Good morning,

We have a lender that would like to open a branch (one day a week) at an assisted living facility. This branch would open accounts, take deposits and possibly cashing checks. Would the bank need to go through the same approval process as any other branch? I have never worked at a financial institution that has done this before.

Thank you!

Yes - or get approval for a mobile branch.

And edited to add that I am now getting up off the floor after falling out of my chair - a lender?? That sounds like a great place to make an unlimited amount of loans as most residents may no longer even be competent to act on their own.

Well - actually we call them 'bankers' now as they are tasked to bring in deposits too.

Hope you didn't hurt yourself too much Randy. We need you here!!!

Our of curiosity, is the center your client?

Eons ago, one of our major branches started weekly service days at a regional residential care facility. Residents and families loved it because the didn't have to make special arrangements to come to the bank for routine deposit/withdrawal transactions. Nobody (except the state banking commissioner) thought about it as a branch. We were told in no uncertain terms that we had to jump through all the branch application hoops or shut it down.

We have a lender that would like to open a branch (one day a week) at an assisted living facility.

Being the big bad banker... Why?

It would appear to be a big money money loss.

One reason to provide a service that appears to be a financial loss is that there are hidden benefits. If you didn't send a banker to the assisted living home, how would these customers obtain the service they need? If a shuttle bus brings several of them to your branch and (due to mobility and cognitive deficiencies) it takes an inordinate amount of branch time and resources to provide for the safety and comfort of these depositors, the cost of sending a banker to them makes more sense.

Another benefit of a "branch" like this is getting CRA credit if the assisted living facility has enough low-mod income individuals. There are a number of Outstanding CRA reports out there where banks have done this and received CRA credit.

If you didn't send a banker to the assisted living home, how would these customers obtain the service they need?
Power of attorney, Family member, Joint accounts, writing a check. Seniors are also getting more technological advanced. I have known of 90 year old with a great knowledge of her I pad.

Thanks for all of your input. Yes, the assisted living facility is one of our customers. And Adam - I did think of the CRA credit also. I also think that if we go this route, any employee that goes to the facility needs to be on high alert for elder abuse.

If your employees are bring cash there is insurance and security issues that need to be addressed as well.

One bank I worked for had a mobile branch that went out to a golf course every Friday afternoon to allow their employees to cash their checks. With two bank employees and two armed guards. In this case the golf course was a client, as well as the majority owners of the course were private banking clients, so the bank was willing to provide this extra service, but that is a lot of liability and expense.

If "assisted living" in your area is like "assisted living" in my area, I don't think these folks will qualify as low-moderate income.
Although, my Mom probably falls into that category, my brother and I "pony-up" a considerable amount each month so she can reside in the only assisted living facility in town. To cover her insurance and medicine each month and the cost of the assisted living facility it takes all of her SS and all of her VA check plus what we contribute. We are glad to be able to do it....Just trying to make a point that most folks in assisted living likely are going to fit in the low-mod income category.