Dear OCB Family & Friends:

The recent problems in our nation’s financial markets have created concern among local residents. Many wonder about the safety of their own money. As they hear about problems with huge banking corporations, they may worry whether their own local banks are safe.

Rest assured that Owen Community Bank, like most community-based financial institutions, remains safe and sound. Customers of OCB and banks like ours do not need to worry about the safety of their hard-earned money.

Many of the industry’s problems stem from the wrong kind of mortgage lending. In an effort to make short-term profits, many bankers apparently forgot some of the most basic rules of banking. They made loans to people who probably should not have received them, and then allowed Wall Street to turn those loans into exotic investment products that were not well-understood.

Mortgage loans are at the heart of community banks like OCB, but we continue to follow the rules and philosophies that have guided us for nearly a century. Before we lend money, we ensure that the borrower will be able to pay it back. While it’s true that some borrowers do default on their loans (usually because of unexpected changes in their financial situations), those defaults represent a very small percentage of the loans we make, and we set aside adequate reserves to protect ourselves.

Rest assured that we will continue to follow the prudent, conservative, common-sense banking practices that have guided our bank for nearly a century. Those practices kept us healthy through any number of other tough economic times. We have every confidence that they will serve us well during this time of uncertainty. In addition, customer deposits with OCB and other community banks are insured by the FDIC.

If you have concerns about your community bank’s health, please share them with your bank’s management team. At OCB and other community banks, our top managers are willing to sit down with everyday customers. That’s one more way we differ from the huge banking corporations that have helped to create this crisis.

Sincerely,

Kurt Rosenberger
President & CEO
Owen Community Bank