The deal, expected to close in early 2026, will preserve customer ownership while expanding services and community investment across Central Ohio.

First Federal Lakewood, the largest mutual bank headquartered in Ohio, announced on Wednesday that it has entered into a definitive merger agreement to acquire First Federal Savings & Loan Association of Centerburg, a smaller depositor-owned bank with deep roots in its local community.

The merger, expected to be completed in the first quarter of 2026 pending regulatory and member approval, underscores First Federal Lakewood’s continued commitment to the mutual banking model—financial institutions owned by their depositors rather than shareholders.

The combined organization aims to preserve the customer-owned structure while expanding products, technology, and reach for Centerburg-area customers.

“We are thrilled to continue the shared values of mutuality and community commitment that have defined both institutions for nearly a century, and we are committed to ensuring a smooth transition for Centerburg customers and employees,” said Tim Phillips, president and chief executive of First Federal Lakewood.

Story continued below…

Terry Bumpus, president and chief executive of First Federal of Centerburg, said the merger will help sustain the bank’s local mission. “We are pleased at the prospect of joining a leader in mutual banking like First Federal Lakewood, with a strong commitment to mutual banking and community-focused service,” Mr. Bumpus said. “We will focus on continuing our legacy of serving the Centerburg community by maintaining the same personal relationships and local service that our customers value.”

Following completion of the merger, First Federal of Centerburg will adopt the First Federal Lakewood brand but continue to serve as a community-focused financial partner in the region.

Founded in 1935, First Federal Lakewood manages about $3 billion in assets and operates 20 full-service branches and three mortgage offices across Ohio. First Federal of Centerburg, founded in 1934, has $22.5 million in assets and serves local residents and businesses in and around Centerburg.

First Federal Lakewood reported a loss of $1.9 million for the first six months of 2025 compared to earnings of $4.5 million a year ago, according to FDIC data.

“We also plan to build on First Federal of Centerburg’s strong community presence and support of local initiatives by creating a Centerburg-focused community investment fund, supported by a $250,000 contribution and directed by the First Federal of Centerburg team.”

– Tim Phillips
President & CEO
First Federal Lakewood