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NCRC E-newsletter, November 2, 2004
News from the National Community Reinvestment Coalition
Welcome to the November 2nd E-newsletter of the National Community Reinvestment Coalition! This mailing provides NCRC members and staff with bi-monthly updates on the research and activities of NCRC. We hope you find this information useful in your work to promote economic justice!
§ *****NCRC's 2005 Annual Conference
§ *****The Fight Over CRA is Now an Election Issue: 4,000 Community Groups Have Sent in Letters
§ *****NCRC Supports Fed Proposal to Extend Consumer Protections to Payroll Card Users
§ *****NCRC Featured in New Book, “Why the Poor Pay More: How to Stop Predatory Lending”
§ *****NCRC Provides Data Analysis to New and Existing Members
§ *****NCRC Documents Nationwide Inequalities in Small Business Lending
§ *****NCRC’s Global Fair Banking Initiative
§ *****NCRC Member Celebrates Seventh Annual Awards Luncheon
§ *****14 NCRC Member Organizations Receive CDFI Grants
§ *****NCRC Welcomes Springboard as Newest CRF Member
§ *****NCRC Member, Long Island Housing Services, Celebrates 35th Anniversary
NCRC's 2005 Annual Conference - Chairman Alan Greenspan Confirms as Membership Luncheon Keynote Speaker.
NCRC's 2005 Annual Conference is March 16-19, 2005! *To find preliminary information and register for the upcoming annual conference - Empowerment & Development in Traditionally Underserved Communities - visit the Annual Conference page at http://www.ncrc.org/traningandassist...onferences.php.
The 2005 Annual Conference is set to begin the afternoon of Wednesday, March 16th, with special “member value” offerings. *The Congressional Luncheon, on Thursday, March 17th, will feature an address by Alan Greenspan, Chairman of the Federal Reserve Board. *Chairman Greenspan spoke about the Community Reinvestment Act at his first NCRC Annual Conference and this will be his third visit an NCRC’s Annual Conference. *On Friday, March 18th, NCRC will recognize the greatest achievements of our member community groups at the Awards Banquet. *Conference events will continue through midday on Saturday, March 19th. *Once again, the conference will be at the Hyatt Regency on Capitol Hill, and, as always, there will be wonderful opportunities to learn, debate, network, advocate, and enjoy
For more information about the 2005 Annual Conference, call NCRC at 202-628-8866 or go to www.ncrc.org <http://www.ncrc.org/> .
The Fight Over CRA is Now an Election Issue: 4,000 Community Groups Have Sent in Letters
NCRC, working with our members and allies, has generated more than 4,000 letters opposing the FDIC’s proposal to significantly weaken the Community Reinvestment Act (CRA) regulations. *This is a record for community groups and citizen comments sending letters to regulatory agencies regarding fair lending laws. *The overwhelming opposition to the CRA gutting proposal has also generated national media attention including a National Public Radio story and editorials in the New York Times and the Baltimore Sun. Newspapers in at least 30 states have covered the CRA issue. *Finally, several members of Congress including Senators Kerry, Clinton, and members of the Congressional Black and Hispanic Caucus have weighed in against the FDIC proposal. *Media reports indicate that FDIC Chairman Don Powell hopes to issue a decision in December. *But he faces tremendous opposition to the FDIC proposal, and has upset prominent Republicans as well including Representative James Walsh who wrote a letter in opposition to the proposal.
For updates, contact NCRC’s Research and Policy Department on 202-628-8866.
NCRC Supports Fed Proposal to Extend Consumer Protections to Payroll Card Users
NCRC recently supported the Federal Reserve's proposal to extend Regulation E protections to un-banked consumers using payroll cards. For individuals who do not have bank accounts, these cards act like debit cards, allowing the user to withdraw wages and other employee compensation. Some of the consumer protections to be extended include requiring periodic statements for users and caps on the amount the cardholder can lose if the card is lost or stolen. *NCRC recommended that the proposal be expanded further to include other cards, which deliver important funds to consumers. In addition, payroll cards should be counted towards CRA exams only in cases where they are responsive to the needs of low- and moderate-income communities for low-cost banking services. *A coalition of national community and consumer groups is working on a federal level to extend critical protections to new and emerging bank products including payroll cards and bounce loans.
Comments are due to the Federal Reserve by November 19. *For more information, contact Noelle Melton in the Research and Policy Department at email@example.com or 202-628-8866.
NCRC Featured in New Book, “Why the Poor Pay More: How to Stop Predatory Lending”
Once again, Professor Greg Squires, Chair of the Sociology Department at George Washington University, has edited a hard-hitting book, benefiting from the contributions of a “stellar cast of national researchers and activities” as a reviewer put it. *NCRC’s John Taylor, Josh Silver, and David Berenbaum wrote a chapter documenting the discriminatory targeting of minorities, women, and low- and moderate-income borrowers and communities by predatory lenders. *NCRC Board member Matthew Lee wrote a chapter discussing the global dimensions of predatory lending. *Other chapters discuss legal and policy responses to predatory lending. *
To order copies of the book, call Praeger Publishers at 800-225-5800.
NCRC Provides Data Analysis to New and Existing Members
NCRC would like to welcome its new member, Housing Discrimination Project, in Holyoke, MA. *The Housing Discrimination Project has already utilized NCRC's research service. *NCRC provided a market share analysis of prime and subprime lending in Pittsfield, MA. *NCRC has also recently provided data analyses to members in New York, Iowa, looking at the availability of prime and subprime loans on a neighborhood level as well as for entire counties and metropolitan areas. *Again, we'd like all our members to join NCRC in welcoming the Housing Discrimination Project to the Coalition, and we wish them luck in their efforts in Massachusetts.
