Five Questions With: Edward M. Lake

Edward M. Lake was recently named the new vice president and director of commercial services and government banking at Centreville Bank. His career began more than 25 years ago in New York in the international trade operations group at The Bank of New York. Prior to joining Centreville Bank, Lake was in charge of treasury management sales for TD Bank N.A.’s New England region. Lake spoke with PBN about his new role and what his plans are for the bank.

PBN: Your new position will include overseeing commercial services and municipal banking. What does that entail?

LAKE: As Centreville Bank continues to grow our commercial business and diversify the asset mix to include more commercial and industrial lending, it is critical that we remain focused on building full banking relationships with clients, which includes all aspects of working capital management. To that end, I am responsible for our cash-management product offerings for all business and government entities, including all receivables and payables management, as well as liquidity-management solutions for small business, commercial and government banking.

 

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PBN: How do you plan to grow each of these with Centreville Bank?

LAKE: Our plan is to develop a unique approach for each of these segments and rely heavily on relationship building and service.

We will address the needs of smaller businesses by offering unmatched value at an affordable price while ensuring that we do not compromise the high-touch level of service through the support of our expanding branch network and Branch Management team. Centreville Bank will also soon be offering options for bundled services that provide powerful improvements to managing cash and payments at a simple price point.

A consultative approach will be taken with larger, commercial clients so we can truly understand the depth and scope of the various challenges they face, while offering sound advice and recommended solutions. With more than 25 years of experience in the cash-management space, I look forward to providing our clients with new ideas and proven solutions to many of these challenges.

Lastly, we will continue building upon the significant growth we have had in the municipal segment over the past five years. Centreville Bank’s time-deposits and short-term investment options specifically designed for government entities have helped us establish and build a substantial portfolio of government banking clients. We will continue to work toward acquiring new clients while focusing on expanding government relationships to include primary operating accounts and cash management, particularly in those cities and towns that we have a physical presence or branch location.

We are excited about the new opportunities that our continued organic growth in Rhode Island is offering, as well as the new markets that our planned acquisition of Putnam Bank in nearby Connecticut will provide for us. The proposed transaction with Putnam Bank is anticipated to close in the first or second quarter of 2020.

PBN: Are commercial services currently a significant offering by Centreville Bank?

LAKE: Commercial services are absolutely a significant offering. When I joined Centreville Bank earlier this year, I was quite impressed with the extensive cash-management capabilities already in place. From basic services, [such as] remote deposit capture and bill-pay through business online banking, to more sophisticated offerings such as lockbox, automated investment sweeps, wire transfers and [Automated Clearing House] services, the bank is equipped to service a wide range of business needs.

There are also several new solutions in the process of being rolled out, including check and ACH positive pay to help clients mitigate fraud on their accounts, reconcilement services and expanded sweep options that will provide clients additional tools to better manage their cash flow. We will continue to partner with companies that will help us develop and tailor services that expand the ways we can help clients.

PBN: What are some trends within commercial services and municipal banking that the bank is currently seeing?

LAKE: The most notable trends stem from the extreme amount of change and the pace of that change in the overall payments space. This is being primarily driven from the consumer experience that hinges today on a what I like to call “close-to frictionless” experience. It is not the banks that have driven this change necessarily. We hear every day about fintechs disrupting the banking industry, which is true. But, I believe, it is more the change in the consumer experience that has evolved from apps [such as] Amazon; Facebook and social media in general; Uber; and many others. There is a different user experience expectation. The bar has not only been raised but raised high! Due to this shift, we are seeing both smaller and larger companies demanding a similar experience in their day-to-day banking that they get in their personal lives.

In addition, although historically late adopters, finance departments of cities and towns, large and small, are adopting the cash-management technologies that will help them streamline tax-receipt handling and payables processing and part of my role is to support them in those efforts. All segments are looking for ways to move further along the spectrum to a more fully integrated receivables and payables environment. They are highly focused on saving time and lowering costs, but the trend is increasingly centered on improving their client and vendor relationships and the experience in doing business together.

PBN: What does Centreville Bank offer in cash-management services for commercial and small business that is unique compared to what the competitors offer?

LAKE: While we are well-positioned with an extensive suite of cash-management offerings, Centreville Bank continues to lead with our strongest differentiators: relationship and service. As a mutually owned financial institution and a community bank, we remain committed to putting our customers first and providing them the local experience and expertise that does not exist elsewhere.

James Bessette is the PBN special sections editor. You may reach him at Research@PBN.com.