Commodity Futures Trading Commission (CFTC) — jockey to assert regulatory authority and supervision over digital assets, it is important for banks and their counsel to consider that no regulations have been established regarding bank involvement with digital assets.
In March 2022, President Joe Biden issued an Executive Order regarding the need to establish consumer/investor protection and focus on financial stability, inclusion, and preventing against illicit activity within the American crypto market. Of this came an increase in guidance issued by several national agencies.
Guidance by the Federal Deposit Insurance Corporation (FDIC) states that all FDIC-supervised institutions that intend to engage in, or that are currently engaged in, any activities involving or related to digital assets should notify the FDIC. This action aims to provide supervisory feedback in the wake of activities that pose significant safety and soundness risks as well as financial stability concerns to banks. Additionally, the Office of the Comptroller of the Currency (OCC) advises that banks should not engage in cryptocurrency until they have notified their supervisory office and received a non-objection form.
The Financial Crimes Enforcement Network (FinCEN) has also issued several advisories to banks regarding illicit activity involving cryptocurrency. Banks should demonstrate compliance with their anti-money laundering (AML) programs and be aware of the prevalence of unregistered entities without sufficient AML controls. As with every new relationship, banks are advised to also consider the Bank Secrecy Act of 1970 (BSA) when engaging with digital assets.
In addition to guidance from federal agencies, banks should also be aware that state agencies and legislators may also begin acting on Biden’s order. In this, more proposed legislation to encourage innovation in the financial sector while also enforcing consumer protections may begin appearing at both the state and federal levels.
Currently, only one legislative act has been proposed at the federal level by U.S. Senators Kirsten Gillibrand (D-N.Y.) and Cynthia Lummis (R-Wyo.). If enacted, the Responsible Financial Innovation Act (RFI) would establish regulatory framework for digital assets by providing industry and regulator clarity, clarifying standards, establishing jurisdictional boundaries, and protecting consumers.
At the state level, Wisconsin’s Department of Financial Institutions (DFI) and Department of Agriculture, Trade, and Consumer Protection (DATCP) have cautioned Wisconsin banks and consumers of the risks of crypto. While no legislation has yet to be proposed or passed, Wisconsin bankers should expect that — like many other states — state regulation may be forthcoming.
For questions on legal developments or regulations related to crypto or other compliance matters, please reach out to WBA legal at 608-441-1200.
*Update from originally published article: On Tuesday, August 16, guidance was issued for Federal Reserve System (FRB)-supervised banking organizations engaged in or seeking to engage in crypto-asset-related activities. The guidance includes the instruction that a banking organization need notify its lead FRB supervisory point of contact regarding such activities.
PremierBank’s Bilingual Initiatives Committee helps bank serve Hispanic community
By Kathleen Rolfs
Between 2000 and 2015, the Hispanic population in Wisconsin doubled in size with an increase of 95%, according to a demographic summary conducted by the Wisconsin Department of Health Services. This was the most rapid population increase of any of Wisconsin’s various racial groups (White, Black/African American, American Indian, and Hispanic).
During this span of time, Wisconsin’s overall population increased by roughly 400,000 residents, with Hispanics making up 46% of this increase. With Hispanics being the fastest growing minority population in Wisconsin, it is important that community banks thoughtfully consider how they are best meeting the financial needs of this influential consumer base.
Although individual desires and product requirements are as diverse for the Hispanic community as any other demographic, one way that PremierBank is successfully serving our Hispanic friends and neighbors is through our unique Bilingual Initiatives Committee. This group is comprised of several bilingual bankers along with marketing and retail banking officers. The goals of the committee include identifying opportunities that exist within our communities for strategic community partnerships, and collaborative education within our organization to ensure all our bankers are equipped to understand and anticipate the needs of the rapidly growing, ethnically diverse Hispanic community.
Bilingual Bankers Share Their Heritage
At a minimum, having bankers on staff who speak the same native language of those who live and work in our communities is one of the most obvious ways that we can reduce or eliminate language barriers with our Hispanic customers and successfully deliver the most appropriate financial solutions to them.
