The Bank Slate


First Internet’s 1Q loss reflects mortgage exit, C&I writedown

First Internet Bancorp in Fishers, Ind., reported a net loss in the first quarter after shutting down its mortgage operations and partially charging off a commercial participation loan.

The $4.7 billion-asset company lost $1.3 million, a reversal from the $11.2 million it earned a year earlier. The results included $3 million in costs tied to exiting the mortgage business and $4.7 million tied to the C&I loan.

“Despite an issue late in the quarter on one commercial participation loan, our exposure to similar-type loans is very limited and all others are performing well,” David Becker, the company’s chairman and CEO, said in the release.

Deposits increased by 12.6% from a year earlier, to $3.6 billion. While First Internet said had a “modest decline” over the second half of March, it has added $135 million of deposits so far in April.

The company also noted that it now has $82.4 million of deposits tied to Banking-as-a-Service (BaaS) clients.

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