Midland States Bank

What Midland States Bank does

Midland States Bancorp, Inc. (NASDAQ: MSBI) is a community-based financial holding company headquartered in Effingham, Illinois, operating since 1881 with approximately $6.55 billion in total assets as of March 31, 2026. The company's core operating subsidiary, Midland States Bank, provides a full suite of consumer, small business, commercial, and wealth management products and services through 40+ branches across Illinois, Missouri, Indiana, Wisconsin, and Iowa, complemented by a digital banking platform accessible via web, iOS/Android mobile apps, and 55,000+ surcharge-free ATMs. Revenue is generated primarily through net interest income (3.91% net interest margin in Q1 2026) on loans including mortgages, commercial loans, agricultural lending, SBA loans, and consumer loans, supplemented by wealth management fees on $4.47 billion in assets under administration, deposit and treasury management service fees, and merchant services.

The company has been executing a strategic transformation focused on its core community banking model. In November 2025, Midland divested its equipment finance portfolio (~$599 million in loans/leases) to North Mill Equipment Finance for $502 million in cash, using proceeds to pay down high-cost wholesale funding. In March 2026, it sold its seniors housing HUD mortgage servicing rights portfolio (over $500 million UPB) to Dwight Capital. These exits follow the 2021 acquisition of ATG Trust Company, which expanded wealth management assets to approximately $4.1 billion. Leadership underwent significant turnover in 2026, with CFO Eric Lemke dismissed amid accounting issues and replaced by Claire A. Stack (effective May 8, 2026), and President Jeffrey S. Mefford retiring June 30, 2026 with Jeremy Jameson promoted to Chief Banking Officer.

Midland's technology stack is conventional for community banking: a digital platform offering online account opening, mobile check deposit (limits: $10K/check, $15K/day, $30K/30-day), Zelle P2P payments, Apple Pay/Samsung Pay mobile wallet support, eStatements, online bill pay, and an integrated Money Management dashboard for budgeting and cash flow forecasting. Treasury management for commercial clients includes ACH, wire transfers, remote deposit capture, lockbox, merchant services, and positive pay fraud protection. The bank holds FDIC membership and NMLS #411141 registration, with a Common Equity Tier 1 ratio of 9.98% as of Q1 2026. Q1 2026 revenue was $81.10 million with net income of $16.2 million. Institutional ownership stands at approximately 60.9%, with the stock trading at a 5.4% dividend yield.

Name

Midland States Bank

Legal name

Midland States Bancorp, Inc.

Website

https://midlandsb.com

Company type

Public

Founded year

1881

Operating status

Operating

Headcount range

501–1,000 employees

Short description

Midland States Bank is a community-based financial holding company operating 40+ branches and digital banking across Illinois, Missouri, Indiana, Wisconsin, and Iowa. It serves consumers, small businesses, commercial clients, and wealth management customers with $6.55 billion in total assets and $4.47 billion in wealth AUA.

Ownership category

akta.pro rank

Product category

Community Banking

NAICS

Commercial Banking (522110), Offices of Bank Holding Companies (551111)

SIC

National Commercial Banks (6021)

akta.pro primary industry

Mass-Market Consumer Deposit Banking (Checking/Savings) (FSABAAAA)

akta.pro secondary industries

Consumer & Retail (CPG, Food, Apparel) (FSABACAM), Digital Retail Banking (Online & Mobile) (FSABAAAF)

Keywords

• Retail banking services
• Commercial lending
• Wealth management
• Treasury management
• Small business loans

Headquarters

HQ city

Effingham

HQ country

United States

HQ region

North America

Offices2 records

Markets served

GTM type

B2B and B2C

Offering type

Services

Cost components

Personnel, Operations, Technology or R&D, Marketing or Sales, Infrastructure, Others

Revenue model

1. Net Interest Income: Primary revenue stream from interest earned on loans (mortgages, commercial loans, consumer loans, equipment financing) minus interest paid on deposits. Expanded net interest margin to 3.91% in Q1 2026, a 17 basis-point increase from prior quarter.
2. Wealth Management Fees: Fee-based revenue from investment management, trust services, estate planning, and financial advisory services. Assets under administration of approximately $4.47 billion as of March 31, 2026.
3. Acquisition Integration Revenue: Strategic acquisitions including ATG Trust Company ($4.1 billion in wealth management assets) expanding fee income and cross-selling opportunities.
4. Deposit and Service Fees: Fee income from various banking services including account maintenance fees (waived with qualifying balances), overdraft fees, wire transfer fees, and merchant services processing.
5. Equipment Finance Portfolio: Portfolio of equipment loans and leases generating interest income, divested to North Mill Equipment Finance for $502 million in November 2025.

