For nearly three years after it changed charters on Sept. 1, 2001, Allied First Bank of Naperville, Ill., used essentially the same strategy it had as a credit union.

This is a corrected version of an article originally published December 7, 2004.

Cardinal Financial Corp. in McLean, Va., which already added four branches this year, said Friday that it opened two more in northern Virginia last month and plans to open another Dec. 13.

Funding for a major incentive for low-income lending has been dwindling, and there is no sign it will increase soon.

Though others may feel no need for such drastic measures as Fifth Third Bancorp announced last week to prepare its balance sheet for rising rates, banking companies are clearly looking differently at their investment portfolios.

First Charter Corp., pegged by many on Wall Street as a candidate to be bought out, is talking about buying rather than selling.

The Wisconsin Department of Revenue has reached agreements with 87 banking companies concerning taxes on their out-of-state subsidiaries.

Merchants Bancshares Inc. in South Burlington, Vt., plans to return $28.1 million of capital to its investors in the form of a $4.50 a share special dividend payable Dec. 17.

Clarkston Financial Corp. in Michigan wanted to expand to Milford, which is about 20 miles away from its hometown.

Valley National Bancorp of Wayne, N.J., said Thursday that it had agreed to buy the $425 million-asset Shrewsbury State Bank, also of New Jersey.

NEW ENGLAND

Seacoast Banking Corp. of Florida plans to acquire the $288 million-asset Century National Bank of Orlando for $46.2 million.

Now that the struggle over funding the Small Business Administration's flagship 7(a) program has been settled, lenders are turning to an issue that may be even more important to community banks: "piggyback" lending.

Farm Credit Services of America ACA of Omaha has agreed to pay Rabobank Group a $10 million fee to terminate its deal to sell itself to the Dutch giant.

Banks have been getting bad press for raising credit card interest rates - sometimes doubling them - and slapping fees on borrowers who have not met repayment terms or have developed credit problems the issuer learned of. Last week The New York Times and the Public Broadcasting Service's "Frontline" ran a full-page story and full-hour program on the topic.

PFF Bancorp in Pomona, Calif., can thank a red-hot real estate market for its surging share price.

Lakeland Bancorp Inc. has reached a settlement agreement with one of three insurance companies over a pool of nonperforming commercial leases.

R. Steven Aaron is largely responsible for making Integrity Financial Corp. in Hickory, N.C., what it is today.

Main Street Inc. of Atlanta announced Monday that it has filed a prospectus to sell an additional 1.5 million shares in a common stock offering.

Coast Financial Holdings Inc. of Bradenton, Fla., plans to open four branches soon in a neighboring county.