“There will be no question about the use to which Lakewood’s Northwest Commercial Bank will be putting the $2 million it has received from the US Treasury as part of the government’s stimulus package,” according to Kurt Graff, bank president and CEO.
Graff announced that the bank has been selected by the United States Treasury Department to participate in the Capital Purchase Program (CPP), the purpose of which is to provide capital for loans to the business community to assist in the recovery plan.
Northwest Commercial Bank is one of a small number of community banks to be selected to participate in the program, US Treasury officials noted.
The bank agreed to accept the CPP funds and immediately announced plans to make those funds – and more – available to individuals, businesses and builders in the local area at competitive rates.
Graff noted that the CPP program is made available to well run and well capitalized financial institutions to assist the economic recovery plan of the Federal Government. “We have continued making loans throughout this tough economic period and the additional funds will allow us to expand our loan efforts,” the bank executive explained.
“We consider the bank as a conservative institution. We know our clients and the communities we serve. That gives us the ability to continue making responsible loans while assisting our community in recovering from the recession,” Graff added. “Additionally, loans we make stay with our bank – not packaged and resold to distant and possibly foreign entities. That’s the formula we have followed for years. The bank has never participated in sub-prime loan packages and other lending practices that helped bring about the current nationwide economic problems,” he said.
Northwest Commercial Bank was established by a group of local business people and community residents in 2002. It is headquartered at 5726 100th St SW in Lakewood with a full-service branch in Auburn and a loan production office on South Hill in Puyallup.
As of Dec. 31, 2008, Northwest Commercial Bank had assets of $74.6 million and outstanding loans of $61 million. Deposits stood at $66.3 million.