Pricing tiers

Go-to-market motion3 records

Distribution channels7 records

Marketing channels6 records

Core offering

Midland States Bank operates as a community-based financial holding company delivering deposit products (checking, savings, money market, CDs, IRAs, HSAs), consumer and commercial lending (mortgages, auto, personal, home equity, SBA, agricultural), treasury management services for businesses, and wealth management through Midland Wealth Advisors. Digital banking is offered via online and mobile channels alongside a regional branch network spanning Illinois, Missouri, Indiana, Wisconsin, and Iowa.

Product overview

Midland States Bank operates as a community-based financial holding company offering a comprehensive, multi-channel banking platform with distinct product lines for personal, small business, and commercial customers. The core banking platform encompasses deposit products (checking, savings, money market, CDs, IRAs, HSA) and lending products (mortgages, auto loans, personal loans, home equity, business loans, SBA loans, agricultural lending). Treasury Management Services provide commercial clients with receivables automation (ACH, remote deposit, lockbox, merchant services), payables optimization (bill pay, wire transfers, positive pay fraud protection), and liquidity management (ICS, TBA, credit sweeps). Wealth Management offerings include financial planning, retirement planning, tax strategy, investment management, estate services, trust services, and specialized offerings like special needs trusts and guardianship administration, delivered through Midland Wealth Advisors. Digital banking is delivered through Online Banking and Mobile Banking App platforms providing mobile check deposit, Zelle person-to-person payments, bill pay, eStatements, mobile wallet integration, and Money Management Tools for budgeting and financial tracking. The bank serves customers across Illinois, Missouri, Indiana, Wisconsin, and Iowa.

Differentiator

Problem solved

Functional benefit

Brands

• Midland Wealth Advisors: A registered investment adviser providing investment management services to clients and MSBI affiliates, recognized by Newsweek as one of America's Top Financial Advisory Firms of 2026

Products and services

• Totally Free Checking Free personal checking account with no minimum balance requirement and no monthly service charge, available with online account opening.
• High Yield Checking Interest-bearing personal checking account with a $10 monthly charge if the minimum balance falls below $1,500.
• Direct Interest Checking Interest-earning personal checking account designed for direct deposit or automatic payment customers.
• 50+ Interest Checking Interest-bearing checking account for customers age 50 and better, with one free box of standard checks annually.
• FlexSaver Savings Everyday personal savings account with $50 minimum opening balance, FDIC insurance, and a $3 monthly fee waived with $250 minimum daily balance or monthly electronic deposit.
• YouthSaver Account Kids savings account for children under 18, co-owned with a parent or guardian, with $5 minimum opening balance and no monthly fees.
• Money Market Account Personal money market account earning competitive interest with limited debit card and check-writing access, requiring a $2,500 minimum opening balance.
• Certificate of Deposit Fixed-rate CDs with terms from one week to five years and a $500 minimum opening balance; early withdrawal penalties apply.
• Individual Retirement Account (IRA) FDIC-insured retirement savings account available as IRA CDs with fixed rates or variable-rate IRAs with flexible contributions, offering Traditional or Roth tax advantages.
• Health Savings Account (HSA) Tax-advantaged HSA for qualified healthcare expenses with pre-tax contributions, powered by Lively, with unused funds rolling over annually.
• Mortgage Home purchase and refinance mortgages including conventional, adjustable-rate, low down payment, bridge, jumbo, and investment property options.
• Auto Loans Vehicle financing for new, used, or refinancing purchases of cars, trucks, or SUVs.
• Personal Loans Unsecured personal loans ranging from $1,000 to $20,000 for debt consolidation, medical expenses, family events, or major purchases.
• Home Equity Loans Fixed-term loans using home equity as collateral for various financial needs.
• Home Equity Line of Credit (HELOC) Revolving line of credit secured by home equity for ongoing access to funds.
• Home Improvement Loans Financing options for home renovation and improvement projects.
• Community Hero Program Mortgage program offering special benefits for community heroes such as first responders, teachers, and healthcare workers.
• Totally Free Business Checking Business checking with 500 free monthly transactions, no minimum balance, and up to $10,000 free currency deposits per month.
• Business Interest Checking Interest-earning business checking account with a $5,000 minimum balance requirement to avoid the $10 monthly fee.
• Business Money Market Business money market account maximizing earning potential while offering full access to funds.
• Business FlexSaver Savings Simple and convenient business savings account.
• Small Business Secured Loans Term loans secured by collateral including equipment, vehicles, deposit accounts, or general security agreements, up to $250,000.
• Small Business Unsecured Loans Term loans supported by creditworthiness without collateral requirements, up to $250,000.
• Small Business Line of Credit Preset borrowing limit accessed as needed, typically secured by a general security agreement, up to $250,000.
• SBA Loans Small Business Administration loans including 7(a) and 504 programs, with amounts from $25,000 to $5 million.
• Commercial Checking Commercial checking account for companies with complex banking needs, featuring a $100 minimum opening balance and treasury management compatibility.
• Commercial FlexSaver Savings Commercial savings account with FlexSaver features for business funds.
• Public Fund Accounts Banking services designed for public entities including government agencies, school districts, and municipalities.
• Agricultural Lending Agricultural lending and banking services including agricultural real estate loans and operating lines of credit.
• Ag Line of Credit Revolving credit facility designed for agricultural operations to manage seasonal cash flow needs.
• Equipment Financing Financing solutions for vendor and dealer equipment purchases for commercial clients. Portfolio divested to North Mill Equipment Finance in November 2025.
• Treasury Management Services Comprehensive commercial cash flow management, liquidity optimization, and fraud protection services including receivables, payables, and liquidity management solutions delivered through relationship managers.
• Investment Management Professional portfolio management services for stocks, bonds, mutual funds, and other investment vehicles offered through Midland Wealth Advisors.
• Trust Services Trust administration and management services including revocable and irrevocable trusts.
• Financial Planning Comprehensive financial planning services including goal setting, budget analysis, and long-term financial strategy development.
• Midland Wealth Advisors Registered investment adviser providing investment management, fiduciary, and financial planning services to clients and MSBI affiliates.
• Online Banking 24/7 web-based banking platform with account access, money management tools, bill pay, and eStatements.
• Mobile Banking App Smartphone application for iOS and Android providing full banking capabilities including mobile check deposit, Zelle, and account management.

