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OFFICIAL PUBLICATION OF THE INDIANA BANKERS ASSOCIATION

April 21, 2025

Bank Trends: Can Margin Improvement Continue in 2025?

Community banks saw impressive growth in net interest margin throughout 2024. U.S. banks with less than $10 billion in assets (around 4,200 institutions) improved net interest margins from a post-pandemic low of 3.34 at year-end 2023 to 3.52 at year-end 2024.

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Compliance Connection: HELOC Closing Costs Waiver

Question: My bank plans to introduce a new home equity line of credit that allows all closing costs to be waived at closing provided the customer maintains the loan for three years, but if the customer elects to pay the loan off early, they will have to repay the closing costs. Does Indiana law allow us to contract for “conditionally waived” closing costs?

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2025 IBA Education Calendar

JUNE General Banking School – Year 1 (in partnership with the Kentucky Bankers Association)June 2-6: Griffin Gate Marriott, Lexington, KY General Banking School – Year 2(in partnership with the Kentucky Bankers Association)June 1-6: Griffin Gate Marriott, Lexington, KY 2025 Commercial Lending SchoolJune 2-6: IBA Center Senior Lender Forum – Group 1June 11: IBA Center Senior Lender

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