Community First Credit Union of Florida has agreed to acquire First Southern Bank from Georgia, creating a larger financial institution with about 3.3 billion dollars in assets. The deal, announced on November 18, 2025, will close in the second or third quarter of 2026 and expand the credit union’s reach across Florida and Georgia with 31 branches.
This move comes amid a wave of mergers in the banking sector, where credit unions seek growth through bank purchases. It follows another recent deal where a Texas credit union plans to buy a New Mexico bank, highlighting a trend that boosts community focused services but raises concerns from some industry groups.
Deal Details and Timeline
The acquisition involves Community First taking over most assets and liabilities of First Southern Bank, based in Waycross, Georgia. First Southern’s holding company will dissolve after the deal, distributing any leftover assets to shareholders.
Boards of both organizations have approved the transaction unanimously. The process awaits regulatory nods, with an expected close between April and September 2026.
Key financial highlights include:
- Combined assets reaching 3.3 billion dollars
- Loans totaling 2.5 billion dollars
- Deposits amounting to 2.9 billion dollars
This setup will blend First Southern’s four Georgia branches and three Florida locations into Community First’s network.
Community First, with its current 2.9 billion dollars in assets, sees this as a way to strengthen its position in the Southeast. The deal aligns with recent patterns, like the 2023 acquisition of Silicon Valley Bank by First Citizens, which also aimed at stability and growth.
Benefits for Customers and Communities
Customers of First Southern Bank can expect a smooth transition. They will keep seeing familiar faces at their local branches, as the deal emphasizes maintaining strong relationships.
The combined entity promises better services, such as expanded lending options and personalized financial advice. This could help small businesses and families in rural areas of Georgia and Florida access more resources.
Leaders from both sides stress a shared focus on community service. Community First’s CEO noted that the merger builds on a culture of respect and excellence, while First Southern’s CEO highlighted enhanced capabilities for growth.
In similar past deals, like the 2024 merger of City First Bank and Broadway Federal Bank, the focus was on increasing support for underserved communities, leading to higher deposits and lending power.
Communities stand to gain from a stronger local presence. The expanded footprint might bring more jobs and economic activity to areas like Jacksonville and Waycross.
History and Background of the Institutions
Community First Credit Union started in 1935 and has grown to serve over 170,000 members in Northeast Florida. It offers a range of services from checking accounts to home loans, with a strong emphasis on member owned operations.
First Southern Bank, founded in 1907, operates as a community bank with roots in Georgia. It provides commercial and personal banking, focusing on local needs in smaller towns.
| Institution | Founded | Current Assets (Billion Dollars) | Branches |
|---|---|---|---|
| Community First Credit Union | 1935 | 2.9 | 24 |
| First Southern Bank | 1907 | 0.4 | 7 |
| Combined Post-Merger | – | 3.3 | 31 |
This table shows how the merger combines long histories and resources. Both have weathered economic changes, including the 2008 financial crisis and recent inflation pressures.
Their community oriented approaches make this a natural fit. Community First has a track record of local investments, while First Southern has supported Georgia’s agriculture and small businesses for over a century.
Trends in Credit Union and Bank Mergers
This deal is part of a growing trend where credit unions buy banks to expand quickly. In 2025 alone, several such mergers have occurred, driven by the need for scale in a competitive market.
For example, earlier this year, First Community Corporation acquired Signature Bank of Georgia, boosting its presence in the Atlanta area. These moves often face pushback from banking groups, who argue credit unions have tax advantages over banks.
Banking advocates have voiced concerns this week, calling for fairer regulations. Yet, experts point out that such mergers preserve community banking missions and prevent closures.
The trend gained momentum after major bank failures in 2023, like First Republic Bank’s sale to JPMorgan Chase. It showed how consolidations can stabilize the sector during uncertain times.
Regulatory bodies, including the FDIC, play a key role in approving these deals to ensure they benefit consumers and maintain financial stability.
Overall, these mergers reflect a shift toward larger, more resilient institutions that can offer better rates and services amid rising interest rates and digital banking demands.
What This Means for the Future
Looking ahead, the merged organization could set a model for other credit unions eyeing growth. It might inspire more cross state deals, especially in the Southeast where economic ties are strong.
Potential challenges include integrating systems and cultures, but leaders express confidence based on shared values.
For the banking industry, this underscores the evolving landscape where credit unions increasingly compete with traditional banks.
As 2026 approaches, watch for updates on how this deal shapes local economies.
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