Michigan

Flagstar Bancorp in Troy, Mich., said its fourth-quarter profit rose 20% to $33 million from a year earlier as its lending rose by nearly half and its expenses fell.

Chemical Financial in Midland, Mich., has agreed to buy Talmer Bancorp in Troy, Mich.

Mackinac Financial in Manistique, Mich., has agreed to buy First National Bank of Eagle River in Wisconsin.

Ally Financial in Detroit has received a demand from an activist investor to explore strategic alternatives, including a possible sale of the company. The activist is also seeking two board seats.

Community Shores Bank Corp. in Muskegon, Mich., has raised about $5.3 million and has been released from an enforcement action.

Banks have made changes to overdrafts, such as lowering fees offering clearer explanations. They better, as the CFPB will soon offer new rules for overdrafts. Plus, overdraft revenue has declined at many banks. Still unanswered is the question of how to offer short-term credit, if overdrafts disappear.

Talmer Bancorp in Troy, Mich., will record a nearly $14 million charge in the fourth quarter tied to ending its loss-share agreements with the Federal Deposit Insurance Corp.

Birmingham Bloomfield Bancshares in Birmingham, Mich., has redeemed its shares in the Small Business Lending Fund and exited the program.

Ally Financial in Detroit has promoted David Shevsky to chief risk officer, after its previous executive in that role left for Santander Bank's holding company.

ChoiceOne Bank in Sparta, Mich., has appointed Bradley Henion chief lending officer.