Bank enters deal with federal regulators

Severn Savings to modify policies on problem loans

By KATIE ARCIERI, Staff Writer

Published 11/25/09

A federal regulatory agency is requiring Annapolis-based Severn Savings Bank to revise its policies in the face of a mounting number of problem loans.

The Office of Thrift Supervision entered into agreements with Severn Savings Bank so it can monitor "the progress we are making" in reducing bad loans, said Alan Hyatt, president and chief executive officer of the bank.

Hyatt said he argued against the agreement because the bank is well capitalized and working on its own to reduce the number of bad loans on its books.

As of Sept. 30, the bank's regulatory capital ratios "continued to exceed the...

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Newsflash Durden: - 2009-12-02 09:17:24

Please speak regarding subject matter in which you are educated rather than slur a local bank. We have dealt with Severn Savings Bank both personally and professionally for many years and had to comply with all federal and industry regulations just like everyone else. Have known the Hyatt's and Severn Savings Bank Family for many years and I am educated on proper banking protocol. You won't find any bank in the local area more committed to the community they serve. I sincerely hope you are exceptionally wealthy and never need a loan. Should that not be the case I would suggest you knock on the door of another financial institution less committed to Annapolis and Anne Arundel County.

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Pat C. - Ocean City, Md - Karma: Neutral

Boo Hoo - 2009-11-25 12:55:15

Banking executive cries about additional regulations being foisted upon his mismanaged bank.

Newsflash scumbag: IF YOU HAD RUN YOUR BANK PRUDENTLY IN THE FIRST PLACE, YOU, AND THE REST OF US, WOULD NOT BE IN THIS MESS.

You should consider yourself lucky to be keeping your job or that OTS isn't kicking in the doors and taking possession of the place. A change in attitude would work wonders for you.

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Tyler Durden - Annapolis, MD - Karma: Neutral