NCRC has secured a grant from the W.K. Kellogg Foundation to probe banks’ small-business lending practices. It follows a 2017 pilot study in which the group found that white shoppers posing as business owners were three times more likely to be invited for follow-up appointments than their black counterparts and twice as likely to be offered help in completing loan applications.
Wells Fargo & Co. Chief Executive Officer Tim Sloan said last year that a wholesale makeover of his board would be “crazy.” Well, now it’s happening.
A number of civil rights and affordable housing groups, including NCRC, criticized the Fannie, Freddie reform bill as an “ill-conceived approach [that] places the risk on the backs of the hardworking families who already rescued the big banks.”
The Consumer Financial Protection Bureau stripped the Office of Fair Lending of its enforcement powers. John Taylor, President and CEO of the National Community Reinvestment Coalition said, “I am appalled to see one of the most effective offices within the CFPB stripped of responsibility to stop redlining, predatory lending, and other discriminatory behavior by financial firms.”
For years, banks have been fighting these requirements to lend to underprivileged people — and President Trump is listening as he continues his war on regulation. The irony is that these rules benefit the same “blue-collar people Donald Trump maintains he represents.
In a statement, 76 community groups (including NCRC) say that the delaying the rule by one year is tantamount to repealing the rule altogether.
Fintechs are revolutionizing the financial market, but will they also modernize 21st century community reinvestment? Earlier this fall, the National Community Reinvestment Coalition met with Square officials to find out.
As big banks focus on big businesses, it has become harder and harder for Chicago’s small business owners and entrepreneurs to secure reasonable loans from responsible lenders.
The White House is quietly preparing the most sweeping changes to federal safety net programs in a generation, using legislation and executive actions to target recipients of food stamps, Medicaid and housing benefits.
Despite a decade of setbacks, the game is definitely not over for low-income borrowers.