Recent News
"Spring Bank has only one branch, which is located in the Bronx, New York, but it is a member of the MoneyPass ATM network, which has around 40,000 surcharge-free ATMs nationwide, and offers fee-free access to Citibank branch ATMs. It also has a highly rated mobile app.
The U.S. Treasury has designated Spring Bank as a Community Development Financial Institution (CDFI), in recognition of the investments and loans the bank makes in low- and moderate-income communities in New York City.
The bank offers competitive yields on checking, savings and money market accounts and CDs.... Read more
"The New York Fed's Educational Comic Book Series brings readers on an out-of-this-world journey to teach about basic economic principles and the Federal Reserve's role in the financial system.
For classroom or independent learning, the series is created for students of all ages, and stimulates curiosity and raises awareness of careers in economics and finance. In addition, lesson plans created for each comic book meet national and state standards for New York, New Jersey, and Connecticut.
Comic books are available to students, teachers, and community organizations at no... Read more
"Launching a small business takes capital, and many entrepreneurs who find themselves not eligible for funding from traditional banks turn to CDFIs for financial support. But, CDFIs can also have limited resources and operate under constraints. For instance, they may fund loans but not have the capacity to invest in their own marketing, technology or staff retention.
Scale Link is working to change that."
"A surge in brokered deposits is pushing US banks' wholesale funding near levels that prevailed in 2018 and 2019 as funding costs continue to reset higher.
Brokered deposits, which tend to be high cost and generally do not represent direct customer relationships, increased 7.4% sequentially to $1.295 trillion in the third quarter, making the funding type the largest among wholesale categories, according to data from S&P Global Market Intelligence. Overall wholesale funding increased 2.9% to $3.285 trillion."
"United Bank has provided $350,000 in soft financing to The Gateway Companies for the new construction of Hill at Sand Mountain Apartments, a 56-unit multi-family affordable housing complex in Rainsville, Alabama. The soft financing is funded through United Bank's 2020 Capital Magnet Fund award from the CDFI Fund division of the US Treasury Department. United Bank is also providing $2.5 million in construction financing to the project through its participation in Synovus Bank's $11.9 million construction facility."
"Homeownership has become a pipe dream for more Americans, even those who could afford to buy just a few years ago.
Many would-be buyers were already feeling stretched thin by home prices that shot quickly higher in the pandemic, but at least mortgage rates were low. Now that they are high, many people are just giving up."
"Redlining has been around forever, and was even condoned by the government when the Home Owners Loan Corporation published maps circling 'hazardous' neighborhoods that banks should avoid.
Weblining is modern-day redlining by credit card, fintech, internet and other branchless banks paying high rates on the World Wide Web to vacuum up deposits without any required reinvestment."
"From local scout troops to hospitals and housing development organizations, banking nonprofits have turned into big business for many community banks.
At Beneficial State Bank in Oakland, Calif., nonprofits account for 33% of the total client portfolio, encompassing nearly 1,000 different groups. 'It is really an important vertical for us,' says Mary Edmeades, vice president and client treasury manager at the $1.7 billion-asset community bank."
"Former Speaker Kevin McCarthy, Republican of California, who made history as the first speaker to be ousted from the post, announced on Wednesday that he would leave the House at the end of the year but said he planned to remain engaged in Republican politics.
Mr. McCarthy's resignation, which he announced in an opinion essay in The Wall Street Journal, will bring to a close a 16-year stint in Congress in which he rose from a member of the self-proclaimed 'Young Guns' — Republicans driving to build their party's majority in the House — to the position second in line to the... Read more
"After more than eight months since a devastating EF4 tornado swept through Rolling Fork, Mississippi, killing 15 people, destroying much of the city's homes and businesses, and displacing hundreds of its residents, hope is on the horizon.
Community leaders and charitable organizations have stepped up to work to rebuild the town together and get its residents back on track."
"Rep. Patrick McHenry announced Tuesday that he won't be seeking reelection, one of the most high-profile congressional GOP retirements of the year.
The North Carolina Republican, first elected in 2004, progressed over the course of his time in the House from conservative rabble-rouser to a well-liked lieutenant of former Speaker Kevin McCarthy. McHenry, 48, later served as acting speaker during the frenetic three-week search for a replacement following McCarthy's ouster."
