Twin Cities businesses and individuals are saving more - just like their peers all around the country - and that’s fueling some big increases in bank deposits in the region.
And that’s pretty good news for most banks.
The Federal Deposit Insurance Corp.’s annual tally of deposits and market share in metro areas around the country showed an 18.4 percent year-over-year increase in Twin Cities deposits as of June 30, pushing total deposits to $90.7 billion.
Many banks are sharing in the gain, with some of the biggest local growth coming at the Twin Cities two banking giants, Wells Fargo Bank and U.S. Bank.
Those two longtime market leaders continued to hold almost 66 percent of the region’s deposits at mid-year. Their combined share is up from 60 percent a year ago.
Wells Fargo Bank continued to be the No. 1 deposit gatherer, holding more than 37 percent of the region’s savings, or $33.8 billion.
U.S. Bank’s deposits grew 28 percent to $25.9 billion.
Those figures reflect an environment where both consumer and business customers are holding on to their cash, waiting for their markets to recover or their job prospects to solidify before they start investing again or spending on big-ticket items.
Comment: TCF Bank and M&I Bank are the region’s third and fourth largest banks