Quaint Oak Bancorp Inc
Quaint Oak Banks primary business consists of attracting deposits from the
general public through a variety of deposit programs and investing such deposits
principally in residential, commercial real estate, construction loans, multi-family,
home equity loans and commercial lines of credit secured by property in our
market area. To a lesser extent, the Bank also invests in commercial business
loans and other consumer loans. In addition, Quaint Oak Bank offers mortgage
banking, real estate sales and title abstract services through its subsidiary
companies. Quaint Oak Bank serves its customers through its offices as well
as through correspondence, telephone and on-line banking.
Deposits with Quaint Oak Bank are insured to the maximum extent provided by
law through the Deposit Insurance Fund administered by the Federal Deposit Insurance
Corporation ("FDIC"). Quaint Oak Bank is subject to examination and
comprehensive regulation by the FDIC and the Pennsylvania Department of Banking.
Quaint Oak Bancorp, which elected to be treated as a savings and loan holding
company, is subject to examination and regulation by the Board of Governors
of the Federal Reserve System ("Federal Reserve Board"). Quaint Oak
Bank is also a member of the Federal Home Loan Bank of Pittsburgh ("FHLB
of Pittsburgh" or "FHLB"), which is one of the 12 regional banks
comprising the Federal Home Loan Bank System ("FHLB System"). Quaint
Oak Bank is also subject to regulations of the Federal Reserve Board governing
reserves required to be maintained against deposits and certain other matters.
The types of loans that Quaint Oak Bank may originate are subject to federal
and state laws and regulations. Interest rates charged on loans are affected
principally by the demand for such loans, the supply of money available for
lending purposes and the rates offered by our competitors. These factors are,
in turn, affected by general and economic conditions, the monetary policy of
the federal government, including the Federal Reserve Board, legislative and
tax policies, and governmental budgetary matters.
The lending activities of Quaint Oak Bank are subject to the written underwriting
standards and loan origination procedures established by the board of directors
and management. New loans are generated primarily through the efforts of Quaint
Oak Banks loan officers, referrals from brokers and existing customers. Loan
applications are underwritten and processed by Quaint Oak Banks credit administration
department.
All loans are presented to the loan committee for review. Quaint Oak Banks
loan approval process is intended to assess the borrowers ability to repay
the loan, the viability of the loan and the value of the property that will
secure the loan. Individual loans and loan relationships over $1.0 million must
be approved by Quaint Oak Banks loan committee, which currently consists of
our President and Chief Executive Officer, Chairman of the Board, two other
members of the Board of Directors, and three other officers of Quaint Oak Bank.