Guided by our Bilingual Initiatives Committee, our bilingual bankers help provide education within our organization about the Hispanic community. Peer-to-peer learning is a powerful tool that helps break through biases and promulgates understanding. As such, we have found that giving our bilingual bankers many opportunities throughout the year to share their heritage with their colleagues encourages a much deeper understanding of our local Hispanic population, while simultaneously building community within our own organization.
During last year’s Hispanic Heritage month, PremierBank treated all employees to traditional pan dulce or “sweet bread” served fresh from a local Mexican baker. These were personally delivered by members who serve on the Bilingual Initiative Committee, some of whom were dressed in traditional Mexican apparel, with an explanation of the history of these tasty treats! Inexpensive activities encourage understanding and respect among a diverse workforce, while providing education about this important segment of banking prospects and customers.
Bilingual Banking Community Outreach
Whether through financial contributions, sponsoring a resource fair that targets the Hispanic community, or creating our own event that caters to the Hispanic community, PremierBank’s Bilingual Initiative Committee is intentional in the quest to find new events to support within our footprint area.
In September 2022, a “Hispanic Heritage Celebration” is being planned at one of our banking locations complete with food trucks, traditional Central and South American dancers, and a lively mariachi band. After working with the local convention and visitor’s bureau and receiving advice from the city parks and recreation department, our Bilingual Initiatives Committee has found enthusiastic community support in our efforts to plan this upcoming community event that will celebrate Hispanic customs, cuisine, and heritage.
Building Long-Term Relationships
As marketers, we know that the Hispanic segment is an incredibly valuable consumer group. With an annual purchasing power of over $1.5 trillion, this powerhouse community is more likely to start a new business than any other demographic and it accounts for a larger percentage of home purchases than ever before, according to an article published by Forbes. However, we cannot simply make token efforts to attract their business.
To reach this audience, cater to their actual needs, and stand out from our competitors, banks need to establish an authentic connection in an honest and respectful way. Our Bilingual Initiatives Committee is making a difference at PremierBank by helping us to build authentic, meaningful relationships both inside and outside of our bank. Because of this, the business relationships we have formed with our Hispanic customers and community partners are based on understanding and respect and will endure long into the future.
Rolfs, vice president – director of marketing at PremierBank in Fort Atkinson, is a member of the 2022–2023 WBA Marketing Committee.
Workers return in droves to businesses across the U.S.
By Hannah Flanders
Across the U.S., employers are seeing workers return following a mass reshuffle in employment. Beginning in 2021, the year following the initial shock of the COVID-19 pandemic, millions of employees began seeking new opportunities with different companies or shifting entirely to different industries. However, as competition continues to grow and COVID precautions subside, many are beginning to return to their previous employers.
COVID Gives Way to New Opportunities
The Great Resignation, spurred by aspects of the pandemic, gave individuals a push to reconsider their employment. The combination of COVID stimulus checks, early retirement, lack of childcare, and reluctance to return to the office caused many — over 47 million, according to the U.S. Bureau of Labor Statistics — to voluntarily quit their jobs in 2021.
While many of these individuals — 53%, according to Pew Research Center — did not completely exit the workforce, workers seeking higher pay orgreater benefits — including remote options — were presented with a greater opportunity to find a new employer.
Not What They Expected
The beginning of 2022 marked a new wave for employees — the Great Regret — or the reversal of the Great Resignation. Some in client-facing, technology, and consumer industries quickly realized that new roles or companies may not have been the best fit. With increasing turnover, onboarding within many companies became less personal and individuals were often not allotted enough time to get comfortable in their new environment. In addition, remote work offered fewer social interactions and work-life balance sometimes took a backseat.
Seventy-two percent of employees surveyed by Muse in early 2022 stated that they had experienced surprise or regret in connection to what a new job opportunity led them to believe. Of the 2,500 individuals surveyed, 80% stated that it would be acceptable to leave a new job before six months if it didn’t meet initial expectations.
