SAVINGS AND LOAN ASSOCIATION

By: May and Abriana

Services Offered

Checking accounts Savings Accounts Home mortgage loans Credit cards Other consumer loans

Organization Type

The first savings and loan association was the Oxford Provident Building Society in Frankfort, Pennsylvania. Savings and loan associations may be state or federally chartered. Members of a savings and loan association are stockholders of the corporation. Officers and directors control the operation of the savings and loan association. Federal savings and loan associations are regulated by the Office of Thrift Supervision.

Advantages

Preferential treatment by the Federal Reserve. Can pay higher interest rates on savings deposits. Low-cost funding available due to affiliation with Federal Home Loan Bank. 50 basis points above what other banks offer. a wider variety of home loans offered flexibility with development of a loan to suits specific financial needs. Less likely to sell real estate loans to investors.

Local Institution Example

First Federal Savings and Loan

Federally chartered stock savings and loan association. Founded in 1905. Headquartered in Independence, Kansas. Serves

Montgomery, Crawford and Wilson Counties and the eastern part of Chautauqua County in Kansas through its main office located at Sixth and Myrtle, Independence, Kansas three full service branches located at McArthur and Eleventh, Coffeyville, Kansas, First & Broadway, Pittsburg, Kansas and Eighth and Main, Neodesha, Kansas a loan production office in leased space in Lawrence, Kansas