City of Loretto & 21st Century Bank Celebrate 20-Plus Years Together
Municipality Taps Into Our Tailored Banking Solutions & Community Service Commitment
“Everyone [at 21st Century Bank] is very responsive. If I have a question or need help, they get back to me — often the same day. That level of service is huge for us.”
When you run a municipality, the process of identifying a trusted banking partner is vital to the city’s lasting financial success – with decision-makers focusing on far more than interest rates and checking account packages.
It’s common for small cities to have limited personnel and financial resources available, which often motivates leaders to select a readily available banking partner that is immediately responsive and deeply invested in the community’s success.
This is the role 21st Century Bank proudly plays for the City of Loretto, Minnesota, which sits just west of the Minneapolis-St. Paul Metro Area. The charming city is home to nearly 650 residents.
21st Century Bank’s Lasting Commitment to Loretto
For more than two decades, 21st Century Bank’s team has served the city and its residents from our Loretto branch, which we acquired back in 2004 from the former Loretto State Bank.
According to Loretto’s City Clerk and Treasurer, Mary Schneider, who has been in her role since 2013, 21st Century Bank has been the city’s go-to financial partner post-acquisition – and records indicate the former bank supported the city starting in the mid-70s. We’re honored to have such a depth of history with a beloved customer.
Since the start of our relationship, we’ve provided tailored municipality banking solutions aimed at saving time and increasing efficiency for city staff. And as the relationship centers around showing up and giving back, our Loretto team has passionately immersed themselves in volunteering to strengthen and serve the community.
With a city administrative staff of just two, Loretto values the bank’s responsiveness, and that’s where our Business Banking Team shines. “21st is the only bank in town, so they’re a big part of our community,” said Schneider. “They participate in city events – and their staff shows up, not just as donors, but as volunteers.”
Streamlining Operations Through ICS Sweeps & ACH Origination
“We use [the bank] for almost all of our financial needs,” said Schneider. “Checking, savings, ACH origination for payroll and utility billing, and our ICS sweep account. Really, everything.”
One of the most impactful upgrades to the city’s financial processes came with the introduction of the ICS (Insured Cash Sweep) and Money Market account.
“Before we set up ICS, city staff were manually transferring funds between our bank and their investment account with the 4M Fund, a municipality-focused money market fund which wasn’t serving their needs at the time,” said Michael Gallagher, 21st Century Bank’s SVP/Head of Business Development.
“Now, everything is automated for the City of Loretto,” said Gallagher. “We set a target balance for their checking account, and anything above that is swept into an interest-bearing account that’s fully insured by the FDIC.
Schneider said the city is pleased with the transition: “It’s really hands-off and makes our investing much easier.”
The city also taps into our ACH origination services — allowing city staff to offer residents an autopay option for utility bills. “It’s especially helpful for a smaller city staff like ours,” she said. “Anything that saves time is huge.”
City of Loretto, Minnesota
21st Century Bank Reinvests In Loretto, Minnesota
As 21st Century Bank is the only bank in town, our Loretto branch is embedded in the local community — going far beyond banking solutions to invest in the community through volunteerism and donations. “We’re very active in community events,” said Gallagher. “It’s about showing up for the community.”
Carla Demchuk, who leads our Loretto branch, coordinates much of that involvement — including 21st Century Bank’s participation in the annual Fun Fest and Holiday Train events, both staples of the Loretto community calendar.
“For Fun Fest, we collect donations for area food shelves,” said Demchuk. “And for the Holiday Train, we go big — and dress up as characters like Minnie and Mickey Mouse, Olaf from Frozen, and The Grinch. The train draws thousands of people each year, and we love being part of it.”
Demchuk said the bank’s financial and workforce contributions are consistent and heartfelt. “There’s a lot of heart behind it. Every time we’ve asked our team for support, they’ve stepped up. Whether it’s prizes for Turkey Bingo at the church, toys for holiday drives, or help with costumed characters at events, the answer is always ‘yes.’”
Small Town Customer Service, Big City Speed
As many banks offer competitive products and solutions, it’s customer service that sets banks apart.
“They know us and understand our needs,” said Schneider. “I never feel like I’m being routed through a big system to get support. I know who to call, and I always get a friendly, helpful response.”
“What makes us different is how we show up,” said Gallagher. “We respond immediately. We treat each city — whether they’re small like Loretto, or big like Blaine — as a priority. Our presence here is personal. We live here. We raise our families here. And we’re part of the community.”
21st Century Bank’s commitment to Loretto is a model of our municipal partnership – one that we’re proud to have been a part of for decades.
