No mutual thrifts have opened in the U.S. since Richard Nixon was president, but a New England meat distributor aims to change that by chartering a depositor-owned bank that serves the food and agriculture industries.
Charley Cummings said his group expects to file a charter application for the planned bank, Walden Mutual, with the New Hampshire Banking Department by the end of August. Walden Mutual would have an office Concord but would primarily be a digital bank, Cummings said earlier this month in an interview.
We hope to have a provisional charter back in the late fall and open our doors in January of next year, Cummings said.
Its not surprising that Cummings wants to start his own bank; after a multi-year lull following the financial crisis, activity has been on the upswing in recent years and has been particularly robust in 2021. Nine banks have opened their doors this year and another 16 are seeking deposit insurance, according to the Federal Deposit Insurance Corp.
But mutual thrifts, which held more than a quarter of the nations deposits in the late 19th and early 20th centuries, have been vanishing steadily since the 1950s, after Congress eliminated their tax exemption.
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