October 2020 In This Issue We’re In Good Company Page 1 President’s Message By Glen Simecek, President and CEO, Anyone needing further evidence of Page 3 ABA Column Washington Bankers Association this fact should take a quick glance at the Some trace the recent Puget Sound Business Journal lists Page 4 Upcoming Virtual saying back to the of Washington’s most generous corporate Programs fables of Aesop. philanthropists. Events Calendar Others say its ori- Among large corporations, three banks – gins are found in the JP Morgan Chase & Co., Wells Fargo, and Page 5 Bankers Connect with Book of Proverbs. Bank of America – were recognized in the State, Federal Lawmakers It’s an adage quoted top 10 donors. U.S. Bank, KeyBank, Colum- by generation after bia Bank, and Banner Bank also made the BankWork$ Graduates Double Income generation of anx- top 25, meaning that banks filled almost a ious parents implor- third of those slots. Page 6 WBA Member News ing their children to Among midsize corporate philanthropists, pick good friends. another five were highlighted, including Page 7 2020 Virtual Education/ “You’re known by the company you keep.” First Financial Northwest Bank, which Human Resources At WBA, we’re very fortunate indeed to topped the list. Other banks listed in this Conference be known by the company we keep. Our category were HomeStreet, Heritage Bank, members not only provide the financial 1st Security Bank of Washington, First Fed- MDP Graduates 23 underpinnings of our state’s economy, but eral, and Kitsap Bank. Page 8 Finding Success with the they also are leaders in making our com- Three more banks were recognized in the Disrupted Customer munities better places to live, work, and small corporate philanthropist listing, and raise a family. Page 9 Industry News Continued on page 2 Continued from page 1 once again a bank – Sound Community Bank – occupied the top spot. Coastal Community Bank and Pacific Crest Sav- Issues & Answers – October 2020 ings Bank were the other two smaller banks noted for their The official publication of the Washington Bankers contributions. Association is sponsored by Harland Clarke and WBA Collectively, these institutions gave more than $20 million Professional Services to community non-profits across the state of Washington last year. Considering they represent only a fraction of the WBA WBA Staff Education Committee Chair: Steve Politakis, CEO, Kitsap Bank membership and many other member banks play similarly Glen Simecek, President & CEO important roles in their local communities, our industry’s (206) 447-1700, WBA PROS Chair: Ken Johnson, [email protected] EVP/Operations, Banner Bank contributions have a truly staggering impact. Liz Wilson, EVP & Chief Operating Every bit as impressive as the sheer dollar volume of this Officer ABA Community Bank Council support is the range of charities and causes that have been (206) 344-3495), Rep: Eric Pearson, President & CEO, the beneficiaries of these contributions. They include pro- [email protected] Community First Bank grams to reduce homelessness and create more affordable Kyle Hayden, Senior Accountant Directors housing; develop local job opportunities and stronger neigh- (206) 344-3476, Jay Coleman, SVP & Regional [email protected] borhoods; local K-12 schools and after-school education Credit Officer, KeyBank providers; colleges, universities, and workforce development Katherine Nyerick, Program Jeff Deuel, President & CEO, organizations; youth development services; domestic vio- Manager Heritage Bank (206) 344-3484, lence shelters and services; food banks; health care providers; [email protected] Steve Hatfield, Region Bank and the arts. President, Wells Fargo Duncan Taylor, Director of Put simply, our communities would not be as strong or as Membership & Operations Brian Hawley, SVP & Regional vibrant without the support of WBA member banks. (206) 344-3492, President, Union Bank [email protected] Our collective contributions are especially important to re- Jack Heath, President & COO, member as the impacts of the COVID pandemic continue to Sherry Krainick, Operations Washington Trust Bank Specialist be felt across the state. Banks have already played a key role (206) 447-1700, Susan Horton, Chairman, President in helping families, businesses, and communities weather the [email protected] & CEO, Wheatland Bank storm so far. From helping employers qualify for job-saving Megan Managan, Director of Greg Oakes, President & CEO, PPP loans to pitching in to support community response Communications & Government Cashmere Valley Bank Relations efforts, WBA members have led the way in responding to the (206) 344-3472, Thomas Perrick, SVP, JPMorgan social and economic challenges posed by this public health [email protected] Chase crisis. Based on our pre-session conversations with legislators, we Laurie Stewart, President & CEO, 2020-2021 Board of Sound Community Bank can expect banks to be asked to do even more in the months ahead. One of the most pressing issues on lawmakers’ minds Directors