More For Your Money | Adams Bank & Trust Newsletter | 4th Quarter 2023

4th Quarter, 2023

DON’T LET FR AUDS TERS DECK YOUR HOLIDAYS

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by

T O D D A DA M S

chief executive officer

he holidays are approaching, and sadly, scores of scammers will end up on Santa’s Naughty List.

What scams and frauds should you be aware of as you do your holiday shopping?

The cyberthieves always ramp up their efforts during the busy shopping season to make fraudulent transactions at your expense.

Fraudulent Texts: Bogus texts about package delivery delays or changes are common ways that thieves target consumers. Don’t click on links in texts and don’t provide usernames, passwords, credit or debit card numbers, PINs, or other sensitive information that can be used to commit fraud.

The good news is that Adams Bank & Trust is continually updating our alerts and card management systems to help you stay ahead of the bad guys year-round.

AdamsAlerts: It’s easy to sign up for our personalized alerts on mobile or desktop so that you can detect any fraudulent activity quickly.

AdamsAlerts will provide notifications about account activity, current balances, recent transactions, account security, and more. You can receive alerts via email, text, or push notification.

CardControl: If you set up CardControl in your Adams Bank & Trust app, you can turn off lost or stolen cards by yourself, even if you’re out of town. You can set alerts, controls, and limits based on location, merchant category, and transaction type. The dashboard view of recent transactions and linked accounts makes it much easier to stay on top of your finances.

See abtbank.com or contact your local branch for assistance in setting up AdamsAlerts and CardControl.

SMS Phishing: Scam artists use computers to send mass text messages (known as SMS phishing or smishing) to thousands of numbers at a time, impersonating retailers, banks, or government agencies.

Spoofed Identities: Phone calls and emails can be made to appear as though a merchant, bank, or other trusted entity sent them. The scammers have falsified or “spoofed” the caller ID information or sender address.

The bottom line? Never click into a link in a text message or email and enter personal or financial information. Don’t divulge that information to an incoming caller. If you have concerns, it’s better to contact the entity directly at their official number or email.

Keep your spirits bright and don’t let fraudsters deck your holidays with bouts of folly.

QUICK TIP: Our contactless debit cards protect you from card skimmers used by thieves. Just tap your card to pay wherever you see the Contactless symbol.

For added security, remember that Adams Bank & Trust debit cards are compatible with Apple Pay, Google Pay, and Samsung Pay mobile wallets.

SERVING NEBR A SK A , C OLOR A DO & K A NS A S | 800. 422.3 4 88 | INFO@A BTBA NK .C OM

PUT TING YOUR HOME EQUIT Y TO WORK FOR YOU

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ou’ve spent all this time working for your house. Can your house work for you now in the form of home equity?

consumer credit card debt has risen to an all-time high, exceeding $1 trillion in the second quarter of this year.

Average interest rates have gone up over the last year and a half, but it still may make sense to look at refinancing in some circumstances.

It’s important to remember that even in economic downturns and higher rate environments, there are always opportunities. People are still moving to new communities, building additions to their home, remodeling the kitchen, whatever it may be.

Paying down high-interest credit card debt that’s placing a financial strain on your household may be one of those instances. It’s not an uncommon issue. The total U.S.

TERRI ROBERTS

vp, mortgage banking NMLS: 1419226

If homeowners are interested in using home equity toward their financial goals, Adams Bank & Trust offers a variety of loan products.

Terri Roberts, vice-president of mortgage banking, says, “You can harness your home equity in a number of ways, whether that’s buying another house, making home improvements, or consolidating other debt.”

Roberts says options include home equity lines of credit (HELOC) and home equity loans. “The HELOC is a revolving line of credit tied to your house. It may be paid down and advanced again for a new need or purpose. A home equity loan is a second lien on your home that is usually termed out 10 to 15 years. If you have an existing mortgage loan at a lower rate, it’s not affected by the second loan.”

adams bank & trust | PA G E 2

by

S T E V E K R AU S E president

guide you through those financial decisions. Our ban kers can provide expert advice on different structures that may improve your cash f low or strengthen your overall economic position.

Whatever the circumstances, we’re actively engaged in your financial success.

As your bank, we’re here to help

A s we enter t he sea son of Thanksgiving, please know how thankful we are for the opportunity to serve you.

Bridge loans are a unique specialty for AB&T. Roberts says, “This is a great option for buyers who don’t want to miss out on the home of their dreams if the first home hasn’t sold yet.”

When interest rates are similar at different institutions, why does it matter where you go for your mortgage? Roberts says at Adams Bank & Trust, relationships are the key.

