d interest rates remain flat, financial experts here anticipate solid loan and deposit growth next year. 

Jack Heath, president of Spokane-based Washington Trust Bank, says that institution is projecting loan growth next year to be about 6 percent or 7 percent, which is on par with its numbers for this year. 

“Just now, we see a number of our clients are doing capital projects, or building, or moving buildings,” he says. “We’re continuing to see strong growth in home loans on the retail side.”

Heath says that deposit growth at the bank is strong, and he expects that to continue next year as well. 

“One challenge in the environment that we’re in today is that we don’t expect an increase in rates,” he says. “In mid-2015 we hope to see the short-term rates move a bit.”

Cindy Leaver, chief financial officer for Spokane-based Numerica Credit Union, says the institution is expecting loan growth for this year to be about 11 percent. 

“Really, we’ve seen solid performance in all the main areas,” Leaver says. “Consumer, auto—though dealerships were particularly strong—mortgage, equities, and business all had good years.”

Leaver says 2015 is predicted to be similar at 9 percent or 10 percent growth. 

“Maybe not quite as much in the autos as we’ve done in the last few years,” she says. 

Numerica, Leaver says, recently signed a lease for a new branch location in the Regal Plaza, a new retail center anchored by a Target Corp. store on the South Hill. It’s also moving its Havana Street branch to 4909 E. Sprague, she says, where it’s constructing a 3,000-square-foot, $2.5 million building.  

The credit union opened a new branch in Richland, Wash. this year, Leaver says, and currently is remodeling branches in Spokane Valley, in Coeur d’Alene, and in Kennewick, Wash. 

Linda Elkin, Spokane-based regional president for U.S. Bank, says the bank also is expecting 2015 to be similar to 2014. She also says the bank is anticipating that interest rates will remain flat until the middle of next year. 

“And if that doesn’t happen, then we’ll have to make some adjustments to the expense side of the equation,” she says. 

Based on the premise that an impending rise in rates could cause customers to borrow more before rates go up, Elkin says U.S. Bank is predicting a rise in loan balances next year, as well as deposits. 

“We’re still growing deposits nicely, and I would expect that to continue too,” she says. 

Elkin says she predicts everyone in the banking industry will continue having to spend a significant amount of time ensuring compliance with regulatory standards.

“The theme of compliance and adjusting the regulatory burden into our cost structure, that’s going to continue,” she says. 

Ezra Eckhardt, Spokane-based executive vice president with Portland, Ore.-based Umpqua Bank, which acquired the assets of former Spokane-based Sterling Bank in April, says that bank is exceeding its expectations for deposit growth in 2014.

“I think 2014 has been a strong year, especially considering the combination of the companies,” he says. “In terms of the financial performance for the year through the third quarter, we’ve met analysts’ expectations and our expectations.”

The bank is still finalizing its budget for 2015, Eckhardt says, but it expects continued growth next year.

Umpqua had thought interest rates would be increasing, but now it appears rates will remain flat, he says. 

“Prevailing wisdom now is that it will continue to be a flat-rate environment,” he says. “We definitely see a growth in demand for financing opportunities in Spokane and across Washington.”

—Katie Ross