Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Non-Tech : NetBank(NTBK)-formerly Atlanta Internet Bank -- Ignore unavailable to you. Want to Upgrade?

To: AugustWest who wrote (495)	5/20/1998 5:50:00 PM
From: SFJayhawk	Read Replies (5) \| Respond to of 2414

Good Article on Bloomberg Today! I am sorry that I am not able to provide the whole article(hard to copy off Bloomber), but the Article is entitled "Net.B@ank Finds Online Banking Profitable" Summary: Company has one office and 22 employees, thus low expenses allow it to pay higher rates for deposits, charge less for loans and still make a profit.....Deposits at Net.B@nk sweeled by $15-$20 million a month at a time when most banks struggle to keep them. Consumers are drawn to checking accounts that pay up yo 4% and require a minimum balance of $100, and by high-yielding certificate of deposits and money markets......In April, deposits increased to $160 million with 10,000 customers in 50 states and 20 countries. CEO thinks bank could have 20,000 customers and $225 million in deposits by the end of the year. Not bad compared to average 1% growth in 1997 for big banks covered by PAine Webber. ....Estimated earnigns of 20 to 25 cents for 1998 and 70 to 75 cents in 1999. ....Analysts say Net.B@ank is poised for rapid growth. Last week, it offered brokerage service and they will introduce credit cards sometime this year. Bank also plans to offer martgageloan applications. ..."It's a buying opportunity." said Marguerite Sons, an analyst at Interstate/ Johnson Lane in Atlanta. ...The Internet bankiing market is expected to increase to more than 16 million U.S. households by the year 2000 from about 3 million today, according to a study by New York consulting firm Booz-Allen & Hamilton, Inc. On-line benefits Operating expenses are about 3.5 % of total assets at well-run banks, compared to 2.8% of assets at Net.Bank. Costs are lower for banks on the Internet because they can make transactions for about a penny each, versus $1 each in a branch. ..Net.B@nk, CompuBank, TeleBanc Financial Services and Internet Access Financial Cor's NextCard are "pioneers." accrding to gary Craft, an analyst at Robertson Stephens ....The big banks are coming in..Chase plans to start Internet banking later this year. ..Houston-based CompuBank plans to open in the next few months, and First Internet Bank Indian received a statute charter in October. ..NTBK's CEO says there is plenty of business to go around. "If we can get one half of one percent of the Internet market, we will be a $1 billion bank." I hope this article is useful and I can't wait to kick back and enjoy a nice cold Billy Beer!!!! Alan