"Reports from 4,614 commercial banks and savings institutions insured by the Federal Deposit Insurance Corporation (FDIC) reflect aggregate net income of $68.4 billion in third quarter 2023, down $2.4 billion (3.4 percent) from the prior quarter. First and second quarter income benefitted from non-recurring gains from the accounting treatment for the acquisition of the three large bank failures this spring. Excluding these one-time gains, net income would have been roughly flat for the past four quarters. These and other financial results for third quarter 2023 are included in the FDIC's... Read more
"The Mission Driven Bank Fund, anchored by Microsoft and Truist, announces its first close of over $110 million. The more than 300 FDIC-insured Minority Depository Institutions and Community Development Financial Institution banks across the country are essential to expand access to financial services in unbanked and underbanked communities. The Fund will support MDIs and CDFIs through investments across assets, liabilities, equity, and off-balance sheet vehicles and offer technical services across strategic and operational areas. The Fund seeks to close the racial wealth and income gap by... Read more
Congratulations to the CDBA members United Bank and BankPlus for being included in American Banker's Best Banks list!
"The leaders of the 90 institutions that made the list value a number of key workplace traits. Trust, transparency and leading by example were cited by some of the executives as a priority. Clear communication was also touted as essential as an employer of choice. Generous benefits, especially paid time off to volunteer, was also a common theme. And of course, a bit of fun was had at many of this year's winners."
"Darrin L. Williams would like to clear up some misconceptions about his mission. As CEO of Southern Bancorp, Inc., one of America's oldest and largest community development financial institutions (CDFIs), he issues loans and works with clients in parts of Arkansas and Mississippi where traditional banks often fear to tread. But he still needs to make money.
'I get that a lot: "Oh, you're that nonprofit bank," says Williams. 'If we're a nonprofit bank, we're doing a bad job. We have to be profitable ... If there's no margin, it doesn't matter what our mission is.'"
The largest US banks with more than $5 billion in uninsured deposits at Dec. 31, 2022, will be subject to an eight-quarter payment under the Federal Deposit Insurance Corp.'s finalized special assessment. The announcement is in line with CDBA's position, stated in our July 20 comment letter, that requiring small, mission-focused banks to contribute to the special assessment would misdirect funds that would otherwise finance affordable housing, small business loans, and other essential activities in capital-starved areas.
"Plinqit, the first platform that brings together automated savings, data-driven financial wellness content and virtual account management, has partnered with Bankjoy, a leading digital banking provider for banks and credit unions across the U.S.
Plinqit's financial wellness and savings platform now integrates directly with Bankjoy's award-winning digital banking solution. Bankjoy's extensive client roster of banks and credit unions can easily embed Plinqit's intuitive and automated savings tools and data-driven educational content within their online and mobile banking experiences... Read more
"Community development financial institutions (CDFIs) are financial institutions with a mission to serve low- and moderate-income (LMI) individuals and communities. Since 2019, the Federal Reserve has fielded the national CDFI Survey to learn more about these institutions and how they are faring and evolving. This spring, we fielded the 2023 CDFI Survey and received responses from over 450 CDFIs nationwide. Survey results have shown that demand for CDFIs' products and services has continually grown for years. As a result, many institutions are looking to expand what they offer to their... Read more
"Dana Batterton is celebrating 35 wonderful years as an FNBC Community Banker today! Originally from Salem, Dana began her banking career in Little Rock before moving home and joining FNBC as an Auditor, Compliance Officer and Security Officer. Over the years, she has advanced and today serves as a valued member of our Executive Management Team and leads all aspects of risk management for the bank. Dana is a tremendous leader and teacher, and we are grateful for all the ways she pushes FNBC forward. Congratulations on your milestone anniversary, Dana!
"Five groups are angling to lead EPA's largest climate grant program in history, each pitching a different plan to convert billions of federal dollars into lasting change for people and the planet.
EPA has said it will only choose two or three applicants to run the National Clean Investment Fund (NCIF) — a $14 billion lending facility sometimes dubbed the national green bank. The stakes are high: NCIF is the largest program in the Greenhouse Gas Reduction Fund (GGRF), with a mission to provide affordable financing for tens of thousands of clean technology projects.
EPA is... Read more