Commercial and industrial lending rose 8% in the third quarter at the Cleveland bank, but other factors drove its double-digit gain in profits as overall loan growth was modest.
Bigger banks appear to be losing C&I share to small and midsize lenders. That's raising questions about whether community banks — known more for commercial real estate lending — have enough expertise to underwrite deals that larger banks avoid.
Total loans fell, but earnings soared thanks to wider margins, a smaller loan provision and fewer legal costs now that the Wilmington Trust probe is settled.
The Minneapolis company, which reported strong profits but 1% loan growth, is hiring middle-market bankers in New York and launching a digital lending platform aimed at small businesses.