“Our customers say that working with AB&T is a completely different experience than dealing with other mortgage companies. We just make it easier for you. If there’s something we can do as lenders to streamline the process or make it a better experience, we’re going to do it.”

Generally, liens are placed on both homes, and the bridge loan can be paid off or paid down and refinanced when the first home sells.

“Because we’re a local community bank, our lenders live and work in the same places where our customers are buying homes,” she says. “We’ve made it a priority to cultivate great local relationships with everyone involved in the process, from the realtors to the title professionals to the insurance agents. You don’t have to navigate on your own.”

Rob er t s add s t h at dea l i n g with a local lender can make a crucial difference in your overall experience.

“Our customers say that working with Adams Bank & Trust is a completely different experience than dealing with other mortgage companies. We just make it easier for you. If there’s something we can do as lenders to streamline the process or make it a better experience, we’re going to do it.”

PA G E 3 | your foundation for f inancial success

O U R L O C AT I O N S NEBR ASK A

COLORADO

BRULE 308.287.234 4 CHAPPELL 308.874.2800 GR ANT 308.352.2114 IMPERIAL 308.882.4286 INDIANOL A 308.36 4.2215 LODGEPOLE 308.483.5211 MADRID 308.326.4223 N O R T H P L AT T E 308.532.5936 OGALLALA 308.284.4071 SUTHERL AND 308.386.4345

BERTHOUD 970.532.1800 COLOR ADO SPRINGS 719.4 48.0707 FIRE S TONE 303.833.3575 FORT COLLINS 970.667.4308 GREELEY 970.330.8018 LONGMONT 303.651.9053 KANSAS COLBY 785.460.7868

TOLL FREE 800.422.3488 ABTBANK.COM

ADAMS BANK & TRUS T BAL ANCE SHEET AS OF SEPTEMBER 30, 2023 C A SH

Cash in our vault, plus cash on demand from other banks where funds are deposited.

122,553,852

GOV ER NMENT A ND AGENCY B OND S

420,7 72,328

Marketable investments in bonds and other securities of the U.S. Government and its agencies.

FEDER A L FUND S S OLD

Funds load to other banks for daily cash needs and payable on demand.

L OA NS A ND LE A SE S

Total of all money loaned to customers for all types of loans, such as agriculture, commercial and consumer.

0 850,401,866

BUILDING S, FUR NIT UR E A ND FIX T UR E S

17,4 36,128

O THER A S SE T S

24,720,93 4

T O TA L A S SE T S

1,4 35,885,108

Book value (after depreciation) of buildings, computers, equipments, etc.

Interest on loans earned but not collected, expenses that have been prepaid, etc.

DEP O SIT S

Money on deposit by customers of the bank in the form of checking accounts, savings accounts, and certificates of deposit.

$ 1,166,633,06 4

O THER LIA BILITIE S

103,690,679

C A PITA L

41,000,000

SUR PLU S

17,000,000

UNDIV IDED PROFIT S A ND R E SERV E S

107,561,365

T O TA L C A PITA L AC C OUNT S

165,561,365

Borrowings by the bank, interest on deposits that has accrued, payable at a future date, other expenses accrued but not yet paid, deferred taxes, etc.

Par value of the investment of the stockholders for the purchase of stock.

Additional money contributed by stockholders to provide extra financial strength.

Bank earnings left in the bank to provide added strength to meet possible future losses on loans and to replace buildings and equipment as they wear out.

Total capital available for the safe operation of Adams Bank & Trust.

T O TA L LIA BILITIE S A ND C A PITA L A S SE T S

1,4 35,885,108

4th Quarter, 2023

R AY M O N D J A M E S F IN A N C I A L S E R V I C E S , IN C .

MEMBER FINR A/SIPC

YOUR FINANCIAL PL AN: PUT TING ALL THE PIECES TOGETHER

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by

J A C O B H OV E NDIC K rjfs branch manager

lanning a healthy financial life is a lot like putting together a big jigsaw puzzle. You’re trying to assemble all the pieces and complete the picture on the box.

to be too conservative on the front side of your saving years and do long-term damage on the back end. You can run out of time and compounding interest ability to keep up with inflation.

But everyone’s ideal picture is very different. What do you want for yourself and your loved ones at every stage of life? How do you get there?

After all, for the past 20 years, the 10 year U.S. Treasury rate has averaged less than 3% (www.macrotrends.net).

If you were entirely invested in conservative products like longterm CDs throughout that time, the interest earned would not have kept pace with rising costs for goods and services.

