outstanding bank club director

Northwestern Financial Review, May 15-May 31, 2004 by Hilgert, Jackie

Editor's Note: This spring, North-Western Financial Review brings a new staple to our entree of annual recognition awards: Outstanding Bank Club Director. Earlier this year we solicited nominations from our readership and made selections based upon the submissions we received. At any time, we welcome you to submit names of club directors you know are doing an exceptional job at their bank; next spring we will once again present stories about the region's top bank club directors.

Bankers who manage affinity clubs - whether for the benefit of senior citizen customers or major depositors in any age category - cany the reputation of the bank with them each and every time they lead their group in social, educational or travel activities. Their work and the relationships they develop, while often undervalued, remain vital to the business of community banking.

Establishing friendships key to Minnesota bank club director's popularity

Had Betty Marthaler known residential mortgage rates were going to hover at record lows for as long as they have, she might have thought twice about shelving full-time real estate sales in favor of leading retirees around the country on a motor coach. But then the flowers arrive, and with them, a card that reads: "They say a job well done is its own reward, but still you should know what your hard work means to those around you. Thanks for doing such a good job." It's a fragrant reminder that her career change was the right choice.

"There isn't a paycheck out there that can do that!" laughed Marthaler, North * Western Financial Review's Outstanding Bank Club Director from Lake Region Bank in Willmar, Minn. The flowers are a thank you from two couples - members of the Good Neighbor Club who traveled to Florida recently with Marthaler.

Celebrating its 11th year this month, the Good Neighbor Club has more than 2,100 members who collectively hold 50 percent of the deposits at the $82 million bank. Lake Region Bank, formerly Farmers State Bank of New London, operates three offices in west central Minnesota and has approximately 6,000 customers. The club was launched after former bank president, Paul Vollan, and his staff examined the demographics of the region. "We looked at the aging going on in our area and asked ourselves, 'where do deposits generally come from?' " recalled Clark Vollan, Lake Region's current president. "We had our hat on in the right direction in this case."

Marthaler had been putting in part-time hours at the bank to supplement her real estate sales when she was approached about managing the club. "I'd gotten to know many of the customers and I enjoyed them," she recalled. "It was a time in my life when the kids were gone." The single mother figured she had the time so she went for it. Marthaler still has her hand in real estate when she's not devoting 50 to 60 hours per week to her club.

"It takes a lot of time," Marthaler said of organizing monthly movies, jaunts to the casino (a club best seller), theatre visits in the Twin Cities, an annual venture to the State Fair, and extended trips all over North America. The club's first overseas trip, to Switzerland, coincided with its 10-year anniversary last May. The investment of time Marthaler puts into her club is "my choice," she said.

"Betty has a lot of energy," Vollan admitted. The club is one valueadded service that the bank deems necessary not only to stay competitive, Vollan said, but to reach out to older customers with education and other services. Yet even Vollan couldn't deny the club's true appeal. To be quite honest, he said, it's not the bank or even the club [activities] that make the club appealing. "It's Betty."

Marthaler has made lasting friendships with club members to the point where they consider her part of their family; some rely on her more than what might seem fair. Marthaler has gone to her members' homes to help them with their banking business, Vollan said. "I've had members call me on weekends when they had questions about something," Marthaler said. She's even run out to the store for a carton of milk for a club member. "If they need something, I'll do that," she laughed.

"She establishes friendships and goes above and beyond," Vollan said.

Her approach comes naturally from her years spent in sales. Marthaler didn't undergo any formal training to manage a bank club. She learned by observing an existing club and by "making mistakes," she said. She networks with a handful of area club directors but "not as much as I should."

But with selling coming naturally to Marthaler, she's been successful growing her club - and their deposits - since day one. "I sell the bank everyday," she said. Marthaler also tries to impress on her members that the camaraderie and care they receive during each club adventure is valuable - even in times of low CD rates.

With the rapidly expanding universe of 50-plus central Minnesotans nearing retirement, Vollan isn't too concerned that the average age of the Good Neighbor Club falls between 65 and 70. Marthaler said she lost six members in the first 10 days of 2004. Yet, even in a month with that many deaths, the club still showed a net gain in membership.