Investment group to help overcome low interest rates

Staff report

CORTLAND

As a response to low interest rates for savings options, Cortland Banks has started an investment group to help its customers gain a higher return.

The current banking environment has made it difficult for bank customers to grow earnings because of current low interest rates, said Sara A. Smith, assistant vice president and marketing and communications director of the bank. The program will provide investment and wealth-management services.

Since the program started in January, it has generated interest, including from people who have received payments from shale-gas leases and are seeking financial advice, she said.

“We are seeing great demand for investment options, as both existing and new customers are looking for additional options to supplement their traditional banking behaviors,” Smith said. “Most would agree that the low-interest-rate environment is not conducive to a favorable savings outcome.”

The program also has helped the bank to increase its noninterest revenue, she said.

Cortland has hired two employees to oversee the group. Brent Blaus came to the bank from Huntington Investment Co. in Hermitage, Pa., where he had been a senior financial consultant and team leader. Kim Howell had worked for Chase Investments in Ravenna as a financial adviser and vice president of investments.

The bank continues to expand its products and services to meet its various customer needs, Smith said. The company is looking for potential clients of any size.

Cortland Banks has locations in Trumbull, Mahoning, Portage, Geauga and Ashtabula counties.