Questions regarding bank acquisitions
While we are still in the preliminary stages of acquiring Community Bank & Trust of Florida and the Florida assets of First American Bank of Iowa, we are still working out many of the details. Below we have included some information that you may find helpful.
Why did MIDFLORIDA elect to conduct two bank mergers at once?
While being announced simultaneously, both mergers won’t technically happen at the same time. First American Bank of Iowa should close in November 2019. Community Bank & Trust of Florida will not close until later in 2019 and won’t become part of the credit union day-to-day operations until first quarter 2020.
When can customers of First American Bank of Iowa and Community Bank & Trust of Florida begin using MIDFLORIDA branches for service?
Since each institution will have its own merger timeline, it’s difficult to confirm a date when existing customers of each bank can begin using MIDFLORIDA branches for service. However, if all approvals and closings proceed as anticipated, the First American Bank of Iowa branches will fall under MIDFLORIDA’s systems in November 2019. Following that, bank customers that are part of this acquisition can begin using existing MIDFLORIDA branches for service. Community Bank and Trust of Florida will likely be in the first quarter of 2020.
Customers will receive correspondence during the merger process that will outline details more clearly as the mergers progress.
When can members of MIDFLORIDA begin using branches of First American Bank and Community Bank & Trust for services?
Since each institution will have its own merger timeline, it’s difficult to confirm a date when MIDFLORIDA members can begin using these branches of these two banks for services. However, if all approvals and closings proceed as anticipated, the First American Bank of Iowa branches will fall under MIDFLORIDA’s systems in November 2019. After that, MIDFLORIDA members would be able to utilize these branches for service. Community Bank and Trust of Florida will likely be in the first quarter of 2020.
Why were these two banks selected for merger?
First American Bank of Iowa and Community Bank & Trust of Florida were selected for several reasons. First, the culture of these financial institutions mirror MIDFLORIDA’s commitment to customer service and customer needs. Second, the banks’ markets are adjacent to MIDFLORIDA’s current service area and offer a natural expansion pattern for the credit union. Last, both banks’ financial structures complement MIDFLORIDA’s and will result in an even stronger financial institution.
How do these mergers benefit MIDFLORIDA members?
Once the mergers are finalized, MIDFLORIDA members will have access to a branch network of more than 60 branches throughout Central Florida.
How will this affect First American Bank and Community Bank & Trust customers?
First American Bank customers and Community Bank & Trust customers will continue to bank as normal for now. MIDFLORIDA is committed to providing excellent customer service, and will communicate regularly to keep customers informed. As we move forward with the merger process, customers will receive correspondence that will outline details more clearly to make the transition as smooth as possible.
Banks are different than credit unions in a lot of ways; how will the bank customers adapt to a credit union like MIDFLORIDA?
MIDFLORIDA has prided itself on serving its communities in a similar capacity to a local bank with excellent customer service, quick local lending decisions and community involvement. Additionally, MIDFLORIDA’s suite of products and services has always rivaled that of any bank and in the case of these mergers, may afford customers of each bank access to products previously unavailable to them.
How are funds insured with a credit union?
All credit union deposits are insured by NCUA (National Credit Union Administration), a government backed entity similar to FDIC (Federal Deposit Insurance Corporation). Both programs offer insurance coverage up to $250,000 per depositor.
Will MIDFLORIDA retain all employees and branches for both acquisitions?
MIDFLORIDA will retain all of the branches and branch staff of both banks.
When will First American Bank and/or Community Bank & Trust offer extended drive thru hours and Saturday hours?
While there is an intent to bring MIDFLORIDA’s brand of convenience to these markets, no timeline can be set until the merger has met all regulatory requirements and approvals as well as customary closing conditions.
What services does MIDFLORIDA offer?
MIDFLORIDA offers most products and services you’d find at a community bank: savings, checking, debit cards, credit cards, consumer loans, first and second mortgages as well as a host of commercial banking and lending products.
Why would MIDFLORIDA merge with banks and expand so far north and south of its existing service area?
Members continually ask for access to the branch network throughout Central Florida. This represents a natural expansion plan but offers it at a more accelerated rate. In fact, currently, we have members that live in these areas that bank with us but have no access to a nearby branch.