Jim Dobbs

The bank faced credit setbacks in the nation's capital and margin pressure this year. But it made a series of hires to reduce risk and diversify its loan portfolio, preparing for a new era of demand as the industry awaits interest rate cuts.

The deal to buy the First of Long Island Corp. would create a $14 billion-asset bank with $11 billion of both loans and deposits.

REV Federal Credit Union in suburban Charleston, South Carolina, plans to acquire First Neighborhood Bank in West Virginia. It marks the 15th deal this year involving a credit union buying a bank, closing in on 2022's record of 16 deals.

Lenders across the country selected new executives late in the summer, as did Virginia's community bank advocacy group.

Bridgewater Bancshares agreed to acquire First Minnetonka Bancorp. in an all-cash transaction slated to close in the fourth quarter. It would create a nearly $5 billion-asset bank.

The combination, expected to close next year, would create a regional bank with $17 billion of deposits across 10 states.

Lower interest rates could bolster loan demand, credit quality and securities portfolios. But they could also curb lending profitability faster than they ease deposit costs, crimping net interest margins and eating into near-term profits.

Increased demand from borrowers may hinge on Federal Reserve Chair Jerome Powell and his colleagues cutting interest rates this fall.

Shan Hanes, the former leader of Heartland Tri-State Bank, previously pleaded guilty to embezzling tens of millions of dollars in a cryptocurrency scheme that caused the Kansas bank's failure.

U.S. Eagle Federal Credit Union said it plans to acquire Southwest Capital Bank in a transaction slated to close next year. It would help the buyer expand its cannabis banking operation.