Centier Acquires First Commerce Deposits
Item
Title
Centier Acquires First Commerce Deposits
Creator
Lowell Tribune
Date
February 12, 1992
Identifier
SN.02.808
Subject
General, Michael Schrage, First Commerce Bank, Bob Buhle
Original Format
newspaper
Text
Centier Acquires First Commerce Deposits
The deposits and consumer loans of First Commerce Savings Bank in Lowell have been acquired by Centier Bank, which also has an office in Lowell. By Saturday morning, Feb. 8 less than a day after the transfer, a new Centier sign was up at the First Commerce office at 155 Mill St., which will remain open only one month before all business is transferred to the Centier office at 1914 E. Commercial Ave.
Centier Bank announced Fri. night, Feb. 7, that it is the successful bidder for the deposits of First Commerce Savings Bank in Lowell, placed into conservatorship last summer by the federal government.
On Sat., Feb. 8, with a new sign above the door, Centier officially opened the doors of the former First Commerce building as a temporary site to transact business thru Sat., Mar. 7. Thru this transition period, customers of First Commerce will be able to convert their accounts and transact financial business at the 155 Mill St. location as well as at the Centier Bank office at 1914 E. Commercial Ave. in Lowell.
Services to First Commerce's customers will continue without interruption and deposits will continue to be insured thru the Federal Deposit Insurance Corp. (FDIC). After the one-month transition period, the First Commerce office will be closed and accounts will be serviced at the Centier office.
"We've been serving the Lowell community since 1982 and this acquisition gives us the opportunity to expand our commitment to the Lowell community and south county area," commented Michael E. Schrage, President of Centier Bank. "We have a sincere interest in making this transition as convenient and easy as possible for our new customers."
Robert A. Buhle, a Centier vice president, said his bank learned in January of the government's announcement for bids on the sale of assets and liabilities on First Commerce, which has been managed since last summer by the Resolution Trust Corp., an agency established by the federal government to take over troubled banking institutions, get them back on their feet and sell them to private banking interests.
"We had a team that went in and looked at the operation and the records, and thru legal documents we prepared a bid on the loans and deposits we'd accept," said Buhle, who added that three other bidders were reportedly involved.
As a result of the transaction, Centier Bank will assume approximately $5,500,000 in deposits representing 1,600 deposit accounts, as well as certain real estate and consumer loans.
"We accepted all deposits, both insured and uninsured, and all the consumer loans those on one-to-four family residences, car loans, second mortgages and a few commercial loans," explained Buhle. The small number of other commercial loans not taken over by Centier will be repackaged and sold to another bidder by the Resolution Trust Corp., it is expected.
"We found that this was basically a consumer bank, and that's what we have acquired," added Buhle, “All of the First Commerce deposits are safe and fully insured by the FDIC. We are in the process of moving all the accounts to our computer system now," he said Saturday afternoon.
Buhle said a mailing explaining the transfer and detailing Centier services now available to former First Commerce customers would be sent out Feb. 10, and the transfer should be very smooth. "Customers will have the same account numbers and we will have extra people in the Mill St. building" to explain our services and all the procedures they need to know, stated Buhle.
Once the Mill St. building is vacated on Mar. 7, the building ownership will revert to the owner who leased it to First Commerce.
The seven First Commerce employees have met with Centier officials and will continue working at the Mill St. site until Mar. 7. "They will be going thru an evaluation process and we will treat them as new Centier employees applying to us for a position," Buhle noted. "We have about 250 employees in our organization, and with normal turnover and promotions and such, we have a couple of (job) postings a week, and they will be considered for those positions if they choose to apply."
Buhle did not say if the Centier Bank staff in Lowell would be expanded.
Established in Whiting in 1895, Centier Bank is a family-owned, independent bank with 14 offices in Lake and Porter Counties. Total assets as of Dec. 31, 1991, were $334 million, a $25-million increase over year-end 1990.
The deposits and consumer loans of First Commerce Savings Bank in Lowell have been acquired by Centier Bank, which also has an office in Lowell. By Saturday morning, Feb. 8 less than a day after the transfer, a new Centier sign was up at the First Commerce office at 155 Mill St., which will remain open only one month before all business is transferred to the Centier office at 1914 E. Commercial Ave.
Centier Bank announced Fri. night, Feb. 7, that it is the successful bidder for the deposits of First Commerce Savings Bank in Lowell, placed into conservatorship last summer by the federal government.
On Sat., Feb. 8, with a new sign above the door, Centier officially opened the doors of the former First Commerce building as a temporary site to transact business thru Sat., Mar. 7. Thru this transition period, customers of First Commerce will be able to convert their accounts and transact financial business at the 155 Mill St. location as well as at the Centier Bank office at 1914 E. Commercial Ave. in Lowell.
Services to First Commerce's customers will continue without interruption and deposits will continue to be insured thru the Federal Deposit Insurance Corp. (FDIC). After the one-month transition period, the First Commerce office will be closed and accounts will be serviced at the Centier office.
"We've been serving the Lowell community since 1982 and this acquisition gives us the opportunity to expand our commitment to the Lowell community and south county area," commented Michael E. Schrage, President of Centier Bank. "We have a sincere interest in making this transition as convenient and easy as possible for our new customers."
Robert A. Buhle, a Centier vice president, said his bank learned in January of the government's announcement for bids on the sale of assets and liabilities on First Commerce, which has been managed since last summer by the Resolution Trust Corp., an agency established by the federal government to take over troubled banking institutions, get them back on their feet and sell them to private banking interests.
"We had a team that went in and looked at the operation and the records, and thru legal documents we prepared a bid on the loans and deposits we'd accept," said Buhle, who added that three other bidders were reportedly involved.
As a result of the transaction, Centier Bank will assume approximately $5,500,000 in deposits representing 1,600 deposit accounts, as well as certain real estate and consumer loans.
"We accepted all deposits, both insured and uninsured, and all the consumer loans those on one-to-four family residences, car loans, second mortgages and a few commercial loans," explained Buhle. The small number of other commercial loans not taken over by Centier will be repackaged and sold to another bidder by the Resolution Trust Corp., it is expected.
"We found that this was basically a consumer bank, and that's what we have acquired," added Buhle, “All of the First Commerce deposits are safe and fully insured by the FDIC. We are in the process of moving all the accounts to our computer system now," he said Saturday afternoon.
Buhle said a mailing explaining the transfer and detailing Centier services now available to former First Commerce customers would be sent out Feb. 10, and the transfer should be very smooth. "Customers will have the same account numbers and we will have extra people in the Mill St. building" to explain our services and all the procedures they need to know, stated Buhle.
Once the Mill St. building is vacated on Mar. 7, the building ownership will revert to the owner who leased it to First Commerce.
The seven First Commerce employees have met with Centier officials and will continue working at the Mill St. site until Mar. 7. "They will be going thru an evaluation process and we will treat them as new Centier employees applying to us for a position," Buhle noted. "We have about 250 employees in our organization, and with normal turnover and promotions and such, we have a couple of (job) postings a week, and they will be considered for those positions if they choose to apply."
Buhle did not say if the Centier Bank staff in Lowell would be expanded.
Established in Whiting in 1895, Centier Bank is a family-owned, independent bank with 14 offices in Lake and Porter Counties. Total assets as of Dec. 31, 1991, were $334 million, a $25-million increase over year-end 1990.