Question · Q3 2025
Brett Rabotin inquired about the strong money market deposit account (MMDA) growth, specifically if it was driven by internal efforts or the mortgage department, and the stickiness of these new deposit levels. He also asked for color on the non-performing asset (NPA) added during the quarter, including any specific provision related to it. Finally, he sought clarification on the expected magnitude of net interest margin (NIM) expansion in Q4, assuming potential rate cuts.
Answer
Scott Wylie, CEO, explained that deposit growth was a result of ongoing efforts, acknowledging its lumpy nature but affirming the stickiness of the Q3 inflows. He confirmed the NPA was a C&I loan downgraded in Q3 with an adequate specific provision. David Weber, CFO, stated that NIM expansion is expected from deploying balance sheet liquidity into the loan portfolio, improving earning asset yields, and lowering deposit costs, projecting approximately five basis points of NIM expansion in Q4.