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EXHIBIT 14

Monarch Community Bancorp, Inc. /Monarch Community Bank

Conflict of Interest and Ethics Policy


All directors, officers, employees, agents and attorneys of Monarch Community
Bancorp, Inc., and its wholly-owned subsidiary, Monarch Community Bank, are
expected and required to act in a responsible and respectable manner at all
times. Furthermore, while acting in their capacities as Bancorp or Bank
directors, officers, employees, agents or attorneys, all such persons must
remain free of outside influence that could result in the loss of objectivity
regarding business conducted with customers or with the Bancorp/Bank. Further,
all such persons must refrain from the unauthorized disclosure of confidential
customer and Bank/Bancorp business information.

The Boards of the Bancorp and the Bank adopt this conflict of interest/ethics
policy to govern the disclosure of potential conflicts of interest in
accordance with applicable laws and regulations, and to prevent the development
of improper relationships between the Bancorp and the Banks directors and
employees, and third parties.

DOCUMENTATION

Each director, officer and employee will receive his or her own copy of this
policy annually and will sign a written acknowledgement of its receipt and an
agreement to comply with the policy. All auditors and attorneys engaged by the
Bancorp/Bank shall receive a copy of this policy, and such auditor or
attorneys engagement by the Bancorp/Bank shall be subject to the requirements
of this policy.

DISCLOSURE

The Bancorps and the Banks directors, officers and employees will disclose
all potential conflicts of interest in writing annually. All written
disclosures will be retained in the Bancorp/Banks files. These potential
conflicts would include but are not limited to the following:



| |  |  | Management positions, such as directorships, held at outside
organizations                                                                      
| | - |  | ------------------------------------------------------------------------------------------------------------------------------------------------
|
| |  |  | Related interests, such as a company or political campaign controlled
by that person, or the funds or services of which will benefit that
person
|
| |  |  | Any compensation (including salaries, wages, or gifts) received from
outside organizations                                                      

It is the responsibility of each director, officer and employee to be aware of
the appearance of any potential conflict of interest and to remove himself or
herself from any compromising position regarding the banks relationship with
any organization with which he or she may be connected.

ACCEPTANCE OF GIFTS

Bancorp/Bank directors, officer, employees, agents and attorneys may accept
small gifts or other items of value from customers, vendors, or those
attempting to become vendors of the Bancorp/Bank as long as they are properly
disclosed and the dollar value is considered nominal. Gifts valued up to $50
may be accepted without prior approval. Gifts to Directors and to officers who
are members of the Management Executive Committee estimated to be of a value
between $50 and $200 may be accepted with disclosure to the Chief Executive
Officer. Gifts to Directors and to officers who are members of the Management
Executive Committee exceeding $200 must receive the approval of the Chairman of
the Board or the Board of Directors before acceptance. Gifts to employees who
are not members of the Management Executive Committee exceeding $50 must
receive the approval of the Chief Executive Officer or Management Executive
Committee before acceptance.

Following are examples of the types of gifts Bancorp/Bank directors, officers,
employees, agents and attorneys may accept from individuals or companies doing
or seeking to do business with the Bancorp/Bank:





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| |  |  | Meals, gratuities, amenities, or favors based on obvious family or
personal relationships                                                                                                                                                                                      
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|
| |  |  | Meals, refreshments, travel arrangements, accommodations, or
entertainment of reasonable value in the course of a meeting or other
bona fide business occasion                                                                                                                 
|
| |  |  | Loans from other financial institutions when made on customary terms
for the purpose of financing usual and proper activities (Insiders must
refer to the banks insider policy for additional guidance and
regulatory requirements concerning loans from correspondent banks.)
|
| |  |  | Advertising or promotional material of reasonable value (pens, note pads, calendars, etc.)                                                                                                                                                                                     
|
| |  |  | Discounts or rebates on merchandise or services that are available to other similar customers                                                                                                                                                                                  
|
| |  |  | Gifts of reasonable value related to commonly recognized events or
occasions such as a promotion, wedding, retirement, holiday, or other
special occasion                                                                                                                      
|
| |  |  | Civic, charitable, education, or religious organizational awards for recognition of service and accomplishment                                                                                                                                                                 
|
| |  |  | Other benefits or items of value, when approved in writing on a case-by-case basis.                                                                                                                                                                                            

SOLICITATION OF GIFTS

No director, officer, employee, agent, or attorney of the bank shall solicit
anything of value from any customer of the Bank or vendor or potential vendor
of the Bancorp/Bank, except for fees, interest, goods or services due the
Bancorp/Bank as part of lawful business or banking relationships. Unsolicited
gifts of goods of a value exceeding the limits stated above shall become the
property of the Bank/Bancorp.

DISCLOSURE OF CONFIDENTIAL INFORMATION

Bancorp/Bank directors, officers, employees, agents and attorneys shall not
disclose:



| |  |  | Confidential Bancorp/Bank business information, including but not
limited to Business Plans and financial information and documents
| | - |  | -----------------------------------------------------------------------------------------------------------------------------------
|
| |  |  | Confidential Bank customer information and documents                                                                               
|
| |  |  | Matters and documents discussed or presented at Bancorp/Bank Board and Committee meetings                                          

Unless the disclosure of such information or documents is in accordance with
applicable laws and regulations, and Bancorp/Bank Policy.

EXTERNAL INVOLVEMENT

The Bancorp/Bank encourages employees to participate in activities outside of
the Bank, including charitable or political activities. However, federal law
prohibits the Bank from making political contributions. To ensure the Banks
separation from any political contributions, employees are prohibited, while on
Bank property or while on duty, from soliciting other employees for political
contributions on behalf of candidates for public office, political action
committees, or political parties. Management may disseminate to employees
materials from banking related political action committees, however, directors,
officers and employees may not coerce other employees into contributions to
such political action committees.

While the Bancorp/Bank may support certain charitable organizations, directors,
officers and employees may not coerce other employees into contributions to
such organizations.

ACTION FOR NONCOMPLIANCE WITH THE POLICY

All instances of violation of this policy will be reported to the Banks
Compliance Officer, the Bancorp or Banks Chief Executive Officer, or the
Chairman of the Board of the Bancorp or Bank. Such individual will investigate
or direct an investigation of the situation, and appropriate action will be
taken. If the violation involves an employee, such action shall be through the
Human Resources Department. Action will be commensurate with the seriousness of
the misconduct.





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Failure to comply with this policy may result in termination of employment or
removal from the Board. All alleged violations of this Policy and the results
of the investigations of such allegations shall be reported to the Bancorp/Bank
Board.

The Boards of Directors approved and adopted this policy on January 16, 2003.