Robbery Figures Deceiving Small Town Robberies up 82% in Last Six Years

Robbery Figures Deceiving
Small Town Robberies up 82% in Last Six Years

According to a comparison of bank robbery statistics from the Federal Bureau of Investigations, bank robberies rose 17 percent over all in the last six years. Over all.

A closer look shows that during the same period, from 1995 to 2001, bank robberies jumped 82 percent in small towns. While they decreased in New York and California, robberies more than doubled in Iowa and Nebraska. Almost one third of the 7,127 bank robberies in 2000 were in small towns. 27 percent of them occurred in unincorporated rural areas.

Because the majority of small town financial institutions have gone to time-locked safes, the "take" is generally pretty low - in most cases less than $3,000. An increase in "morning glory" robberies (those that take place during the opening of the office), however, has bankers reviewing their branch opening procedures.

Experts credit several reasons for this increase in robbery activity, including the facts that small town crime in general has also increased; the drug traffic is more of a problem; and towns are more easily reached through better roads and closer interstates, providing simple access and escape. Adding to the issue is that, unlike city financial institutions, small town offices are less likely to have metal detectors, cameras, and security guards. And the nearest law enforcement may be the sheriff who could be miles away when an alarm goes in.

Small, independent financial institutions are fewer in number today than in 1995. There were 9,962 banks with under $100 million in assets ten years ago. There were 5,466 in 2000. Some of them have closed simply because they could no longer presume their people were safe. Some that remain open have closed their lobby except by appointment or recognition, servicing depositors and strangers only at a drive through with bullet resistant glass.

Many of the small financial institutions that are still around have chosen to go the limit to protect employees, customers and assets. They not only incorporate safety features such as time locked safes, but they also install cameras, dye packs, electronic tracking devices, and man-traps. They train their employees to prevent robberies through observation and procedures that are strictly and religiously adhered to. One of the positive results of 9/11 is the emphasis on security. By being better prepared, small town financial institutions can learn how to prevent robberies.

Copyright © 2002 Bankers' Hotline. Originally appeared in Bankers' Hotline, Vol. 12, No. 3, 4/02