Saving Carver Federal, New York's Last Black Bank
Carver Federal Savings Bank CEO Michael Pugh is making a major push to attract customers back to the 67-year old Harlem institution. For many years, Carver was the bedrock of the neighborhood's business community, one of the only banks that would work with Harlem’s black businesses. But in the post-crisis years, Carver struggled to recover from a portfolio filled with failed subprime loans. To reinvigorate the bank, Mr. Pugh is engaging the community, asking churches and nonprofits to connect it with new customers. Pugh also plans to introduce a new line of business loans of $10,000 or less. "If a person who's running a kiosk on 125th Street came looking for a loan, another bank might offer him a credit card—or nothing," he said. "We're going to provide something better."