Pinnacle Becomes Second Largest Bank In Chattanooga By Deposits, Adds More Local Dollars

  • Friday, September 27, 2024

Pinnacle is now the second largest bank in the Chattanooga MSA by deposits, having grown deposits by $258.9 million in the 12 months ended June 30, for a total of $2.2 billion—the firm’s first time over the $2 billion mark locally. That’s an annual growth rate of 13.36 percent to reach 14.58 percent of local market share, according to FDIC data. No other bank in the market added more deposit dollars than Pinnacle in the period.

In nearby Cleveland, Pinnacle is the No. 1 largest bank in the MSA by deposits despite having just one office in the area. The firm climbed into the top spot as of June 30, by adding $101.4 million in local deposits during the 12 months ended June 30, for a total of $490.8 million and 18.36 percent market share.

“Our differentiated model of providing distinctive service and effective advice continues to attract clients in large numbers from other financial institutions,” said Craig Holley, Pinnacle’s Southeast Tennessee chairman. “It’s a privilege to be trusted, and we’re thankful for the hard work of our associates who put clients first every day.”

Despite a difficult operating environment for banks, Pinnacle has remained on a growth trajectory thanks to a favorable competitive landscape, said officials. The firm’s award-winning culture and nationally recognized service levels attract Chattanooga’s most experienced and successful bankers along with their best clients, said officials. Some of Pinnacle’s chief competitors in the market experienced dramatic losses in both local deposits and market share, according to FDIC data as of June 30, 2024. That includes:

Statewide, Pinnacle is the second largest bank by deposits. The firm added $858.1 million during the 12 months ended June 30, bringing its total to $27.7 billion and 12.40 percent market share. In the Nashville MSA, Pinnacle is No. 1 with $19.7 billion in deposits, having grown by $215.2 million in the same period for an annual growth rate of 1.1 percent. In Knoxville, the firm is the No. 4 largest bank in, achieving 12.62 percent growth to a total of $2.9 billion and 11.39 percent of market share. And in Memphis, Pinnacle notched a 1.84 percent deposit loss for a total of $2.3 billion and a No. 3 ranking. 

Across its footprint, Pinnacle grew deposits in 21 out of 27 MSAs measured by the FDIC, including 12 with double-digit growth and one with triple-digit growth. The firm grew share in 20 of those markets, taking a greater percentage of overall local deposit pools, at a time when competition for bank deposits has been incredibly fierce.

Pinnacle began serving Chattanooga in 2015 when it acquired CapitalMark Bank & Trust.

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