Making Community Lending a Force Again

Mortgage Professional America, Nov. 9, 2020–Ryan Smith
Minority-owned banks can be important economic drivers in their communities. A March study by the Urban Institute found that Black-owned banks generally lent in greater shares to low- and moderate-income communities. During the 2008 housing crisis, these banks increased their mortgage lending to Black borrowers while other financial institutions cut back. However, the same study found that Black-owned banks are disproportionately affected by financial crises.