Capital and Main, February 7, 2022, Inside the Fight to Make Banks Benefit Their Communities
At a time when big banks get easy approval for profitable mergers, some California community groups are saying not so fast. Dozens of them are seeking to block U.S. Bank’s bid to acquire Union Bank unless the former sets aside $90 billion for lending and charitable giving to the state’s lower income areas and communities of color.
In its opposition to the merger, the CRC has called attention to U.S. Bank branch closings in lower income neighborhoods and communities of color. The group cited a National Community Reinvestment Coalition study that showed U.S. Bank closed a quarter of its 643 California branches between 2017 and 2020. CRC fears the consolidation would bring additional closures, resulting in more people turning to high-cost check cashing and payday loans.
