Press Release: Beneficial State Bank Receives CDFI Fund Grant to Increase Lending Capacity to Local Communities
Jun 17, 2021
The CDFI Fund’s Rapid Response Program provides $1.25 billion to almost 900 community development financial institutions (CDFIs). Beneficial State Bancorp was awarded the highest possible amount: $1,826,265. The announcement was made on June 15 by Vice President Kamala Harris, Treasury Secretary Janet Yellen, Representative Maxine Waters, and Senator Mark Warner.
Funded by the stimulus act passed in December 2020, the program is intended to direct investments to underserved and historically disinvested communities—the same communities that are the hardest hit by the COVID-19 recession.
As financial first responders during the pandemic, CDFIs were on the frontlines, responding to the needs of marginalized and excluded communities—including small businesses needing PPP relief, consumers needing loan accommodations, and much more. CDFIs continue to play a critical role in community efforts to rebuild local economies as state and municipal lockdowns lift. Beneficial State’s $1.8MM award, leveraged with deposits, will afford the bank an additional $18MM of lending capacity, directly serving our communities.