Dieterich Bank (DB), located at 101 North Main Street in Dieterich, IL, was chartered on November 15, 1909. The bank served local farmers, merchants, and people of the Village of Dieterich. Owned and operated by N. J. Stipp, President, and R. C. Crays, Cashier, in 1919, both gentlemen saw the bank through the 1930s and survived the Great Depression. Bank assets were $228,000 in 1930, and by 1944 when Stipp and Crays sold the bank to J. M. Schultz, bank assets were $857,000. As the bank continued to grow and prosper due to its loyal employees and dedication to the community, the bank moved into a new building at 103 West Section Street in Dieterich in 1969.
In 1986, the bank expanded yet again, and a new bank was built at 101 South Main Street in Dieterich where it still operates today as a branch facility. Tom Niebrugge was named President, bank assets were at $18,000,000, and the bank now had a total of nine employees. The bank was realizing significant growth, and in 1993 discussions began regarding expansion into other communities. Because of the special dedication and conscientious work ethic of the bank's employees, and the progressive vision of its Board of Directors, in 1996 the Teutopolis Banking Center, now known as Dieterich Bank, – Teutopolis located between Teutopolis and Effingham in Illinois, and the Newton facility serving Jasper County were established. The Lake Sara facility opened in November of 1999 inside a convenience store located at the corner of Route 33/32 and Lake Sara Road in Effingham. The bank had four locations, had grown to $100,000,000 in assets, and had forty-four employees.
As the new millennium took hold, the community banking industry became increasingly competitive. Not only were community banks competing with each other for market share, but the bigger regional and national banks were also viable competitors. Even so, the bank continued supporting its communities through innovation, technology, and genuine customer service. The vision for the bank's growth continued. In 2007, the bank broke ground for a fifth banking facility to be located at 510 West Fayette Avenue in downtown Effingham, IL. The new Effingham facility opened its doors in May of 2008, and in spite of the economic downturn, the bank ended the year with $232,000,000 in assets.
In December 2009, the new stand-alone banking facility located at 10911 E. State Hwy. 33 in Effingham opened. The new full-service bank replaced the convenience store operation at the corner of Route 32/33 and Lake Sara Road.
In 2012, we completed our first acquisition. The First State Bank of Red Bud, and its branch in Belleville, IL, joined our operation in January. It contributed $95,000,000 in assets to the bank. The new facilities have had a seamless transition into our culture. Their background was very similar to ours and it seemed like a natural fit for the two organizations.
In October of 2012, we opened the Corporate Center in Effingham. We were presented with a great opportunity to purchase the old Ameren building. After some remodeling, the building served as home to the loan processing department and corporate staff. Mid-2015, the Operations Department also moved to the Corporate Center from its location in Dieterich.
Dieterich Investment Centers was established February 2014. It began with one location inside Dieterich Bank's Effingham Branch. The addition of this comprehensive investment program allows residents of Effingham and surrounding communities to have access to an array of financial services and products including: Financial Planning, Estate Planning, Retirement Planning, College Education, Savings Plans, Portfolio Reviews, Traditional and Roth IRAs, IRA Rollovers, 401k and Retirement Plan Rollovers, Employee Retirement Accounts, Mutual Funds, Stocks and Bonds, Fixed and Variable Annuities, Life and Disability Insurance, and Long Term Care Insurance. The broker-dealer for Dieterich Investment Centers is Commonwealth Financial Network.
The First National Bank of Dieterich simplified its name to Dieterich Bank, in September 2015. This change was not the result of a merger. With hundreds of First National Bank of Somethings out there, we wanted to stand out and reflect who we are. The Village of Dieterich is part of our heritage, so it was only fitting that Dieterich is now our first name.
Dieterich Bank, officially opened its eighth branch in St. Elmo, IL on September 14, 2015 in a temporary facility. On February 5, 2018 our newly constructed, permanent St. Elmo facility was opened at 423 E Cumberland Rd.
Dieterich Bank was chartered in 1909 as a national bank, and as of June 25, 2018 the bank officially converted to a state bank charter. This marks a significant milestone in the bank’s history, although the immediate impact to shareholders, customers and staff is minimal.
Dieterich Bank received an award for being named 2019 Best Places to Work in Illinois by The Daily Herald Business Ledger in partnership with the Illinois Chamber of Commerce, MRA-The Management Association, the Small Business Advocacy Council and Best Companies Group. Dieterich Bank has created a culture of opportunity for its employees and offers perks outside of the regular pay and benefits package that employees appreciate and enjoy. The bank was pleased to receive this award as the key to its success is attributed to its people.
The bank is expanding its footprint in the Metro East market with plans to open a branch in Edwardsville, Illinois. This strategic initiative will create long-term value. The project timeline includes opening a temporary facility in the first quarter of 2020 with plans to begin construction on the permanent facility in early summer.
Plans are underway to open a loan production office in South County St. Louis. The bank has leased office space and is scheduled to open the loan production office in April 2020. This will allow the bank to pursue loan opportunities in that area and continue to grow the commercial loan portfolio. The bank’s current asset size is $806 million with 136 employees.
Dieterich Bank announced February 24, 2020 that it has signed a purchase and assumption agreement with First Bank, Creve Coeur, Missouri, to acquire five of First Bank’s Illinois branch locations with deposits of approximately $221 million. The branch offices are located in Breese, Chester, Columbia, Red Bud and Waterloo, Illinois. Dieterich Bank has also agreed to purchase the fixed assets and some of the loans related to these purchased branches. The transaction is scheduled to close in the third quarter of this year, subject to regulatory approval and the satisfaction of customary closing conditions.
There's only one bank named Dieterich...YOURS!