NCRC

In a study akin to a “mystery shopper” experiment, the National Community Reinvestment Coalition found discrimination throughout multiple phases of the loan application process. During 43% of their tests, a white applicant was treated more favorably than a Black applicant whether it was through encouragement for applying, the products offered or the breadth of helpful information provided by the bank.

Earlier this month, the National Community Reinvestment Coalition (NCRC) held its 30th annual conference. But in a session titled “The Stories We Tell: Journalism for a Just Economy,” the organization broke new ground, initiating a new conversation for the group regarding the intersection of journalism and economic justice.

Better Markets is pleased to announce that Dedrick Asante-Muhammad, Chief of Membership, Policy and Equity at the National Community Reinvestment Coalition, and Donnel Baird, Co-Founder and CEO of BlocPower, have joined the Board of Directors.

Responsible banking ordinance was developed in part by the National Community Reinvestment Coalition which advocates for greater reinvestment by banks in low- to moderate-income neighborhoods and has drafted model legislation that local governments can work from.

Banks, overwhelmed by applications, “failed to live up to the goals of a 44-year-old federal law that requires them to equitably serve all communities where they do business,” according to Jesse Van Tol, CEO of the National Community Reinvestment Coalition, a fair-lending group.

A recent report from the National Community Reinvestment Coalition ranks the city as one of the most intensely gentrifying cities in the U.S. 

Federal Reserve Chairperson Jerome Powell recently voiced his support for expanding the federal CRA to all institutions that make consumer loans. “Like activities should have like regulation,” Powell said last week to the annual conference of the National Community Reinvestment Coalition, a nationwide network of community development and fair housing groups. It would take legislative action from Congress to do so.

Regarding the influence of fintech on the supply of services, the National Community Reinvestment Coalition wrote, “…the digital financial providers may not have much of an impact in low- and moderate-income neighborhoods since customers unfamiliar with banking are less likely to engage in significant digital banking transactions.”