Recent News
Citizens National Bank's John C. McRae has been honored in this year's Bank Investment Consultant's Top 100 Bank Advisors list. Bank Investment Consultant is a leading publication in the industry and has named McRae in this list three unique times. McRae serves on the bank's Wealth Management Division, is a Branch Manager, and also a Senior Financial Advisor. "I am still humbled by this recognition," says McRae. "I look forward to continuing to serve our clients in the accumulation, preservation and transfer of wealth."
As consumers migrate to banking apps, it is tempting for lenders to focus solely on improving that experience. But new data suggests that consumers aren't abandoning other platforms completely. Smartphone apps have become the most popular way for consumers to use mobile banking, but half of those customers also access mobile banking through a browser on their phones, according to Javelin Strategy & Research. "We can no longer afford to ignore the online portal in deference to the app," said Emmett Higdon, director of digital banking at Javelin Strategy & Research. Read more here.... Read more
Policymakers have long struggled to modernize the decades-old Community Reinvestment Act. But translating that momentum into an actual reform plan in 2019 will not be easy. Sticking points range from how to define a community amid rapid change in delivery models, to creating a single uniform CRA metric for banks to follow. However, Comptroller of the Currency Joseph Otting remains hopeful. "Everybody recognizes this is something that collectively we need to fix," he said. "Everybody is prepared to roll up our sleeves and sit down and talk."
The Community Development Bankers Association (CDBA), the national trade association of Community Development Financial Institutions and mission focused banks, is seeking a high energy and dynamic candidate for the position of Public Policy Director. The ideal candidate will have 3-5 years of public policy/advocacy experience and a passion for community development. The position reports to our Chief Executive Officer, but works with all members of the team. This is a full time 40 hour per week position located at PCG's offices in Washington, D.C. Click here to apply.
Opportunity Zones, the brainchild of Silicon Valley's Sean Parker, provide investors massive tax advantages for investing in "distressed" areas. However, while the program's intent is to help those living in the zones, a huge influx of capital could also lead to these populations' displacement. Given that some investors may be more interested in the tax breaks than social impact, it may be that the financiers won't do much to prevent this. So where do things currently stand for all parties involved?
The DC Office of Cable Television, Film, Music, and Entertainment (OCTFME) has named Industrial Bank's U-Street location the city's Location of the Month. The designation promotes exemplary DC locales as prime settings for movie and television productions looking for filming locations. The bank recently underwent major renovations that helped it win this distinction, adds Melanee Woodard, Assistant Vice President of Industrial Bank, ""Now you can come in, sit down, have a complimentary coffee, talk with our team and experience all that comes with our service." Read more... Read more
As the successful re-entry of previously incarcerated citizens raises national focus, Industrial Bank seeks to become a leader in the movement. Recognizing the need for financial knowledge, at the beginning of 2018, Industrial Bank began financial literacy training within the walls of a DC Jail. By bringing awareness and financial knowledge to these communities, Industrial Bank hopes to support economic growth in their communities. "Industrial Bank's Financial Workshop ...was a much-needed resource to help our population build a pathway to the desired future that our young... Read more
This week, small banks serving America's impoverished communities were recognized by the U.S. Department of the Treasury's Community Development Financial Institutions (CDFI) Fund with $25 million in Bank Enterprise Awards (BEA Awards) to a record-breaking 119 banks and thrifts headquartered in 24 states and the District of Columbia. Of the awardees, 61 are members of the Community Development Bankers Association (CDBA), who received a total of $13.8 million in awards (55 percent of the total award dollars).
Last month, Citizens National Bank received the 2018 Community Impact Award at the 22nd annual CRA & Fair Lending Colloquium in Hollywood, Fla. The award specifically recognized the bank's Power of Local Community Development Program, which helps the unbanked establish credit, improve credit scores, and secure affordable home loans. "Our vision is to assist our customers in creating a personal financial plan that enables them to achieve their dreams," said J. Scott Sills, Chief Marketing Officer at Citizens National Bank.
Rural businesses, especially startups and those operating on a shoestring, have long found it difficult to qualify for traditional bank loans. Now Hello Bello, a new app from 1st Southwest Bank CEO Kent Curtis, seeks to address that. The app provides a central database that combines numerous sources of financing open to an underserved business. "Hello Bello serves to mitigate risk for banks and open the complete capital stack for small businesses," Curtis said. "This can be transformational in the way capital is deployed in rural communities."
