When people talk about where to keep their money, the conversation often circles around credit unions and banks. But let’s start with what makes community banks special – because they’ve been quietly powering families, small businesses, and neighborhoods for generations (for us, since 1859)!
What Makes a Community Bank Different
- Locally Owned, Locally Operated. Community banks like Bank Five Nine are rooted right where you live. Decisions about loans, accounts, and investments aren’t made in a distant headquarters – they’re made by people who know the local housing market, the rhythm of small-town businesses, and the real costs of living here in Wisconsin.
- Paying It Forward (Literally). Community banks pay federal, state, and local taxes. Those dollars flow back into schools, roads, public safety, and community programs. Every loan written and every account opened adds to the economic strength of the area.
- Relationships Over Transactions. At Bank Five Nine, we believe banking is about more than numbers on a screen-it’s about people. Community bankers don’t just know your balance; they know your story. It’s not unusual for families to work with the same banker across generations, through milestones like buying a first home, saving for college, or starting a business.
Those relationships are what set us apart. We care about the people who walk through our doors just as much as the accounts they hold. That commitment extends to our employees, too – we want them to feel valued and supported in the same way we want our customers to.
Take a quick watch of this short video featuring two of our West Bend branch employees sharing why they choose to work at Bank Five Nine: https://www.youtube.com/watch?v=Xqgy5awB8eE
- Full Service, Future Ready. From mobile apps to online bill pay, community banks offer the same modern tools as national players – with the added bonus of personal guidance when you want it.
Community Banks vs. State/Regional/National Banks: What’s the Difference There?
Community banks, state banks, regional banks, and national banks often offer many of the same products, such as checking accounts, loans, and digital banking tools. Where they differ is in how they operate, how decisions are made, and the role they play in the communities they serve.
Community banks play a vital role in local economies by reinvesting deposits back into the communities they serve, helping support local businesses, create jobs, and encourage sustainable growth. Because community banks are relationship‑focused, they’re able to provide financial solutions that reflect the real needs of their customers rather than one‑size‑fits‑all approaches. This combination of local reinvestment and personalized service helps strengthen economic stability and long‑term growth. In short, community banks are more than financial institutions, they are essential in the economic fabric of the communities they serve.
A state bank refers to how a bank is chartered and regulated, not how it serves customers. Some state‑chartered banks operate very much like community banks, while others grow to operate on a larger scale. Regional and national banks, by comparison, serve broader geographic areas and often emphasize consistency, efficiency, and standardized processes across multiple locations.
Larger banks offer wide reach and uniform systems, while community banks focus on relationship‑driven service and reinvesting deposits into local homes, businesses, and nonprofits. Ultimately, trust in a financial institution isn’t determined by size, it’s shaped by responsiveness, accountability, and how well a bank supports its customers over time. For many individuals and businesses, that’s where community banks continue to stand out.
Where Credit Unions Come In
Credit unions are also community-focused in their own way. They’re structured as member-owned cooperatives, and they don’t pay income taxes. That can sometimes mean lower fees or slightly better loan rates. Membership is often tied to where you live, work, or go to school. They serve an important role in the financial landscape – but the absence of taxes also means credit unions don’t directly fund local infrastructure the way community banks do.
Myth vs. Fact: Clearing Up the Confusion
Myth: Credit unions always have better rates.
Fact: While credit unions can sometimes advertise lower rates due to their tax‑exempt status, community banks regularly compete – often matching or beating rates – and offer broader lending programs like SBA loans, jumbo mortgages, and business lines of credit.
Myth: Community banks are too small to offer modern tools like regional banks or credit unions.
Fact: Community banks provide the same digital conveniences – mobile banking, online bill pay, remote deposits – while still giving you real people to talk to when you need it.
Myth Credit unions are more community‑focused because they’re member‑owned.
Fact: Community banks are deeply invested in the communities they serve. Unlike credit unions, community banks pay federal, state, and local taxes, which directly support schools, roads, public safety, and local infrastructure. Community banks also reinvest through charitable giving, sponsorships, and local lending that keeps dollars circulating close to home. Bank Five Nine donates over $200,000 annually to non-profit organizations right here in Southeastern Wisconsin!
Myth: Big financial moves require bigger banks.
Fact: Community banks finance everything from family farms to start-ups to first homes – often with faster, more flexible decision-making.
Myth: Larger banks are more trustworthy because they’re bigger.
Fact: Trustworthiness isn’t determined by size. Community banks and larger banks are all regulated and insured. What truly builds trust is transparency, accountability, and relationships. Community banks earn trust by making decisions locally, giving customers direct access to decision‑makers, and maintaining long‑term relationships with the people and businesses they serve. When challenges arise, customers can speak with someone who knows their story and has the authority to help, something size alone can’t provide.
Myth: You need to live in a certain community to benefit from a certain community bank.
Fact: Banking today isn’t only about geography, it’s about fit. Community banks are defined by how they operate, not just where their customers live. With local decision‑making, relationship‑based service, and a commitment to doing business thoughtfully and responsibly, community banks can continue to serve customers even as life takes them to new places. If a bank understands your goals, supports your needs, and delivers the level of service you value, a community bank can still be the right choice, no matter where you live.
Myth: Community banks are more expensive because they pay taxes.
Fact: Paying taxes doesn’t automatically mean higher costs for customers. Community banks balance competitive pricing with broader services, local decision‑making, and personalized guidance, often delivering greater overall value, not just a lower headline rate.
Why Community Banks Are the Strong Choice
For many families and businesses in Wisconsin, the difference comes down to impact:
- Community Investment. From sponsoring youth sports to supporting nonprofits and local events, community banks put resources directly back into the neighborhoods where their customers live and work.
- Small Business Focus. Local entrepreneurs count on community banks for lending that reflects seasonal cycles and hometown realities. Those businesses create jobs and fuel growth right where it matters most – close to home.
- Stability and Trust. Generations have turned to community banks to navigate economic ups and downs. That steady, long-term approach builds confidence and connection that lasts.
With competitive rates, personalized lending, local decision‑making, and a deep commitment to reinvesting where it matters most, community banks deliver value that goes far beyond the balance sheet. It’s about shared values, trusted relationships, and the ripple effect of choosing local. When you bank with a community bank, your money works for you, and helps strengthen your schools, support Main Street, and build a stronger town for generations to come.