For more information about our data analysis and technical assistance services for our members, please contact NCRC at 202-628-8866.
NCRC Documents Nationwide Inequalities in Small Business Lending
Using the most recent CRA small business lending data, NCRC documents the failure of banks and thrifts to make small business loans in the largest 120 metropolitan areas in the country. *NCRC also found that as metropolitan areas become more segregated by race, the level of lending to small businesses in minority tracts decreased. *The report, Inequalities in Small Business Lending by Income and Race of Neighborhood, shows detailed data on each of the 120 metropolitan areas.
Out of 120 metropolitan areas, the ten areas that demonstrated the largest gaps in the percent of loans received by small businesses in both middle and upper income (MUI) neighborhoods and low-and moderate-income (LMI) neighborhoods are:
§ *****Jackson, MS *****************************
§ *****Baton Rouge, LA
§ *****Richmond, VA
§ *****Stockton, CA
§ *****Gary, IN
§ *****Baltimore, MD
§ *****Santa Rosa, CA
§ *****Birmingham, AL
§ *****Lancaster, PA
§ *****Philadelphia, PA
As documented in this report, and in previous NCRC reports, disparities vis a vis lending to minorities and in low- and moderate-income communities remain significant and persistent. *CRA and fair lending enforcement must be increased, and policy makers should not weaken the lenders’ obligation to these communities. *
If you would like to receive a copy of the report, please visit us online at www.ncrc.org.
NCRC’s Global Fair Banking Initiative
With a grant from The Ford Foundation, NCRC *will begin working with non-government organizations internationally to promote fair and equal access to credit and capital. NCRC’s Global Fair Banking Initiative will be producing a summary of the laws, regulations, and lending atmospheres in some 12 nations to demonstrate what various countries are doing and not doing to promote economic opportunity for low wealth populations. *Further, NCRC, as part of this initiative, is developing a Global Website to allow for the exchange of economic justice information across national borders. Also, NCRC has established a Global Listserv, patterned along NCRC’s member listserv, to promote more frequent conversation and collaboration with community leaders in other countries.
For more information about NCRC’s Global Fair Banking Initiative, contact Prianjali Mascarenhas at firstname.lastname@example.org <email@example.com> (firstname.lastname@example.org) .
NCRC Member Celebrates Seventh Annual Awards Luncheon
California Resources and Training (CARAT) and the California Economic Development Lending Initiative (CEDLI) celebrated their Seventh Annual Awards Luncheon - Recognizing Excellence in Community Economic Development at the Omni Hotel in Downtown Los Angeles on October 25th, 2004. *The keynote speaker was Phil Angelides, California State Treasurer. *
CARAT has been an NCRC member since 2002 and serves as a private non-profit organization designed to integrate and build the capacity of the technical assistance industry in California. *Founded in 1994, CARAT's focus has been to assist in building capacity and encourage and stimulate partnerships between lending institutions and technical assistance providers.
14 NCRC Member Organizations Receive CDFI Grants
On September 30, 2004, Arthur Garcia, Director of Treasury Department's Community Development Financial Institution's Fund, announced the awardees for CDFI grants. NCRC is pleased to announce that 14 member organizations were selected for grant funding. These funds are rewarded to CDFI organizations that make a significant impact in low- to moderate-income communities. The following NCRC member organizations received an award:
§ *****Chicago Community Loan Fund
§ *****Mercy Loan Fund
§ *****National Federation of Community Development Credit Unions
§ *****NEWCORP Business Assistance Center
§ *****South Hartford Initiative
§ *****Coastal Enterprises
§ *****Community Loan Fund of New Jersey, Inc.
§ *****The Illinois Facilities Fund
§ *****Lightstone Community Development Corporation
§ *****Lower East Side People's Federal Credit Union
§ *****Kalamazoo Neighborhood Housing Services, Inc.
§ *****Florida Community Loan Fund
§ *****The East Los Angeles Community Union TELACU
§ *****Native American Development Corporation
NCRC is proud to have member organizations that serve as representatives and advocates in the fight for economic justice. Congratulations and keep up the good work!
NCRC Welcomes Springboard as Newest CRF Member
Dianne Wilkman, President and CEO of Springboard, drove over one hundred miles through LA traffic to get to NCRC's Consumer Rescue Fund (CRF) training on August 16th. She felt it was important to discover the possibilities that the CRF program had to offer and was impressed with the service NCRC provides. Springboard is now a member of NCRC and looking forward to helping their clients through the CRF Program.
Springboard, a nonprofit credit counseling and education organization founded in 1974, offers assistance for the full spectrum of one’s credit life, including credit report and credit score improvement, financial literacy programs, money management and budgeting, homeownership, debt settlement and debt management plans. **Springboard delivers confidential counseling over the phone or in person throughout its branch network and across the nation.
For more information about Springboard, call 1-800-947-3752 ext. 702 or visit www.credit.org.
NCRC Member, Long Island Housing Services, Celebrates 35th Anniversary
Long Island Housing Services (LIHS) invites everyone to come celebrate their 35th Anniversary on December 9, 2004, from 6pm - 10pm, at Villa Lombardi’s. Greet, meet, and honor the directors, staff, volunteers, and supporters for open housing that found & kept afloat Long Island’s premier fair housing organization. *Invited honorees that have supported civil rights and LIHS’ mission include Harriet Varady, Fair Housing Advocate, Rev. Allan B. Ramirez, Community Advocate, and Pat Dolan, President of News 12 Networks & Director News 12.
For more information about LIHS and their 35th Anniversary celebration, please contact Event@LIFairHousing.org.
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