Calif. Thrift Hires Commercial Banker For Checking Accounts, Business

Cenfed Bank has hired a veteran commercial banker to build sales of checking accounts and small-business loans.

John P. Cronin, 46, started work this month as an executive vice president of the $2.1 billion-asset Pasadena, Calif., thrift.

Mr. Cronin's banking career has included stints in several California institutions, including Security Pacific National Bank - since acquired by Bank of America - and National Bank of Long Beach. Most recently, he was senior vice president of the retail division at El Dorado Bank, Irvine, overseeing four branches in southern California.

In his new post, Mr. Cronin is leading efforts to reduce Cenfed's reliance on certificates of deposit by attracting more checking accounts, said chief executive D. Tad Lowrey.

Mr. Cronin also will explore small-business services such as lines of credit, credit card processing, and financing accounts receivable. The goal is "to perform as that small-business' bank, as opposed to just their mortgage lender," Mr. Lowrey said.

In addition he will look into home equity and auto lending - another hot area for thrifts diversifying out of mortgages. But Mr. Lowrey said managers are "skeptical" that Cenfed can muster the pricing power to compete in that crowded market.

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