First Arvest Merger On Track With Okies

A few ticks are still being worked out, but the merger of First Arvest Bank of Siloam Springs with Delaware County Bank in Jay, Okla., is nearing completion. State approval has already been granted, and final approval from the Federal Reserve Bank of St. Louis is expected to come Aug. 10.

Delaware County’s locations in Jay, Okla., which is about 24 miles from Siloam Springs, and Kansas, Okla., (about 13 miles from the state line), will operate as autonomous branches of First Arvest and reflect the change with new office signs.

Two interesting questions have arisen, however, because the transaction crosses state lines. Oklahoma has a law that, in the event of a death of a depositor, requires institutions to notify the state before releasing any money.

But if the account was opened in Arkansas, will the money always remain in that state? Also, will First Arvest be able to import the Oklahoma usury interest rates to its bank in Arkansas?

First Arvest president & CEO Warren Fields, whose bank possesses assets of more than $205 million, said the details are still being worked out.

Delaware County, with assets of about $30 million, was sought out by First Arvest in early 1999 because 30 percent of the Arkansas bank’s business came from the Oklahoma market. Fields said First Arvest, formerly First National Bank of Siloam Springs, wanted to give customers the option of banking in their own communities while still getting the services groups like Arvest can offer.

Additional banking services added to the Jay, Okla., and Kansas, Okla., markets will include asset management and various mortgage services.