Carver Federal Savings Bank
Carver Federal Savings Bank has served African-American communities traditionally denied access to debt capital for more than 60 years. From its headquarters in Harlem, the bank lends to consumers, businesses, non-profits, and faith-based institutions throughout New York City. Receiving accolades from the community, and regulatory agencies, Carver is a national leader among community development banks and minority owned institutions.
Carver Bancorp, Inc., the holding company for Carver Federal Savings Bank, a certified Minority Depository Institution, and Bank of America Corporation announced today that they have closed a Senior Secured Social Impact Revolving Credit Facility with BlackRock's Alternative Solutions Group. BlackRock Alternative Solutions manages private market portfolios and invests across alternative asset classes, sectors and geographies on behalf of its clients. The transaction represents the first time that Carver has participated in a subscription line facility and is among the first-of-its-kind transactions where an MDI has joined as a co-lender. It is also the first subscription line transaction with an MDI lender for both BlackRock and Bank of America. The facility pairs Carver and Bank of America's lending and advisory capabilities with BlackRock's investment expertise, including in the areas of social impact and sustainable investing.
The current movement for racial reconciliation has raised awareness of the centuries-long wealth gap in America between whites and people of color—and of the role Black-owned banks can play to bridge it. Even if you don’t have a team of money managers or hundreds of millions to shift to Black-owned institutions, you can still start an account with a bank dedicated to investing in underserved communities. Banks mentioned include Carver Federal Savings Bank, City First Bank, First Independence Bank, and OneUnited Bank.
"Buy Black! Bank Black!" The chant was heard frequently over the course of 2020 during protests and conversations surrounding racial justice in America. It turns out it was more than just a chant. Over the past year, Black banks have a notable uptick in interest on the heels of this social movement. "We've seen more than 30 million dollars of new deposit relationships come to us through large corporate partners, non-profit organizations and customers over the past few months," said Michael Pugh, CEO and President of Carver Bank. "I can tell you that it's at least a forty percent increase above where we've seen our historical trends."