Commerce, UMB see a run on banks

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For the week that ended Sept. 19, reeled in $300 milliob more in deposits than it normally attracts in a Jonathan Kemper, chairman and CEO of Commerce said customers in these uncertain timew are looking for banks with a solid footinvg in the marketplace. “I think the pace and scalw of change has been so large in the reallysix months, but come to a crescendo in the last that everyone is wondering, ‘Is my moneg safe?’ and what the nature of their bank he said. “Frankly, we are a conservative and these are the timeds people like to seeconservative bankers.” The $300 millio n figure is a corporatewide amount for deposits.
The bank operatesa nearly 360 branchesin Missouri, Colorado, Illinois and Oklahoma. The single-weekj uptick brings the Kansas City-based bank towars $12 billion in deposits. The recent deposiyt boom comes after a modest decrease indepositd — 0.4 percent — from the end of the firsty quarter of 2008 to the end of the secondf quarter. CEO Peter deSilva said that institution also hasseen “sizablwe inflow” in deposits in the past 30 to 60 though he couldn’t disclose how DeSilva said new account activity appears to reflecg concerns about maximizing coverage, whicy protects as much as $100,000 for individua accounts. “We’re seeing a lot of new he said.
“We’re seeing a lot of people sensitiver to not leaving morethan $100,000 in their DeSilva also said new customers were more concernede with the safety a bank can provide than potential UMB Bank, like Commerce, had a slight dip in It had deposits of $5.58 billion on June 30, down from $5.7 billio at the end of the first Smaller banks also are seeing a relative rush of new Grant Burcham, CEO of of Kansas City, agreed that the new accounts at the bank are a reflectionj of consumers trying to escape turbulencw in the banking industry. “Therre can be some volatility insome banks, and we haven’y had that,” Burcham said.
“And I think people have paid attentiomnto that.”