Town North Bank is a national banking association headquartered in Dallas, Texas with assets of approximately $700 million.
Town North Bank was founded in 1972 and is a relationship-based community bank primarily serving
the banking needs of small to medium-sized businesses and their owners in the Dallas and Farmers Branch/Carrollton, Texas market. We also operate a mortgage warehouse lending business.
We are owned by 38 Texas state-chartered credit unions.
The Bank's core banking business is based in Dallas, Texas.
Through the Bank, we engage in traditional community banking operations
primarily focused on serving the needs of small to medium-sized businesses,
offering a range of lending and deposit services to these businesses and their
owners. The Bank's lending initiatives are primarily secured by owner-occupied
commercial buildings, single and multi-family real estate and commercial and
residential construction. The Bank is funded by both core deposits gathered
from clients as well as brokered deposits and other wholesale borrowings. The
Bank offers a wide range of deposit services, including checking, savings, money
market accounts and certificates of deposit, and obtains most of its core deposits
from individuals and businesses in its market area. The Bank also provides electronic
banking services, such as Internet banking, online bill payment, cash management,
ACH originations, and remote deposit capture. We actively pursue business relationships
by utilizing the business contacts of our senior management and local bankers, thereby
capitalizing on our long-standing history in and knowledge of the local marketplace.
The Bank's mortgage warehouse business unit was established in
2004 in an effort to diversify our traditional banking structure
and extend customer relationships beyond the North Texas area.
Products and Services
Through the Bank, we offer a variety of traditional commercial banking
products and services. Our qualified personnel and personalized, technology-based
delivery systems enable us to provide clients with access to an array of sophisticated
financial products. As a result, our sales process is driven by the individual needs of our
We offer commercial customers a variety of products including general
lending, investment and proprietary solutions. The Bank makes a variety
of loans to businesses in the commercial real estate, investment property,
working capital, equipment, expansion, and professional and executive lending
areas. We also offer in-house business management solutions such as TNB Treasury
Management, TNB Digital Lockbox and TNB Remote Deposit. Other services include
business lines of credit, and debit and credit cards. In addition, we maintain a mortgage
warehouse operation pursuant to which we purchase mortgages from approved brokers and sell
them to approved investors.
Our current commercial lending strategy aims to build franchise value and leverage
our existing relationships through loan production focused on strong equity, cash
flow, and deposit relationships. Historically, we have put an emphasis on relationships
generated in the Dallas, Texas market.
We primarily target small to medium-sized businesses and their
owners. We offer loan and deposit products that are geared primarily
to meet the needs of these customers.
The Bank's personal banking services include an array of depository and
lending products. Loans are concentrated in the residential construction, home
improvement, vehicle and personal loan areas. Transaction, savings and investment
accounts, which are all accessible through online banking, are also available. Other
resources include safe deposit boxes, automated banking services and drive-in telling.
We target small to medium-sized businesses and their owners in our
markets and have developed a relationship-based approach that focuses on
providing traditional community-banking services through superior customer
service. Through this strategy, we intend to conservatively grow our business, expand
our customer base and deepen relationships, and improve profitability. The key elements
of our operating strategy are as follows:
Emphasize traditional community banking model. We intend to operate the Bank with
a central focus on providing superior customer service with an emphasis on building
local relationships. We believe that the businesses, credit unions and individuals
in our target markets currently lack banking relationships that provide them with
the flexibility and innovative financial solutions necessary to retain and enhance
such relationships. We focus on providing customers with sound, creative and timely
responses to requests for credit, using our resources to maintain an efficient localized
decision-making process. Our strategy is to provide a culture in which customers are
provided individualized service while at the same time utilizing technology and capital
to provide products comparable to those offered by our larger competitors.
Capitalize on current market conditions. Many participants in the
banking industry have restricted their lending due to asset quality and capital
constraints brought on by current market conditions. We believe that we can take
advantage of this void in lending. We continue to see increased opportunities to
expand our lending activities due to competitive dynamics, specifically through
the lack of competition from regional banks that are internally focused. In addition
to organic loan growth, and jumbo mortgage loans, we believe that our margins should
be enhanced in the long run as interest rates stabilize or increase and risk-based
pricing returns to the industry.
Focus on building core deposit relationships. We believe our current
geographic footprint offers the opportunity for expanded core deposit growth. Our
goal is to establish new customer relationships and leverage existing credit union
relationships that are not driven by interest rates, but rather by personalized and
responsive service designed to meet customers' needs.