Additionally, as widespread access to COVID-19 vaccination continues, businesses and schools across America have re-opened their doors and many individuals are reconsidering their desire for fully remote work. A survey conducted by PwC reported that around 83% of employees have already returned to the office at least two days of the week.
Boomerang Employees
Each year, the number of boomerang employees — or those who return to a previous employer — continues to rise. In 2021, according to data presented by LinkedIn, 4.3% of all new hires were previous employees whereas 10 years prior, these individuals only represented around 2% of new hires.
Rehiring former employees is strategic for both the employer and the employee, but it’s important to consider why they departed initially. While the business regains knowledgeable talents who may not need extensive onboarding, the employee often returns with a higher salary or new position (given their gained experience during their departure and increased negotiating power) and is familiar with the workplace culture.
According to Glassdoor, recruiting former employees could save organizations up to $20,000 per hire. While of course not every former employee may be the perfect fit for the position, considering boomerang employees could tap Wisconsin businesses into “new” candidates that have the ability to fill important positions and reduce costs in today’s competitive job market.
Returning to the Workforce
As pandemic precautions subside and employees rethink previous career changes, many individuals are returning to their previous employers. According to a study conducted by Joblist, more than one in four people who quit their previous job regret their decision.
Although boomerang employees remain a small but growing percentage of new hires each year, the Great Regret has shown the return of many individuals who had previously left the workforce due to the pandemic, including those lacking childcare or entering early retirement.
Be it to combat rising inflation or to explore new opportunities outside of the home, 2022 has shown millions of individuals returning to work. Just this year, unemployment rates in Wisconsin hit record lows thanks to more individuals feeling comfortable with returning to the office, parents sending their children back to in-person classes, and previously retired Americans rejoining the workforce in droves.
Whether it be considering “boomerang employees” or welcoming back those who exited the workforce as a result of the pandemic, businesses throughout the state are seeing more opportunities to regain workers lost to the Great Resignation and benefit from the growing talent pool.
By Rose Oswald Poels
As we emerge from the pandemic and face historic levels of inflation, people across Wisconsin are experiencing high levels of financial stress and burnout, which is impacting various aspects of their lives and our economy in general. The Wisconsin Department of Financial Institutions (DFI) and the Governor’s Council on Financial Literacy and Capability, on which I serve as a member, have partnered with the Financial Fitness Group to help improve the financial well-being of people who live and work in our state. The program is an expansion of a prior collaboration between DFI and the Wisconsin Department of Employee Trust Funds, which helped educate over 12,000 state employees over the last year.
ELEVATE Wisconsin is an effective and unbiased financial wellness program designed to enhance the lives of Wisconsin employees and their families while generating positive exposure for businesses.
The cost of financial stress impacts more than an individual’s bank account. Economic challenges affect employees’ health, workplace effectiveness and productivity, long-term financial stability, and ultimately an employer’s bottom line. A few key facts:
- 68% of the retiring workforce worry about having enough money to retire.
- 67% of Americans lack the knowledge to make sound financial decisions.
- 64% of the American workforce is living paycheck-to-paycheck. When economic downturns happen, it causes even more stress on them.
- 33% of Americans have minimal to no retirement savings.
Why is ELEVATE Wisconsin Important?
Financial education can positively enhance the lives of Wisconsin employees through financial wellness and improve their financial security while fostering financial confidence.
ELEVATE Wisconsin represents truly unbiased, FINRA-compliant financial education that has been proven to be effective and measurable. ELEVATE Wisconsin focuses on improving the financial aptitude, behaviors, and confidence of Wisconsinites and their families.
What is ELEVATE Wisconsin?
ELEVATE Wisconsin is an online wellness program providing interactive, effective, and unbiased instruction in personal finance and investing fundamentals to Wisconsin employees.
DFI is a key sponsor of the program and has worked with the Financial Fitness Group to help develop the program. The Financial Fitness group is an industry leader, having already provided financial education to over 2 million users at more than 1,000 major U.S. organizations. Financial Fitness Group’s financial fitness solutions can assess, score, and educate consumers at a quarter of the cost of conventional methods.
