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What Is a Community Bank? Overview and Example

By Frank BassUpdated Sep 13, 2025 at 2:52 PM | Fact-checked by Robin Hartill, CFP

Key Points

  • Community banks focus on local lending and help stimulate regional economies.
  • They offer personalized services and an understanding of local market conditions.
  • Investing in community banks can diversify a portfolio, linking returns to local growth.

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