Interstate Federal board to vote on sale to Peoples State Bank
The board of directors of Interstate Federal Savings and Loan Association will vote next week on whether to sell to Peoples State Bank of Prairie du Chien, Wis. Interstate Federal, originally Home Building and Loan, has operated in McGregor for 109 years. (Photo by Audrey Posten)
Move would bring full banking services to McGregor
By Audrey Posten, Times-Register
The board of directors of Interstate Federal Savings and Loan Association in McGregor will vote next week on whether to sell to Peoples State Bank of Prairie du Chien, Wis.
The move has been in the works for several years, according to Interstate Federal President Cathy Denning, and will add services to the institution which has served McGregor and surrounding communities for 109 years.
“Community service has been the key to Interstate Federal’s 109 years of success. Bringing full banking services into McGregor and to all of Interstate Federal’s customers is our goal,” Denning said.
Known originally as Home Building and Loan, Interstate Federal was founded in 1914 by a few local businessmen as a mutual association to provide funds, mainly for home ownership. The founders and first directors were Logan Blizzard, Anton Huebsch, John (Jack) Kramer and Charles Kramer, and the association was housed in the Kramer Clothing Store building.
Early savings associations were “pooled” funds, collecting money in a barrel in a local store and loaned out once enough funds were gathered. The World Wars and Great Depression set the stage for distrust in traditional banks for many people, making a mutual association a popular choice for savers and borrowers alike.
The institution name was changed to Interstate Federal Savings and Loan Association in August 1935, upon receipt of its charter and federal insurance of deposits. The business moved to its current location at 154 Main St., in McGregor, in 1956, following the purchase of the building from famous local photographer Margery Goergen.
Interstate Federal has continued to fulfill deposit and loan needs in the proceeding years. As a Peoples State Bank branch, those services would continue, in addition to services like checking, IRAs and online banking, said Denning.
“It will be exciting for people to have access to those things. We think this partnership will be really good,” she shared. “Peoples State Bank has a long history—they haven’t gone anywhere. They have been great to work with.”
The acquisition, “will bring full banking services to McGregor,” assured Peoples State Bank Marketing Officer Aphton Check. “Our main focus was also because of the convenience of the location. We have branches already in Iowa—in Guttenberg, Harpers Ferry and Waukon—and this is centrally located. It will provide better coverage.”
Check said the transition would bring no major changes to the Interstate Federal building.
“The facility there is great. It will just have more of a Peoples State Bank feel, like our other locations,” she explained.
Denning and fellow staff member Janet Hallberg will also remain at the bank.
Keeping that continuity is “impactful,” Check said. “It’s important to have that level of trust.”
Denning agreed.
“We’re both going to be here and will continue to help you. Now, you can just do more,” she said. “We hope this is good news that will spur even more positive thinking.”
If approved by the Interstate Federal board Sept. 20, the process will take several months to complete, according to Check. The location should officially be a Peoples State Bank by the end of the year, if not by Dec. 1.
If people have questions, Denning welcomes them to reach out to herself or any of the other Interstate Federal directors: Dan Bickel, Linda Witter, Ryan Bacon and Stephen Von Handorf.