ELEVATE Wisconsin Financial Education Includes:
- A personalized financial wellness platform where participants can access tutorials, interactive calculators, videos, and more!
- Pre- and post-lesson quizzes to determine knowledge change and measure program effectiveness.
- Certificates, points, and badges to motivate users to keep on learning.
- Access to the Financial Fitness SCORE™, a Financial Fitness Checkup that allows users to benchmark their overall financial health — aptitude, behavior, and confidence.
- 24/7 online access from any device — smartphone, tablet, or computer.
- A reporting dashboard where administrators can access real-time data on overall organizational metrics, user progress, financial assessments, learning data, and most popular courses.
What Role Can Banks Play?
As employers are trusted partners in financial education, this program is designed to be delivered through the workplace. Banks can join as program sponsors, offering the program to their business customers (for example, small businesses or nonprofit organizations that would like to make the program available to their employees) as well as to the bank’s own employees. The online platform will be co-branded for the sponsor and the business, so users (employees) see the bank’s logo as well as their employer’s.
We look forward to getting the word out on this important financial wellness program that aims to empower more than 100,000 employees and engage over 500 employers throughout Wisconsin by 2025.
The following is a brief interview between WBA President and CEO Rose Oswald Poels and Spring Bank, Brookfield CEO David Schuelke.
Rose: How did you first get into the banking industry?
David: I was born into a banking family. Even though my father, Don Schuelke, was a banker, he didn’t encourage me to pursue a banking career and it wasn’t an original career goal for me. I graduated college with an accounting degree intending to enter public accounting. However, I accepted a good offer from First Wisconsin Bank to start my professional career. At First Wisconsin, I joined an outstanding culture and a talented team of professionals. Those colleagues and that culture led me to want to remain in the banking field.
What is your favorite aspect of your role at your bank?
The most rewarding aspect for me is helping businesses. I’ve always been intrigued and fascinated by different businesses — how they operate, how similar businesses do things differently but all reach success in their own way. It’s also meeting people and the variety. But nothing is better than somebody telling you that you came up with an idea that helped them improve their business.
I also enjoy watching my colleagues advance in their careers and sharing news of our strong financial results with my fellow shareholders. I’m very proud to have played a key role in developing a successful bank — from raising the capital to open to forming a team that executes our business plan of being a locally owned, locally operated bank focused on providing the personal attention our customers deserve.
What do you wish the general public understood about the banking industry?
I wish the public had a better understanding of how banks operate within very narrow interest rate margins and about the costs to maintain the infrastructure needed to deliver high quality service and products. This lack of understanding leads a few clients to expect bank services to be delivered at little or no cost.
Where do you believe the industry’s greatest challenges are in the next three to five years?
Our industry’s greatest challenges include changing technology, a sometimes-oppressive regulatory environment, and potential economic challenges.
Technology will continue to evolve rapidly. Figuring out how to adopt new or changing technologies is a constant challenge. The cost to keep up with regulatory pressures has easily doubled, and possibly tripled or more, since we opened Spring Bank in 2008. Managing these increasing costs and requirements is a big challenge.
Lastly, current levels of inflation, supply chain disruptions, and a shortage of workers have resulted in expectations of a recession after many years of economic growth. When the next recession arrives, banks will need to focus on credit quality and work to resolve problem loan situations that arise. Fortunately, the banking industry is better capitalized today than it was at the start of the last recession.
Every day, bankers serve their local communities by helping their customers achieve their financial dreams. Please describe your current role at your bank and share with us one of your more rewarding experiences.
With regard to community involvement, one of the most impactful days of my life was joining a group of over 100 World War II veterans on a trip to Washington D.C. to view the WWII Memorial as part of the Stars & Stripes Honor Flight program. Spring Bank has supported this effort for many years as part of our pride and appreciation for our nation’s veterans. Speaking with many heroes that day, watching them interact with their peers, and experiencing the welcome home celebration at the end of the day is a memory I will never forget.