Stamford-based First County Bank is preparing to upgrade its digital banking capabilities as it looks to compete with larger lenders, even as it maintains a business model built on in-person relationships.
The effort is being led by new CEO Nitin Mhatre, who took the role April 15 after overseeing digital and operational changes at larger regional banks. He succeeds Robert Granata, who retired after serving as CEO since 2019.
Mhatre said a key priority is improving how customers interact with the bank’s technology, including developing a platform that allows users to view multiple accounts through a single login.
“A lot of times, it becomes a fragmented experience,” he said during an interview at the bank’s Summer Street office. “We need to consolidate that better.”
The strategy reflects broader shifts across the banking industry, where institutions are increasing spending on technology to meet customer expectations shaped by mobile apps and digital-first platforms. U.S. banks’ investment in digital technology has risen from about $70.6 billion in 2020 to a projected $111.7 billion in 2026, according to research firm eMarketer.
Mhatre said First County Bank, which has 13 branches and $2.3 billion in assets, is expanding its use of artificial intelligence, primarily as a tool to support employees and improve customer service, rather than replace staff.
The bank plans to use AI to streamline internal processes, reduce paperwork and improve efficiency, while also applying it in ways that directly affect customers, including simplifying documentation and helping clients make financial decisions. The technology will also be used to analyze customer behavior and inform the bank’s broader business strategy, he said.
Those capabilities, Mhatre said, are increasingly important as banks compete for younger customers who expect seamless, mobile-first experiences.
“They think Venmo is their bank, for example,” he said.
Additional priorities include growing deposits, deepening customer relationships and modernizing the bank’s infrastructure to support long-term growth, all while maintaining a community banking approach.
“If you are able to provide good quality digital experience that the large banks provide, but with a personal touch of a small community bank, you win and the clients win,” Mhatre said.
John Carusone, a banking consultant who works with financial institutions on strategy and technology, said First County Bank enters the transition from a position of strength, citing its capital levels, loan quality and history of profitability, but that it faces stiff competition in Fairfield County’s banking market.
He said Mhatre’s key challenges include improving profitability, controlling expenses and diversifying the bank’s revenue streams, particularly by expanding further into commercial lending.
Carusone said Mhatre’s background in banking technology should help First County keep pace with evolving digital products, customer expectations and cybersecurity demands.
“Mhatre is a well-respected and proven manager who doubtlessly will contribute value to (First County Bank’s) performance and long-run strategic viability,” said Carusone, who is president of the Bank Analysis Center.
First County’s net income rose to about $4.6 million in 2025 from $3.2 million in 2024, but remained below its roughly $7.4 million average annual profit over the past decade and its recent peak of about $12.2 million in 2021, according to Federal Deposit Insurance Corp. data.
Mhatre said improving profitability will be a priority.
“The more profitable we become, the higher opportunity we have to reinvest into our clients, our employees and communities,” he said.
Background and experience
Mhatre has experience leading digital efforts. He most recently served as president and CEO of Massachusetts-based Berkshire Bank, where he led a digital transformation that included new platform rollouts and changes to customer service delivery.
His tenure also included Berkshire’s merger with Brookline Bancorp, which was completed last September, creating Beacon Financial Corp. He left the bank last year as part of the leadership transition tied to the deal.
Before Berkshire Bank, Mhatre held senior leadership roles at Webster Bank and earlier worked at Citigroup.
Mhatre spoke with the Hartford Business Journal about his new role, the economy and other factors affecting the bank. Here’s what else he had to say. The Q&A was edited for clarity and brevity.
Q: How does taking the helm of a much smaller bank change your approach as CEO?
A: I think in many ways, it makes it easier, because now the decision-making to the actual outcomes and impact is much more direct. There are fewer levels and layers of bureaucracy. And, as a public company, you’re beholden to shareholders, so depending on the institution, 30% to 80% of your profits are returned back to the shareholders.
In this case, all of our profits will be reinvested into our customers and communities and employees.
Q: Do you have plans to expand the bank’s footprint beyond its 14 branches in Fairfield County?
A: No, not at the moment. I’m going to distill all of the feedback that I receive from our employees, our clients and community partners. We will build a plan together, but the focus would be, more than anything else, on becoming a high-performing institution that retains and amplifies its purpose.
Q: How do you view the Fairfield County and state economies?
A: Fairfield County and the state of Connecticut broadly have always been a more educated, more affluent market. The U.S. Bureau of Economic Analysis expects the population to grow by about 2% and household income to grow by about 10%. It feels like we have a good momentum right now in Fairfield County and the state.
How do we participate in that growth, and how do we allow our clients to become even more successful in that momentum? I think that is going to be the operating principle.
Q: The bank has about $1.73 billion in loans and leases, with roughly 94% tied to residential and commercial real estate, according to FDIC data. Do you plan to make changes to the portfolio?
A: I think staying disciplined is what the teams do very well already. I think we should maintain that momentum and stay in that lane. It’s working for us.
Q: What is your commercial lending outlook?
A: It is tight. I think the opportunities are fewer. I think most of our clients are also impacted by this uncertainty that’s out there, whether it’s the tariffs, whether it’s the geopolitical situation.
There are fewer opportunities, but they also happen to be invariably better-quality opportunities. I would say the growth will continue to be there.
Q: Where are you seeing demand for commercial loans?
A: I think in large part it’s coming from our existing (customers) that are expanding their businesses or properties. Some part of the residential demand is relatively slower and declining, while commercial real estate remains solid and stable.
Commercial and industrial have been slow, and we’re looking to find opportunities to grow that faster, along with small business lending.