Planning a healthy financial life is a lot like putting together a big jigsaw puzzle. But everyone’s ideal picture is very different. What do you want for yourself and your loved ones at every stage of life?

How do you get there?

It’s not just a matter of compiling a list of your assets, expenses and goals. These categories do not exist separately from each other. Just like a puzzle, each piece relies on the others to form the whole, complete picture. If you don’t fill in the middle, the outside edges collapse on themselves. If you only work on the middle, nothing contains the rough edges and you may lose a piece or two.

What are your financial cornerstones and intersecting pieces?

Retirement Accounts

Insurance Take a periodic look at all of your insurance polices. Is all your property adequately covered? Do you have life insurance policies in place for you and your spouse?

Do you need to look at long-term care coverage?

Estate Planning Pieces At the minimum, everyone needs a will, power of attorney and medical power of attorney. Do you have all of these documents in place? Are there more complicated situations that may require a trust or other legal structures? Seek out your family attorney’s counsel to make sure you’re covering all the bases.

College Savings Some of the changes made in the Secure Act 2.0 in December of 2022 made 529 accounts and other college savings accounts more attractive. Parents and grandparents may want to consider saving toward children’s educational expenses in these ways. The 2023 exemption for gifting is $17,000 a year per person, per recipient.

Given where you are in life, are you properly invested in your long-term retirement accounts? It’s possible

Adams Bank & Trust is not a registered broker/dealer, and is independent of Raymond James Financial Services. Securities offered through Raymond James Financial Services, Inc., Member FINRA/SIPC, are not insured by bank insurance, the FDIC or other government agency, are not deposits or orbligations of the bank, are not guaranteed by the bank, and are not subject to risks, including the possible loss of principal.

Investment Advisory Services offered through Raymond James Financial Services Advisors, Inc.

Real Estate Real estate has traditionally been a good diversifier for many portfolios, whether it’s your private residence, some other type of investment property, or both.

The big caution with real estate is that you have to be able to ride property valuations up and down.

Valuations have skyrocketed in many areas recently, leaving many investors flat-footed. You may be able to afford the mortgage and interest payment on a particular property, but can you afford the taxes and insurance when the valuation increases?

Can you even get insurance on the property? Increasingly, insurance companies are declining to write policies in areas with consistent issues with fire or flooding. This is becoming more of an issue in the Colorado mountains, for example.

Keep all of these factors in mind when investing in property.

Debt Reduction This is one area that probably doesn’t receive enough attention as people consider retirement.

Debt is a useful tool when used appropriately, but over-reliance can endanger overall financial health and a successful retirement. It’s important to make debt reduction a priority, especially the closer you are to retirement.

Professional Advice Putting together the pieces of

Meagan & Jacob Hovendick with Henley, Harper, Heath & Huxton (Tiffany Williams Photography)

your puzzle takes time, effort, and expertise. This is where professional advice from financial advisors, accountants, attorneys, and bankers comes in. It’s so important to work with people who are not only

At the holidays, we’re reminded of why we want clarity with our financial puzzles.

It’s a good time to take stock and plan for the future. competent but whom you can trust.

They can help you fully understand the different expenses you may have so that they don’t come as a

surprise later. For example, have you factored in replacing your vehicle in retirement? Have you considered health care expenses? Have you included adequate cash as a building block?

At the holidays, we’re reminded of why we want clarity with our financial puzzles. It’s because of the families we have, the memories we’ve made, and the protection we want to provide for the people we love and care about. It’s a good time to take stock and plan for the future.

We appreciate the trust and confidence our customers place in us as we help you put the pieces together. From all of us at Raymond James Financial Services, a very Happy Thanksgiving and Merry Christmas.

Opinions expressed are those of the author and are subject to change. This information is not a complete summary or statement of all available data necessary for making an investment decision and does not constitute a recommendation. The information contained in this report does not purport to be a complete description of the securities, markets, or developments referred to in this material. This information is not intended as a solicitation. The material is general in nature. Investing involves risk; investors may incur a profit or loss regardless of the strategy or strategies employed. There is no assurance that any investment strategy will ultimately meet its objectives. Past performance may not be indicative of future results. Asset allocation and diversification do not guarantee a profit nor protect against a loss. Working with a financial professional does not ensure a favorable outcome.

For assistance in reviewing or creating your investment plan, please call any Adams Bank & Trust office or call toll free at 800.422.3488 for an appointment with a Raymond James Investment Representative.

Jacob Hovendick, RJFS Financial Advisor and Branch Manager Jan Acker, RJFS Financial Advisor 308.28 4.4 07 1 | 315 N SPRUCE S TREE T, OG A LL A L A , NE 69153