Principal Bank to transfer some deposits to BofI Federal Bank
DES MOINES, Iowa--(BUSINESS WIRE)--
Principal Bank® and BofI Federal Bank
entered a strategic agreement to transfer Principal Bank’s individual
checking accounts and non-IRA savings, money market and CD accounts to
BofI Federal Bank. The transfer is expected to finalize in the next
several months. Financial terms are not disclosed.
“The transfer of some bank deposits is the next important step in
Principal Bank’s transformation to a limited purpose trust institution.
After the transfer, Principal Bank will continue to provide services to
support the Principal Financial Group retirement business,” said Barrie
Christman, president, chairman and CEO of Principal Bank. “Principal
Bank currently has deposits of $1.9 billion associated with the
retirement businesses, including all individual retirement accounts
BofI Federal Bank CEO, Gregory Garrabrants stated, “We look forward to
providing an outstanding product and great customer service to Principal
Bank’s customers. We are delighted to be chosen by Principal Bank and we
will work hard to earn the business of our new customers.”
Like Principal Bank, BofI Federal Bank is a nationwide, direct bank
operating in all 50 states. BofI has approximately $2.1 billion in
The business transaction is expected to be seamless for clients and
advisors of The Principal. Christman notes, “We chose BofI Federal Bank
because their business model, fees and products are very similar to
those of Principal Bank. We encourage our customers to take advantage of
the products and services available through BofI.”
This transaction is subject to approval by the Office of the Comptroller
of the Currency.
For more news and insights from the Principal Financial Group, connect
with us on Twitter at: http://twitter.com/ThePrincipal.
About BofI Federal Bank
BofI Holding, Inc. (NASDAQ: BOFI) is
the holding company for BofI Federal Bank, a nationwide branchless bank
that provides highly competitive consumer and business deposit products
to its customers. With over $2.96 billion in assets, BofI Federal Bank
provides financing for single and multifamily residential properties,
small-to-medium size businesses in target sectors, and selected
specialty finance receivables. BofI Holdings was recently named the top
performing large thrift in 2012 by SNL Financial. BofI Holding, Inc.’s
common stock is listed on the NASDAQ Global Select Market and is a
component of the Russell 3000 Index. For more information on BofI
Federal Bank, please visit www.bofifederalbank.com.
About the Principal Financial Group
The Principal Financial
Group® (The Principal®)1 is a global
investment management leader offering retirement services, insurance
solutions and asset management. The Principal offers businesses,
individuals and institutional clients a wide range of financial products
and services, including retirement, asset management and insurance
through its diverse family of financial services companies. Founded in
1879 and a member of the FORTUNE 500®, the Principal
Financial Group has $456.1 billion in assets under management2 and
serves some 19.1 million customers worldwide from offices in Asia,
Australia, Europe, Latin America and the United States. Principal
Financial Group, Inc. is traded on the New York Stock Exchange under the
ticker symbol PFG. For more information, visit www.principal.com.
1 “The Principal Financial Group” and “The Principal” are
registered service marks of Principal Financial Services, Inc., a member
of the Principal Financial Group.
2 As of March 31, 2013.
Source: Principal Financial Group