Quantifiable outcome

• Net interest margin expanded to 3.91% in Q1 2026, a 17 basis-point improvement from prior quarter, driven by lower funding costs and favorable securities mix shift
• +4 more outcomes

Segments5 records

Ideal customer profiles5 records

Technology focussed No

API detail

Has API

No

API docs

API detail

Core technology

AI maturity

App detail

Integration5 records

Feature5 records

Partnerships

One partnership is on record.

• ATG Trust CompanymajorStrategic or Co-development Partner · 2 June 2021Acquisition of ATG Trust Company expanding wealth management assets to approximately $4.1 billion and increasing team and office presence in Chicago. Transaction enhanced wealth management business through ATG Trust's team and referral network.

Scale indicators22 records

Recent moves8 records

Expansion highlights4 records

Direct peers

• Lakeland Financial Corporation: Indiana-based community bank of similar size and business mix, competing in Midwest agricultural and small business lending markets that overlap with Midland's footprint.
• Stock Yards Bancorp: Kentucky and Indiana community bank with comparable asset size, offering commercial, retail, and wealth management services in overlapping Midwest geographies.
• First Busey Corporation: Illinois-headquartered community bank with comparable Illinois and Midwest geographic footprint, comparable mix of community banking, wealth management, and treasury services.
• QCR Holdings: Multi-bank holding company operating in the Midwest with similar asset scale, community banking focus, and wealth management subsidiary (or comparable fee businesses).
• Independent Bank Corporation: Michigan-based community bank of comparable scale with community banking model, similar commercial and retail loan mix, and Midwest agricultural exposure.
• Old Second Bancorp: Illinois community bank holding company of similar size, offering similar retail, commercial, and wealth management products across the same Chicago-area and northern Illinois geography.
• Byline Bancorp: Chicago-based community bank with similar asset base, focused on small business and commercial lending in the Midwest. Comparable business mix and customer segments.
• First Mid Bancshares: Illinois-based community bank holding company with comparable Midwestern footprint, similar mix of commercial, retail, and wealth management businesses, and similar asset size (~$5–7B). One of the closest operating comparables for Midland.

Others

• IntraFi Network (ICS / CDARS): Infrastructure provider whose IntraFi Cash Services and reciprocal deposit products are integrated into Midland's treasury management platform; a key enabler and ecosystem participant supporting deposit-gathering capabilities.

Broad incumbents

• JPMorgan Chase (Community Banking / Business Banking segment): National banking giant with significant Midwest branch presence and broad commercial banking capabilities; represents the competitive incumbent against which Midland competes for deposits, small business loans, and wealth management clients.

Market position

Strengths4 records

Weaknesses4 records

Competitive moat5 records

Key risks6 records

Key highlights6 records

Customer concentration

• YouTubeyoutube.com/@midlandstatesbank3012
• Facebookfacebook.com/midlandstatesbank
• LinkedInlinkedin.com/company/midland-states-bank
• Instagraminstagram.com/midlandstatesbank
• Xx.com/Wearemidlandsb

Compliance3 records

Revenue estimate

Valuation estimate

Number of profiles

Profiles5 records

Subsidiaries4 records

Funding overview

Funding rounds1 record

Investors

Funding detail is available on the Subscription and Enterprise plan.Contact sales →

M&A4 records

Investments2 records

M&A and investment is available on the Subscription and Enterprise plan.Contact sales →

Frequently asked questions about Midland States Bank