Posted by Bob (Md) on January 23, 2001 at 04:29:04:
It’s a small local bank, not a S&L. They prefer commercial loans (their owner-occupied rates are not competitive at all), and limit their risk by keeping to a 1, 3, or 5 year balloon. That way, they don’t get stuck with unattractive terms / rate if the market should change significantly. I think they have 7 or 8 locations - all within one county.