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Community Reinvestment Act Information

 

2009 “1-Outstanding” Rating

Lake-Osceola State Bank has received the highest possible Community Reinvestment Act (CRA) Rating. The CRA requires banks to be assessed based on their “record of meeting credit needs of its entire community, including low- and moderate-income neighborhoods, consistent with safe and sound operation.” Banks are rated from one to four (with one being the best). Lake-Osceola State bank has been ranked a “1-Outstanding” rating on four different occasions since 1995.

LOSB's “1-Outstanding” rating was received mainly because of their conscious efforts to lend money within their local area, their distribution of loans to different income levels and business sizes, and their leadership in providing community development investments and services.

Based on the Public Disclosure from LOSB's 2009 CRA Exam they lent 78% of their total loan dollars within their specified area of Lake County, and portions of Manistee, Mason, Mecosta, Newaygo, and Oceana Counties.   Of their Residential Real Estate Loans 47% went  to low- to moderate-income borrowers.  Of their Small Business Loans 81% went to businesses with $250,000 or less in annual sales. These distributions were a strong determining factor in their “1-Outstanding” rating.

Much of LOSB's ability to lend to these groups is the result of “innovative and/or flexible lending products”. “The level of innovative and/or flexible lending programs the bank affords customers in its assessment area is outstanding, considering the size and resources of the institution” CRA Public Disclosure dated May 18, 2009.

LOSB invested over 9,000 hours company wide to community service from 2006-2009.  They invested in local municipality tax anticipation bonds and local school district energy efficiency bonds (among others).  Qualified donations averaged $25,587 over this same time period. These activities helped to give LOSB a “1-Outstanding” rating.

One community contact in the CRA Public Disclosure was quoted as saying “the bank is considered a leader in providing community development investments and donations.”

For more information download or review any of the LOSB CRA Exam Public Disclosures below.

CRA Exam Public Disclosures

2009 CRA Public Disclosure (LOSB) (104 KB)

2003 CRA Public Disclosure (LOSB) (87 KB)

1997 CRA Public Disclosure (LOSB) (37 KB)