News

CBS Baltimore | Wednesday, December 15, 2021

Giant Food announced on Wednesday that they are investing $50 million to support The Harbor Bank of Maryland, the state's only black-owned and -managed commercial bank. The investment will increase the amount of loans the bank is able to give out. Through this investment, Giant and Harbor Bank aim to help underserved communities by bolstering local businesses, as well as technological and personal advancement.

American Banker | Wednesday, December 15, 2021

A new small-dollar loan for borrowers with limited credit histories has emerged from a partnership between a community development financial institution and a fintech. NAAC Finance, the new digital lending arm of the National Asian American Coalition, developed the product with Asenso Finance, a startup that processes and services loans for financial institutions. The loan has two unusual features: Customers must complete financial literacy training before their loan is approved, and alternative data such as income is used in the underwriting. The relationship between NAAC — a CDFI in Daly City, California — and Asenso in Manhattan Beach, California, has an unusual origin.

CDFI Fund | Tuesday, December 14, 2021

In October, the Community Development Financial Institutions Fund (CDFI Fund) reported that its Awards Management Information System (AMIS) would be transitioning to an updated user interface. Originally scheduled to occur in mid-December, the conversion to the Salesforce Lightning environment is now scheduled to take place on January 14, 2022. Questions regarding AMIS can be submitted via a Service Request in AMIS, email at amis@cdfi.treas.gov, or phone at (202) 653-0422.

Arkansas Business | Monday, December 13, 2021

Southern Bancorp Community Partners on Monday announced that it had hired Anthony Young, a former director of capital programs at the nonprofit Epicenter Foundation, as its new president. Young replaces Karama Neal, who earlier this year was appointed to the U.S. Department of Agriculture's Rural Business-Cooperative Service. At the Memphis-based Epicenter, Young connected entrepreneurs to a variety of capital types and helped ensure equitable access to capital across the community, SBCP said in a news release. He previously served as the economic development director at River City Capital in Memphis, a Community Development Financial Institutions loan fund. Donna Gambrell, SBCP board chair, called Young a "dynamic leader." "His experience and energetic approach to increasing access to capital will be an outstanding foundation for leading our organization into a greater era of growth and impact," she said in the release.

CDFI Fund | Monday, December 13, 2021

Over the past year, increased funding and enhanced recognition of the role Community Development Financial Institutions (CDFIs) play in facilitating economic recovery, inclusion and opportunity in distressed and underserved communities has generated a dramatic increase in the number of organizations seeking Certification as a Community Development Financial Institution (CDFI). In order to right-size expectations of the time needed to provide a decision, going forward, the CDFI Fund can no longer commit to providing determinations on CDFI Certification Applications and Target Market Modification applications within 90 days. The CDFI Fund will review and provide determinations as quickly as reasonable.

CDFI Fund | Monday, December 13, 2021

Over the past year, increased funding and enhanced recognition of the role Community Development Financial Institutions (CDFIs) play in facilitating economic recovery, inclusion and opportunity in distressed and underserved communities has generated a dramatic increase in the number of organizations seeking Certification as a Community Development Financial Institution (CDFI). In order to right-size expectations of the time needed to provide a decision, going forward, the CDFI Fund can no longer commit to providing determinations on CDFI Certification Applications and Target Market Modification applications within 90 days. The CDFI Fund will review and provide determinations as quickly as reasonable.

Press Gazette | Friday, December 10, 2021

UB Community Development LLC, a community development partner of United Bank, announced that it has closed a $7 million New Markets Tax Credit (NMTC) transaction with Carson Lovell Inc. to develop and construct two federally qualified health centers, which will be located in Milton and Pensacola. The health centers will be operated by Community Health Northwest Florida. Community Health Northwest Florida is a clinic-to-community healthcare provider with 17 care locations throughout Pensacola and the surrounding area.

Consumer Federation of America | Wednesday, December 8, 2021

Acting Comptroller of the Currency Michael J. Hsu delivered remarks on December 8 before the Consumer Federation of America's 34th Annual Financial Services Conference. The remarks, entitled “Reforming Overdraft Programs to Empower and Promote Financial Health”, touched on historical context, inequities, and potential solutions related to bank overdraft programs. 

CDFI Fund | Tuesday, December 7, 2021

In September, the Community Development Financial Institutions Fund (CDFI Fund) announced the availability of up to $1.9 million in funding through the fiscal year (FY) 2022 round of the AmeriCorps CDFI Economic Mobility Corps (EMC), which is a joint initiative of the CDFI Fund and AmeriCorps that places full-time national service members in Certified Community Development Financial Institutions (CDFIs) to enhance their capacity to provide financial literacy, financial planning, budgeting, saving, and other financial counseling activities. Organizations that are interested in applying for an EMC award are encouraged to review the FY 2022 AmeriCorps State and National Direct Grant Notice of Funding Opportunity (NOFO). Organizations must apply for an AmeriCorps State and National Direct Grant in order to participate in EMC. Applications are due to AmeriCorps by 5:00 p.m. Eastern Time on Wednesday, January 5, 2022.

American Banker | Wednesday, December 1, 2021

The Federal Deposit Insurance Corp. plans to auction off a controlling stake in Birmingham, Alabama-based Alamerica Bank on Wednesday, a move that could result in Alamerica passing out of minority ownership. While a preliminary bidder's list included several large Black-owned banks, it also included some non-minority bidders. Founded in January 2000, the $15.4 million-asset Alamerica is the smallest of the 17 remaining Black-owned banks in the United States. According to William Michael Cunningham, CEO at Creative Investment Research and an authority on Black-owned banks, the FDIC-owned shares were used as security for a $4 million loan from Silverton Bank. They passed into the FDIC's possession following Atlanta-based Silverton's failure in May 2009. The FDIC “certainly has the right to do this,” Cunningham said Tuesday, but he called it troubling that Alamerica might wind up outside the minority banking sector as a result of the auction. “If Alamerica is no longer a Black-owned bank, that could ruin things from a social and cultural perspective, especially in light of the supposed support for Black banks that followed the death of George Floyd,” Cunningham said.

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