Community Banking Helping you SAVE! Wednesday, August 28, 2013
Introduction to Leader Bank! Founded in 2002 $650 million worth of assets 6 easily accessible branches Customized banking products Access to SUM ATM networks 11 years of unmatched customer service Always a Step Ahead due to localized, knowledgeable decision-making Strong community ties Achieving Financial Prosperity for You, Your Family, Your Business and Your Community! 1
Agenda Big Banks = Big Fees Fees, fees, and fees Will it ever be FREE? Community Banks = Savings Free, free, and free How do we do it? Debit vs. Credit Leader Bank = Savings + Rewards Zeugma Rewards Account Account Requirements and Benefits Switch Now! Q&A 2
Big Bank Fee-Frenzy Regular Checking Big Bank 1 Green Checking Big Bank 2 $160.00 $140.00 $120.00 $100.00 $80.00 $60.00 $40.00 $20.00 Your potential yearly fees $400+ per year Your potential yearly fees $160.00 $140.00 $120.00 $100.00 $80.00 $60.00 $40.00 $20.00 $350+ per year $0.00 Monthly ATM Overdraft + NSF Other $0.00 Monthly ATM Overdraft + NSF Other x 3 years x 80 gallons 3
Bigger the Size, Higher the Fees! 2,500 2,000 1,500 1,000 500 0 Big banks grow despite lost revenue? JPMorgan Chase Bank of America 2008 2012 (In Billion $) Lost revenue due to new federal regulations Chase: $600 million BoFA: $441 million However, both these banks grew significantly BoFA: 20% Chase: 7% 4
No More Free-for-All! Other avenues to recoup revenue: More Fees! Only 39% of banks offer a free checking account The avg. monthly maintenance fee rose by a record high of 25% $5000 min balance to waive fees A combined price tag avg. of $4.07 for every foreign ATM withdrawal Some insane fees charged in the name of convenience: $1.50 to get at the head of the telephone queue $6 for undeliverable statements $10 for transacting with a human teller $4 for redeeming rewards points Key Takeaway 1: Big Bank fees are here to stay. 5
Fee Free Community Banking Community bank is a banking organization with less than $1 billion in assets Locally based relationship banking Funding is from local deposits 6,201 FDIC insured community banks in US Average of $200 million in assets Two big banks are each the size of all 6,201 community banks combined! Non-community banks control 85.8% of US total bank assets! Some Community banks are still able to offer all the convenient services and products that Bigger banks are known for: Online Banking Mobile Banking Mobile Capture (Psst... We never charge you ATM fees!) 6
How Can Community Banks Do It? Fewer regulatory dependencies Business model is different Main Revenue driver is making good loans as opposed to charging banking fees Lower FDIC assessment fees Highly personalized service and transparency due to less bureaucracy Less operational costs and more efficiency Key Takeaway 2: Community Banks can offer you the Big Bank perks and never charge you a dime for it! 7
Credit vs. Big Bank Debit Credit Card Risks Frauds Impacts Credit Score Budgeting Issues Credit cash Cruncher ~18% APR ~1% Cash Back Heavy Interest Payments Debit debt Destroyer 0% APR Spend what you have Key Takeaway 3: Credit Cards are bad for you! BUT, this card is attached to Big Bank checking account! Monthly Maintenance Fees $12 Avg annual ATM Fees $24 Avg Savings Balance: $25,000 Interest on Savings: 0.10% APY With both of these products, you may lose $2,500 over 5 years! 8
Leader Bank: Best of Both Worlds! A Debit Card which has: Rewards of a Credit Card Benefits of a Debit Card A Community Bank which offers: Convenience and Services of a Big Bank Superior Customer Service of a Local Bank Zeugma: Leader Bank s Most Rewarding Product! Cash Back: 1% Monthly Maintenance Fees $0 Avg ATM Fees $0 Avg Savings Balance: $25,000 Interest on Savings: 2.05% 9
Let s Zeugma! Key Takeaway 4: After 5 Years Credit Card Relationship: $1,800 Big Banking Relationship: $715 Leader Bank Relationship: $3,800 10
Act Now to Receive a $100 Bonus! Already convinced? Switch to Leader Bank today and earn $100 bonus after opening and meeting all three requirements in the first month! Follow the below steps to start getting rewarded: 1. Go to http://www.leaderbank.com/personalbanking/zeugma.aspx to open a Zeugma Account 2. Email deposits@leaderbank.com with LB WEBINAR in the subject line after you open the account 3. Meet all three checking account requirements and watch the saving begin! Email any questions to deposits@leaderbank.com or call Jessica Shaffer at (781) 641-8620. 11