There is truth in the power of homegrown banking in Nashville, TN, based on the latest market share report. Middle Tennessee’s locally based banks posted continued gains in market share in the past year, while regional and national banks have lost ground, according to new data released today by the Federal Deposit Insurance Corp.
Williamson County’s Franklin Synergy Bank jumped two spots in the ranking up to six with 4.3 percent of the area’s deposits. In one year, the bank added nearly $750 million to its local deposits, bringing its total deposits up to $2.3 billion. This number does not include any bump Franklin Synergy Bank would receive from its recent merger with Civic Bank & Trust, since that deal has yet to close.
Nashville Tennessee’s largest homegrown bank, Pinnacle Bank, also saw its market share grow in the past year to 10 percent of the area’s total deposits, up from 9.2 percent last year. As with Franklin Synergy, Pinnacle’s merger with Avenue Bank is not represented in this data, since the deal closed on July 1 and the market share snapshot was taken on June 30. With Avenue Bank’s market share added in, Pinnacle would have an 11.5 percent market share, putting it in the No. 3 position above Atlanta-based SunTrust Bank.
Other locally based banks not in the top 10 that posted solid growth in the past year include the city’s newest publicly traded banks: CapStar Bank and FirstBank. CapStar held steady in the No. 11 position, growing to 2.2 percent market share from 2 percent this time last year. FirstBank maintained its spot at 14, but grew its total deposits to $825 million, up from $617 million.
While Bank of America continues to be the city’s largest bank based on local deposits, its Nashville, TN dominance might be waning. The Charlotte-based giant has $8.4 billion in local deposits, up from last year’s $8.3 billion, but the bank’s market share dropped 1.1 percentage points. This shows that while there is more money locally, Bank of America is not the only one benefiting from the extra cash.
Birmingham-based Regions Bank saw its market share dip to 13.9 percent, down 0.4 percentage points from this time last year. SunTrust Bank also fell, down to 11.5 percent market share.
Here are the Top 10 banks in Nashville, by local deposits as of June 30:
- Bank of America: $8.4 billion (16.2 percent market share)
- Regions Bank: $7.2 billion (13.9 percent market share)
- SunTrust Bank: $5.9 billion (11.5 percent market share)
- Pinnacle Bank: $5.2 billion (10 percent market share)
- First Tennessee Bank: $3.3 billion (6.4 percent market share)
- Franklin Synergy Bank: $2.3 billion (4.3 percent market share)
- U.S. Bank: $1.8 billion (3.5 percent market share)
- Wilson Bank and Trust: $1.7 billion (3.3 percent market share)
- Fifth Third Bank: $1.5 billion (2.9 percent market share)
- Wells Fargo Bank: $1.5 billion (2.8 percent market share)
Meg Garner covers banking, government and law.
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