Here is a fantastic article on a sector of the banking community that is doing well:
Too Small to Fail
My own experience with a community bank mortgage wasn't so romantic. Before the ink had dried the mortgage was sold to another bank and the first letter I got in my new home informed me I was doing business with a national chain (now partly owned by the benevolent government of Singapore).
I signed up for the George Bailey experience but he sold me out to Mr. Potter.
My "local" bank was eventually bought.