Some community banks in New York City are Seneca Federal Bank, Upstate Bank and Victory State Bank. These community banks are members of the Independent Bankers Association of New York State.
Community banks gather deposits in communities and turn them into loans and other productive investments within these communities. They often participate in local philanthropic activities and civic organizations. The average fees of most community banks are often lower than those of big banks. In addition, community banks understand the needs of the local community and approve loan applications locally. They often loan to small businesses who can't get loans from big banks.