News

First Federal Bank has joined a cohort of banks from across the country participating in “Mutuals Matter” – an initiative focused on promoting the importance, value, and distinction of mutual banks. Originally launched in October of 2024, Mutuals Matter is an education and public awareness campaign detailing the characteristics of mutuals and how they differ from traditional banks and other financial institutions. First Federal is the lone mutual bank in Idaho, and one of the few in the Western United States. Nationally, there are approximately 500 mutual banks. The Federal Deposit Insurance Company (FDIC) notes that mutual savings banks date back to 1816, and today’s mutuals continue the tradition of operating for the benefit of their depositors, borrowers, and surrounding communities.

“We are very proud to be Idaho’s only mutual bank,” stated Jason Meyerhoeffer, President and CEO of First Federal Bank. “We’re also proud to join other mutual banks across the country in the Mutual Matters initiative. As a mutual, we truly are a community bank. We are owned by our depositors – community members who are customers. Our mission is to enhance their financial well-being as well as to improve the broader community.”

In contrast to shareholder-owned banks, mutual banks are owned by their depositors – customers who have a checking or savings account. This structure provides mutual banks with the opportunity to focus on serving their customers’ needs and interests rather than prioritizing shareholder profits. Further, any profits generated by a mutual bank are reinvested back into the operations of the bank to benefit customers and employees, towards broad and competitive products and services, and contributions to the overall community. In addition to the customer and community-focused aspects of mutuals, their operational structure and growth model are conservative, ensuring a commitment to long-term stability.

"We can only grow as fast as we grow retained earnings," Meyerhoeffer explains. "I think it makes for a more stable and safe organization because we don't grow at a rate that maybe isn't healthy or reach for earnings that puts us in higher risk areas.”

First Fed customers as well as the general public will immediately begin seeing the Mutuals Matter icon on bank communication channels and marketing collateral as well as campaign-specific content that promotes the unique characteristics of mutuals.

Mutuals Matter was initially developed by a group of 10 founding mutual banks including Chelsea Groton Bank, First Mutual Holding Company, New Hampshire Mutual Bancorp, and Piedmont Federal Savings Bank. Campaign materials were created by Duffy & Shanely, Inc., a full-service advertising, marketing, and public relations firm located in Providence, Rhode Island. For additional information about the Mutuals Matter initiative, visit www.mutualbanksmatter.com.