WI Bank Customers Leverage Industry Strength During Pandemic

Statement on the release of second quarter 2020 FDIC numbers from Rose Oswald Poels, president/CEO of the Wisconsin Bankers Association   

• Overall lending increased (10.1%) due to huge growth in commercial loans (41.4%) driven by PPP loans. 
• Clients continue to seek safety and security by increasing their bank deposits (12.6%) 
• An increase in noncurrent loans and leases (13%) highlights the negative financial effect of COVID-19 on Wisconsin. 

Wisconsin banks offered strength and stability for their clients during the coronavirus crisis according to the latest FDIC quarterly numbers. 

Deposits soared by 12.6% compared to a year ago as customers sought the safety and security found in building their savings account during uncertain times. 

Fueled by Paycheck Protection Program loans (PPP), commercial loan growth, with a 41.4% increase, drove the overall increase in lending in Wisconsin (10.1%). Residential, farmland, and farm loans all experienced a modest decrease, ranging from 1.3% to 1.4% over the same time period.  

These trends are reflective of the overall strength and stability of Wisconsin’s banking industry as we navigate the pandemic. Businesses and families continue to leverage that strength to stabilize their quality of life. 

Banks continue to prepare for and work through issues caused by the pandemic as illustrated by the 13% increase in noncurrent loans and leases. 

While not immune to the negative economic effects of the coronavirus, Wisconsin banks continue to stand ready to serve businesses and families during these unprecedented times. 

FDIC Reported Wisconsin Numbers* 

* dollar figures in thousands