COAST FEDERAL OFFERS EXPANDED LOAN SERVICES THROUGH AGREEMENT WITH U.S. BANCORP
COAST FEDERAL OFFERS EXPANDED LOAN SERVICES
THROUGH AGREEMENT WITH U.S. BANCORP
PORTLAND, Ore., Nov. 6 /PRNewswire/ -- Coast Federal Bank, one of California's most aggressive first mortgage residential lenders, has expanded its capability to provide consumer-lending products through an innovative agreement with Portland, Ore.-based U.S. Bancorp (NASDAQ: USBC).
U.S. Bancorp, through a subsidiary, will underwrite and service auto and other consumer loans for customers of Coast Federal, the $9-billion, 100-branch savings and loan headquartered in Los Angeles with offices throughout the state of California.
Coast Federal joins a growing list of West Coast financial institutions participating in U.S. Bancorp's innovative "agent" program.
Under the program, banks and thrifts are able to generate new fee income by offering their customers loans that are underwritten and serviced by U.S. Bancorp. In return, U.S. Bancorp is able to create new sources of assets and income through its network of "agent" banks and thrifts.
"Our program is very appealing to institutions who wish to serve their customers through an existing distribution network without building assets," said Ken Adams, vice president and regional sales manager for U.S. Bancorp's agent program. Adams, who is headquartered in Los Angeles, negotiated the agreement with Coast Federal and is working with other institutions who are interested in the program.
"Our agent banking services allow banks and thrifts to minimize their risk by leveraging the strength and expertise of U.S. Bancorp on behalf of their customers. In return, we're able to use our capital strength to reach beyond our traditional geographic boundaries," Adams explained.
U.S. Bancorp compensates its agents for each loan they complete, and supports them through product training, marketing and promotional assistance.
With the signing of Coast Federal, U.S. Bancorp has over 400 retail outlets providing agent-banking services in California and Washington.
Other institutions signed on as agents including Stockton Savings Bank, Stockton, Calif.; Home Fed Bank, San Diego; Summit Savings Bank, Bellevue, Wash.; Heart Federal Savings and Loan, Auburn, Calif.; and U.S. Savings Bank, Bellingham, Wash.
U.S. Bancorp is the largest financial services company headquartered in the Pacific Northwest, with assets of $18.6 billion as of Sept. 30, 1991. Subsidiaries include U.S. Bank of Oregon, U.S. Bank of Washington and U.S. Bank of California.
/CONTACT: Mary Ruble of U.S. Bancorp, 503-275-6200/
(USBC) CO: U.S. Bancorp; Coast Federal Bank ST: California IN: FIN SU: LM-JH -- SE010 -- 1828 11/06/91 15:18 EST