Clint Stein, President & CEO, Chair: Joe Kiley, President & CEO, Columbia Bank in our virtual meetings with them was loan forbearance – First Financial Northwest Bank what does it mean for the borrower? For the lender? How Dave Swartley, SVP/Managing ABA GR Committee Director State Government does it all work? Representative: Mark Mason, Relations, U.S. Bank Answering these questions will be an important part of our President & CEO, HomeStreet Bank Jennifer Williams, Consumer advocacy efforts in Olympia in 2021. As will be providing Immediate Past Chair: Jon Jones, Banking & Investment accurate and candid information to legislators who may not CEO, Washington Business Bank Operational Excellence Executive, always understand what is and what isn’t realistic to expect of Bank of America Secretary/Treasurer: Brent Beardall, lenders. President & CEO, WaFd Bank The good news is that data like that found in the PSBJ philanthropy ratings once again clearly demonstrate our Contact Us industry’s commitment to the local community and our Contact the Washington Bankers Association at 1601 5th willingness to invest to make it better. Compelling evidence Avenue, Suite 2150, Seattle, WA 98101 is right there in the numbers. Call us at (206) 447-1700 and visit us on the And in the company we keep. web at www.wabankers.com. Connect With Us Connect with the WBA online by following us on our social media accounts. On the Cover Fall colors glow at the Seattle Japenese Garden, located in the southern end of the Washington Park Arboretum. Photo courtesy Rachel Samanyi.flickr Personal Finance for the Pandemic Era: Why Bankers Should Deliver Fin Ed Lessons Today By Rob Nichols, President and CEO, American Bankers tools to facilitate savings, and banks are a reliable source Association for both. The pandemic has forced many To help banks meet that demand—and prevent fi- lessons on us, not the least of which nancial regrets in the first place by teaching financial is the importance of being prepared. fundamentals to today’s youth and young adults—the I don’t mean being-well-stocked-on- ABA Foundation has adapted its financial capability toilet-paper prepared. I mean having programming for today’s virtual world. Teach Children the ability and resources to survive to Save lessons went virtual in April, and Get Smart an uncertain and even perilous About Credit, our fall program, has also been adjusted to period. For businesses, that clearly include new resources and notes for delivering effective requires having a well-crafted and virtual presentations, as well as new modules around tested business continuity plan. For saving for the unexpected. households, the most important pre- We all know that strong personal finance skills are paredness tool may be a well-funded savings account. essential to success in life. In fact, a majority of respon- Those who may not have fully appreciated this before dents in the latest Charles Schwab Financial Literacy COVID-19 certainly understand it now. In fact, a Bank Survey said that money management was the most Rate survey this summer found that Americans’ top important skill for children to learn, outranking the financial regret is not having enough emergency savings dangers of drugs and alcohol, healthy eating and exercise to withstand the crisis, followed closely by not having habits and safe driving practices. And nine in 10 agreed enough retirement savings. that a lack of financial education contributes to some This presents an important opportunity for banks, of the biggest social issues our country faces, including which can—and should—help support both established poverty, unemployment and wealth inequity. and fledgling savers as they pursue their savings goals. Which brings us to another lesson learned from the Nothing is more fundamental to financial wellness than pandemic: Significant disparities in health, education savings. and job opportunities persist. Those disparities have Given the massive economic dislocation caused by the exposed some populations to greater risk—of catching pandemic, this may seem an odd time to exhort others COVID-19 or losing a job—and they’ve left some chil- to save. Many are suffering from loss of income and dren more vulnerable than others to the negative effects find it challenging to pay their expenses; how can they of school closures. possibly set aside money for a rainy day when it’s already Education, including financial education, can help pouring? But there’s reason to view this as the ultimate reduce these disparities and give all Americans an equal teachable moment, and an ideal time to convert lessons opportunity to prosper. Few are more qualified to deliver into action. lessons in personal finance than bankers, so I strongly In a July survey of hourly workers (by DailyPay and encourage you to register as a volunteer for a financial Funding Our Future), 51 percent said that coming out of education program today. The ABA Foundation makes it the pandemic, they are more likely to save for the future, easy—and free.