A Kent, Ill., bank said it has complied with a Federal Deposit Insurance Corp. order to revamp its lending practices.
The agency had issued a cease-and-desist order in July, telling $29 million-asset Kent Bank to change the way it makes loans. The FDIC released the order to the public last month.
Neither Kent Bank officials nor the FDIC would discuss what the bank had done to prompt the order. Nor would the regulator state that the bank is now in compliance.
The order instructed the bank to compensate borrowers who had not received accurate account information on loans. It was also told to update customers properly on their loans and to evaluate their credit risk.
Larry R. Krebs, Kent's president and chief executive, said the bank first identified problems with its lending procedures when he joined the bank in 1995 and has been working to correct them.