Wall Street's problems apparently aren't affecting the local bank on West Virginia's Main Street, as officials say they are still making loans and business is brisk.

State banks have been left pretty much untouched by the problems that caused national banks like Wachovia Corp. and Washington Mutual to be taken over because of losses created by adjustable-rate housing loans, said Joe Ellison, chief executive of the West Virginia Bankers Association.

"West Virginia banks are not affected as much by the national economy because we don't have those big periods of boom time, so we don't typically go through bust periods,'' Ellison said. "Our members are still making loans, doing deposits, making business loans.''

One banker called the state's banking industry a "calm oasis,'' and others say they continue to make loans to the oil, gas and coal industries.

"Most of the problems we see out there were created by a bubble in the housing market,'' said Kip Hageboeck, president and chief executive of City Holding Co. and City National Bank.

"We didn't have an overbuilding boom in most of West Virginia and we haven't had a tremendous amount of price depreciation in most of West Virginia,'' he said.

"Our banks have been very stable here in West Virginia," said Donna Tanner, executive director of Community Bankers of West Virginia. "Overall, community banks didn't get into the bad lending."

The association's 46 member banks have had some customers calling with concerns, particularly about FDIC coverage, Tanner said.

"They are concerned about their savings and retirement accounts. They [member banks] are educating them," she said.

As far as the proposed national bailout plan, the West Virginia group, along with its national counterpart, the Independent Community Bankers of America, were supportive of the plan as written, Tanner said.

The plan helped all financial institutions, not just the large banks, she said. Now that the plan failed to pass the House, it is unclear what to do next, she said.

State banks have been left pretty much untouched by the problems that caused national banks like Wachovia Corp. and Washington Mutual to be taken over because of losses created by adjustable-rate housing loans, said Joe Ellison, chief executive of the West Virginia Bankers Association.

"West Virginia banks are not affected as much by the national economy because we don't have those big periods of boom time, so we don't typically go through bust periods,'' Ellison said. "Our members are still making loans, doing deposits, making business loans.''

One banker called the state's banking industry a "calm oasis,'' and others say they continue to make loans to the oil, gas and coal industries.

"Most of the problems we see out there were created by a bubble in the housing market,'' said Kip Hageboeck, president and chief executive of City Holding Co. and City National Bank.

"We didn't have an overbuilding boom in most of West Virginia and we haven't had a tremendous amount of price depreciation in most of West Virginia,'' he said.

"Our banks have been very stable here in West Virginia," said Donna Tanner, executive director of Community Bankers of West Virginia. "Overall, community banks didn't get into the bad lending."

The association's 46 member banks have had some customers calling with concerns, particularly about FDIC coverage, Tanner said.

"They are concerned about their savings and retirement accounts. They [member banks] are educating them," she said.

As far as the proposed national bailout plan, the West Virginia group, along with its national counterpart, the Independent Community Bankers of America, were supportive of the plan as written, Tanner said.

The plan helped all financial institutions, not just the large banks, she said. Now that the plan failed to pass the House, it is unclear what to do next, she said.

However, she stressed that West Virginians shouldn't worry about their monies invested in community banks.

"Don't take it out and put it under the mattress," she said.

Despite the calm, West Virginia's banks are being more cautious.

"I can tell you that the lenders are becoming much more cautious with loans that are a little bit riskier,'' Judy McCauley, district director for the federal Small Business Administration in West Virginia, said of changes in the state's banking industry.

"They're more concerned with your ability to pay it back right now,'' McCauley said.

Cal Kent, vice president of Business and Economic Research at Marshall University, said although the McDowell County-based Ameribank failed earlier this month, the rest of the state's banking industry is in good shape.

"First of all, there are a lot of local banks that have been in the mortgage business and they understand the local market very well,'' Kent said. "A second reason is almost all of the banks here have not engaged in those lending practices which have led to the subprime mortgages.

"And a third reason is that large banks are able to absorb those losses,'' he said.

The state may have missed out on potential profits by not going after the riskier loans, but Rich Adams with United Bankshares said customers will look to more responsible banks to do business with.

"You might even see some increased lending,'' said Adams, United's president and chief executive.