Putnam Bank Financier on Main Street: Beacon for “Go Local”

by Don Church & Tony Schillaci

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

As part of THE RESIDENT’S Financial

District/Bankers on Main

Street series featuring local bank officials,

this is an exclusive interview

with Thomas Borner, Chairman

and CEO of the Putnam Bank with

branches from Putnam to Norwich .

 

The Resident: What was the

inspiration for the Putnam Bank’s

“Go Local” initiative – banking

with a community bank instead of a

megabank? And, how is “Go Local”

working in the towns with Putnam

bank branches.

Tom: It’s actually working very

well. In fact, we are part of the fabric

of the community, and we have been

for 149 years! Soon we will be celebrating our 150th anniversary, and we

have extended our footprint in Eastern

and Southeastern Connecticut. So

many people are realizing that the

entire community becomes stronger

when they buy locally and bank

locally. And, “Going Local” gives

people a tangible connection to each

other on a personal level.

The Resident: How does the current economic situation affect Putnam

Bank, and do you have a sense of

where we are in this economic cycle?

Tom: We can definitely see a

light at the end of the tunnel. Eastern

Connecticut, our region, has fared

better than the rest of the country. We

can see an improvement in our overall

economy, and we are looking forward

confidently to more improvement in

2012.

The Resident: How is Putnam’s

expansion into Norwich and the enhancement of Gales Ferry going…..

especially in light of the continuing

housing market problems? And, part

2 of this question…..are there any plans

to expand along the shoreline in the

foreseeable future?

Tom: These projects are moving

along well. We’re confident that the

housing market will get better. I am

interactive with the employees who

are making the expansion happen.

We really have no plans to expand to

the shoreline because our footprint is

based in the 395 corridor, and that’s

where our core business is localized.

The Resident: Are there any

mechanisms in place to help people

who are already on the brink of foreclosure….or in foreclosure…..to work

with your bank so that they can stay in

their homes?

Tom: Absolutely! We steered

clear of the sub-prime mortgages, so

we are in a good place in that respect.

When we see that we have customers

who are missing payments we call

them and work something out. The

most important thing for people who

are experiencing problems – because

of employment issues, or health, or

financial stresses – is that they need

to act immediately to communicate

with their bank. It doesn’t matter if

it’s a local bank or a megabank – they

should recognize that they have a

chance to change things, and we will

help as much as we possibly can.

We’re dealing with our money, and

the community’s money and the customer’s money so it’s in everyone’s

best interest to want to make negative

situations salvageable. We’re always

interested in hearing from prospective customers, and we will help in

any way we can. But the important

thing is immediate communication

with whatever bank is holding the

mortgage in question.

The Resident: The media seem

to report both positive and negative

stories on the same fi nancial issues

simultaneously. And the market reacts

emotionally with greater volatility on

both fact and rumor. What are your

thoughts on the way the media is

handling financial news?

Tom: The media is interested in

“breaking news.” So it needs to react

immediately – even when the facts

are not right. There are people who

talk on TV and write on the internet

who don’t know what they are talking

about. What we all need to do is concentrate on the long and steady – on

the future. We need to refl ect on the

news and look at the long-term effect,

not on the short term, which will

change with the next “breaking news”

warning, which is most times neither

breaking nor news.

The Resident: What does “go

local” mean to you in as a banker and

as an active member in so many areas

of the community?

Tom: When you “go local”

everyone benefits. Community banks

can now offer all the services that the

megabanks can. But it goes beyond

banking. “Go local” means to shop

locally, and to take advantage of local

professional services. A bulk of jobs

are being created by small business

locally, and the money generated by

going local stays in the community.

It’s this connection to each other on a

day-to-day basis that strengthens the

economy, makes personal alliances

better, and benefits everyone in the

community.

The Resident: In approaching

your bank to set up this interview, we

were impressed with the professionalism, friendliness and enthusiasm of the

people we talked with over the phone. If

this is the way all Putnam Bank employees approach their jobs, what are some of

the other ways that they interact with the

community at large?

Tom: Thanks for being impressed

with our people! That Putnam Bank

attitude starts from the top. We’re all

regular people. I’m not in an ivory

tower. When I send out an email about

a charitable or community project that

needs volunteers, no interaction is

required by our employees. But, there

are usually as many volunteers as are

needed coming right from our Putnam

people.

 

A day after this interview, ABC

News with Diane Sawyer, with correspondent Chris Cuomo, also brought

much-needed attention to how small

community banks are doing what

Tom Borner’s Putnam Bank is doing

to help people who are in danger of

losing their homes – working one-on-one with its neighborhood customers.

That’s one of the many benefits of

doing business with local banks that

are actively involved in every segment

of their own community.