Annie Donovan has officially announced her departure from the CDFI Fund. During her five years as director, Donovan oversaw tremendous growth in the agency's funding and programming and the largest ever CDFI Program award round. Donovan leaves the Fund in good hands, however. Her replacement, Jodie Harris, joins the Fund from the Department of Treasury where she serves as Director of Small Business, Community Development, and Housing Policy. Harris previously ran the BEA program and served as an adviser to former CDFI Fund Director Donna Gambrell.
The Cato Institute's Diego Zuluaga recently suggested that the best approach to the Community Reinvestment Act would be its elimination. Nikitra Bailey offers her rebuttal in American Banker. The CRA was initially created in response to redlining, a practice in which banks refused to lend to low-to-moderate income neighborhoods, including communities of color. Thus, Nikitra argues, CRA has played an integral role in fighting this by expanding investment and access to credit for communities with a history of underservice by banks. Read her full argument here.
Last month, FM Bank held a groundbreaking ceremony for a new location that will open next year. The 2,816 square-foot full-service banking facility will have a three-lane drive thru, a drive-up ATM, and a night deposit box. The branch will be located at the intersection of Farmington Road and County Road 166. "Our banks take pride in the communities where we are located," said President and CEO John Haynes. "Making our communities the best they can be is one of our daily goals as a community bank."
President Donald Trump has signed an Executive Order establishing the White House Opportunity and Revitalization Council. The Council will be chaired by the Secretary of Housing and Urban Development, Ben Carson, and comprised of 13 Federal agencies. The new group will engage with all levels of government on ways to better use taxpayer dollars to revitalize low-income communities and improve efforts by streamlining, coordinating, and targeting existing Federal programs to economically distressed areas, including Opportunity Zones.
When Stephanie Shimp's restaurant business was on the verge of financial disaster, Sunrise Banks stepped in to help them through the use of SBA-backed loans. "There may be something that prevents the loan from being done conventionally," says Chris Albrecht, Sunrise Bank's senior vice president and SBA manager. "The hope is that these [SBA] loans will transition into conventional financing." And for Shimp, they did exactly that. "We have grown really because of and through this SBA product," she explains. "It's a real company now." Read more here.
1st Southwest Bank customer Animas Chocolate Company has revolutionized the world of chocolate for Durango locals. The shop specializes in both bean-to-bar chocolate and fine chocolate mixes such as hot chocolate, truffles, and more. Owners Carley and Marc have taken dessert-making to a whole new level, making tasty and enjoying sweets an experience anyone will want to share. Recently, the bank reached out to the owners to get their take on what it's like running their unique business. Read more here.
Tiffany Stone set out to change her community for the better. So, she began at BankPlus. She started as the Banking Center head teller then quickly moved on to become a branch manager and senior universal banker. "The coolest part of my career is to be a part of the future of banking," Stone said. "Our branches are the future of banking with ITM: Interactive Teller Machines. This is where a live person takes care of all your transactions through our Interactive Teller Machine just like you would at any teller window at any bank. Our branches are not your typical branch... Read more
Sunrise Banks serves two distinct client groups — underserved communities and fintech. And for Chairman and CEO David Reiling, finding innovative ways to have the two efforts support each other is the way to move forward. "We want to be the preferred fintech bank," says Reiling. "We want venture capital companies to say, 'Oh, you bank with Sunrise? OK, I'll invest in your fintech.' Because they'll know they have a chance to be successful." Read the full American Banker interview here.
Earlier this month, BankFirst announced an expansion of its business banking solutions to offer SBA 7a, and 504 loans to small business owners throughout Mississippi and Alabama. With a retail branch network in central Mississippi and Alabama, BankFirst's entrance into SBA lending will allow the bank to better serve its existing communities as well as develop a southeastern presence to offer loan products that help small business owners who may not qualify for conventional loans. Walter W. Dyminski has been hired to lead the bank's Small Business Administration (SBA)... Read more
Cities and towns all over the country are implementing innovative tactics to invigorate and revitalize their communities. On Dec. 13th, LOCUS' parent company Virginia Community Capital (VCC) will hold a conversation about these place-based trends with Bruce Katz, author of "The New Localism" and former Centennial Scholar at the Brookings Institute, and Erika Poethig, Vice President and Chief Innovation Officer of Urban Institute. The session will be moderated by Craig Carper, News Director of 88.9 WCVE Public Radio.