In today’s environment, the proverb, “Hope for the best, prepare for the worst,” serves as a standard mantra for community banks. The regulatory landscape hurls new challenges, and community banks pivot, adjust, and act to ensure that, no matter the outcome, the best interests of their communities and customers remain the top priority.

The propensity of federal banking regulators to enact new regulatory burdens on community banks in response to the risky behavior of the largest institutions—a decades-long problem for local lenders—has only accelerated in recent months.

Community banks are locally based and relationship-focused institutions serving the unique needs of their customers. With a time-tested business model of sound lending and conservative risk management, they are a force for stability and prosperity in their communities.