Sedalia’s Central Bank 4th Best Bank According to Forbes
Missouri's own Central Bancompany, Central Bank, has been named 4th Best Bank in America by Forbes Magazine. Ok, so what does that actually mean?
According to Forbes, each year the magazine looks at America's Best Banks and ranks the 100 largest publicly-traded banks and thrifts based on their growth, credit quality and profitability. Central Bank's release provides a little bit of backstory to the ranking.
Each year, Forbes Magazine publishes a list of the Best Banks in America. This list began in 2008 as a way to rank the safest and most stable banks in America during the financial crisis.
Central Bank says the first year Forbes produced a list, Central Bancompany, INC wound up on it's top ten list. After that first year Forbes extended the list to include 100 banks and use the list as a showcase for the best banks in America.
Interestingly enough, the big banks. The ones that are always bombarding us with television commercials like Chase, Citi, Wells Fargo, Fifth Third Bank, Old National and PNC all place in the lower 50 on the list. In fact, the only big bank I recognized that popped into the top 50 was Capital One which ranked 44.
Central Bank says their Forbes ranking is how they prove that they "do banking better" to their customers. And the bank goes to say the metrics Forbes uses, "further demonstrate our commitment to strength and stability, such as total assets, non-performing assets, and efficiency, among many others."
With the knowledge that the Forbes' list started as away to identify and showcase the best bank's in America during and in the aftermath of 2008's financial crisis, here's what the magazine is saying about the state of banking as we start to emerge from a very difficult year battling COVID-19:
Though Covid-19 hammered the economy, lenders across the country are profitable, thriving, and ready to lend. Businesses and borrowers were able to handle their payments thanks to two rounds of Federal government stimulus, extended unemployment benefits, and the Small Business Administration’s support of mom-and-pop businesses.
Forbes goes on to say only about 5% of banks in America are unprofitable according to the FDIC. And 53% of banks reported increases in profits. Forbes says many banks are now preparing to finance a business boom now that vaccines are being rolled out and America moves towards some sense of normalcy.
I'm not a financial expert by any means, but I'm encouraged that the banking industry is doing well in the face of COVID-19 and I'm happy one of our own Missouri company's placed so high on the Forbes' list.