ABA Banking Journal - November 2008 - (Page 93)

100 years were printed with both English and German text, reflecting the area’s predominant ethnic mix of the day. During the Great Depression rising foreclosures caused the organization to form Elm Realty Co., to hold and rent foreclosed properties. In 1935 it applied to join the new Federal Home Loan Bank System, and to convert to an insured federal saving and loan association. The federal charter was issued in 1936. (The institution maintained its mutual ownership structure, a feature kept to this day.) The re-chartering led to a significant change, as recounted in the history book: “Federal Home Loan Bank regulations required the Association maintain daily business hours. Until this time, the Association had operated in a most unassuming manner at the Seward General Merchandise store, accepting deposits on Tuesday evenings.” The association purchased an office building in Overlea, Md. This was a significant move, because it put the association on what became U.S. 1, a significant development in the pre-Interstate age. Before long, Overlea became the thrift’s headquarters. Rosedale Federal weathered other storms, including the Maryland S&L crisis of the 1980s. Even now, Rosedale Federal is doing well. Today’s President and CEO, Thomas S. Wintz, Sr., credits this to continuous conservatism, sticking to ordinary fixed-rate mortgages. Rosedale portfolios the loans it makes. And with a multi-year expansion of the military’s nearby Aberdeen Proving Ground anticipated, Wintz is optimistic. With humble beginnings and conservative, yet customer-friendly practices, Rosedale has made it through many a rough patch of history. Cooking up the next hundred years at Indiana’s New Washington N ew Washington State Bank has made it through many, many rough times. But the bank, founded in 1908, actually had to close its doors briefly in 1928. The reason? A really, really strange law. As the bank recounts in a recent publication: “An archaic law of the 1920’s required that banks liquidate all their assets and close every 20 years. On March 2, 1928, the bank opened under a new charter, and ‘The’ was added to the name. Since that time, it has remained The New Washington State Bank.” The bank’s continuing good health is a source of pride and confidence for the independent bank. The $216.4 million-assets bank took the occasion of the conservatorship of IndyMac Bank to post a special notice on its website. In part, it read: “The New Washington State Bank is safe and sound. We are an entirely different institution than IndyMac. While we are a community-based, traditional lender, IndyMac was a West Coast-based, nationwide originator of nontraditional loans, including subprime mortgages. Some of those loans do not even require 100 recipes from 100 employees after 100 years is New Washington’s recipe for celebration proof or verification of income, which ultimately is not in the best interest of consumers. “By contrast, the New Washington State Bank is committed to making sound traditional loans that serve our customers well…” Signing that letter was Patrick J. Glotzbach, president of the bank since 2001. Glotzbach promises an “open door” policy, and he means it. “Anybody can come see me, without an appointment,” says Glotzbach, who is a member of the Administrative Committee of the America’s Community Bankers Council of ABA. Easy access to bankers is part of the New Washington “recipe” for community banking. Fittingly, the bank decided to mark its anniversary with a special cookbook: 100 Recipes You Can Bank On. The book, which the bank is selling to raise money for charity, includes recipes from employees, directors, and officers, including Glotzbach. He and his wife, Miriam, provide the details of a family favorite, broccoli casserole. Betty Carver, an attorney and board chair, provided a recipe for the aptly named Earthquake Cake: “The cake looks fine right out of the oven, but 20 minutes later it starts to cavein and crack. That’s why it’s called Earthquake Cake!” BJ ABA BANKING JOURNAL/NOVEMBER 2008 93 Subscribe at www.ababj.com https://www.newwashbank.com http://www.ababj.com

Table of Contents Feed for the Digital Edition of ABA Banking Journal - November 2008

ABA Banking Journal - November 2008 Contents Editor's Column Banking 2.0: Credit, Banking's Essence, Set for Rethinking Snapshot: The Few, the Proud, the Banks that Can Raise Capital Will Strong and Simple Banks Inherit the Business? Back to the Future ABA Resources ABA Chairman's Position Farm Lenders Must Take Care When Lending in Indian Country Pass the Aspirin Into the Breach Adventures Across A Century What the Future Holds, Post Crisis Paul Volcker: A Financial Legend Still Speaks Strong Ed Yingling: Weathering the Storm Dick Kovacevich: "Boring" Banking to Dynamic Financial Services Jim Culberson: Community Banking: What has Changed and What Shouldn't Walter Shipley: How a Chemical Reaction Helped to Mold Today's JPMorgan Chase William Isaac: Challenges and Opportunities Ahead for Banks A Hundred Years from Our Pages Eight Tech Innovations that Brought Banks into 21st Century Bank Cherokee: Third Generaton Marks 100th Year The First National Bank of Altavista: Railroad Gave Birth to a Town, a Hope Chest, and a Bank Rosedales Federal Savings and Loan Association: How a Friendly Game of Cards Turned into a 100-Year Mutual New Washington State Bank: Cooking Up the Next 100 Years Mailbox Banker's Mart To Advertise/Index of Advertisers The Economy

ABA Banking Journal - November 2008

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