Last year, Wells Fargo announced a $50 million investment into Black-owned Minority Depository Institutions (MDIs) to improve the lending ecosystems of underserved communities.
This week, the financial services company shares news that it plans to invest in five additional Black-owned banks in an effort to uphold its initial commitment.
“The country’s MDIs are vital to minority communities, but over the last two decades, many have declined or have closed,” William Daley — vice chairman of Public Affairs at Wells Fargo — shared in a company statement. “The capital investment we are announcing is important, but it’s our relationship approach that will make the difference in their futures. We want to be a partner to these important institutions and, in turn, have a positive effect on local communities.”
Wells Fargo shares that its latest round of investments include the following Black-owned institutions:
- Carver State Bank in Savannah, Georgia
- Citizens Trust Bank in Atlanta, Georgia
- First Independence Bank in Detroit, Michigan
- Liberty Bank in New Orleans, Louisiana
- Unity National Bank in Houston, Texas
As part of its equity capital investment, Wells Fargo also plans to provide these banks with access to a dedicated relationship team that will work with each MDI on “financial, technological, and product development strategies to help each institution strengthen and grow,” a press release reports.
“Guided by our founding principles to promote financial stability and equality for all communities, Citizens Trust Bank is proud to partner with Wells Fargo in expanding these efforts,” Citizens Trust Bank President/CEO Cynthia N. Day said in a statement. “The partnership enhances our ability to deploy more capital in our markets and beyond. We appreciate Wells Fargo for its commitment and alliance in providing solutions to the very important challenge of addressing inequalities that disproportionately impact communities of color.”
This latest round of investments follows Wells Fargo’s February announcement regarding investments in six other Black-owned MDIs, bringing the company’s total investment to 11 MDIs to date.
In addition to these partnerships, Wells Fargo will also make its nationwide ATM network available for customers of these 11 MDIs to use without additional fees.
For more information about Well Fargo’s multi-million dollar commitment, click here.