Columbus, Ohio and DETROIT, June 16, 2021 / PRNewswire / – Huntington Bancshares Incorporated (Nasdaq: HBAN) today announced a new strategy to address social, racial, environmental and economic inequalities on its footprint by committing to 40 billion dollars towards its new community plan. The plan will help improve financial opportunities for the consumers, businesses, and communities it serves, with a focus on affordable housing, small business loans, and raising capital for historically disadvantaged communities and beyond. low to moderate income.
“As a growing bank dedicated to supporting people, businesses and communities throughout our expanded footprint, we recognize the responsibility we have to help improve economic opportunities for those we serve,” said declared Steve steinour, Huntington president, president and chief executive officer. “Our goal of finding people guides us to be a catalyst for positive change and to ensure that underfunded consumers and businesses have access to capital, affordable housing and other resources to achieve their goals and pursue their goals. their dreams. the merger with TCF Financial Corporation allows us to renew and strengthen our commitment to improving the financial stability and quality of life of people in our local communities. “
Huntington met with 400 community organizations across its current and newly expanded footprint to identify the community needs outlined in the plan. Huntington’s expanded 2021 Community Plan addresses several key needs, which the bank has identified through ongoing conversations with community partners, colleagues and customers:
- Racial and social equity: Huntington will place special emphasis on diversity, equity and inclusion initiatives, including those that support environmental equity, to empower customers, businesses and organizations that represent diverse demographics. As detailed below, from the 40 billion dollars commitment, the bank will allocate $ 16 billion from the Community Plan to minority borrowers and communities to advance meaningful and systemic change.
- Consumer and housing loans: Homeownership is a catalyst to help build assets and increase economic opportunities. Huntington will adopt an affordable housing and consumer loan goal of $ 24 billion, whose $ 12 billion of this amount is committed to meet the needs of minority and disadvantaged populations.
- Small business: Huntington to expand small business lending programs in new footprint and engage 10 billion dollars over five years, of which $ 2 billion will focus on lending to minority-owned businesses or businesses operating in majority minority communities.
- Loans and investments for community development: Huntington is dedicated to raising the capital of historically disadvantaged individuals, businesses and communities. The bank will commit $ 6.5 billion in loans and investments to improve programs and services that promote equity in areas including, but not limited to, affordable housing, small business financing and community services that ensure food security, financial empowerment and workforce development. Of $ 6.5 billion, $ 2 billion will focus on minority initiatives in these areas. Additionally, Huntington will continue to make philanthropic giving and other support as part of the 2021 Community Plan.
The challenges of the past year have highlighted the disproportionate environmental impacts on some communities. Huntington is committed to making meaningful change and improving the economic vitality, financial security and sustainable futures of those it serves. Over the next few months, the bank will engage in conversations with a cross-section of executives to develop specific initiatives to address the environmental health challenges facing underfunded communities. Huntington’s sustainability commitments will evolve as the bank continues to listen and take action to meet the changing needs of local communities.
The 2021 Strategic Community Plan comes a week after Huntington’s merger with TCF Financial Corporation, which created one of the 25 largest U.S. banking holding companies and solidifies the combined company’s commitment to the customers and communities it she serves. The plan represents an increase of approximately $ 5 billion new financing on top of the historic Huntington and TCF loans and investments. Both banks have deep ties to the community, including the National Community Advisory Council (NCAC) that Huntington partnered with the National Community Reinvestment Coalition (NCRC) in 2017 to further engage critical community organizations in conversations about critical needs of the weak – to moderately resourced and underfunded communities. Huntington will continue to work with community organizations across its footprint to ensure the new plan aligns with the needs of all the communities it serves.
“We appreciate the leadership and commitment of Huntington Bank to return to the table with the NCRC and our members to develop a new community benefits plan that makes specific and significant commitments to increase investment, lending and access to affordable housing in communities of color, ”said Jesse Van Tol, CEO of NCRC. “The bank’s commitment to advancing diversity, equity and inclusion initiatives is encouraging. This effort, and the 40 billion dollars the commitment it has produced gives me hope that we have a lasting impact on lives, families and neighborhoods. “
“Banks are the custodians of a community’s wealth,” said NCRC president and founder John taylor. “It is their solemn obligation to deal with such wealth with the greatest diligence. At the forefront of this obligation is the bank’s commitment to reinvest in these communities to allow citizens’ wealth to grow and develop through banking investments. “
Through Huntington’s previous community plans, the bank has helped over 14,000 first-time homebuyers, either invested or loaned $ 962 million for 8,693 affordable housing development units, and in total provided more than $ 22.7 billion in community development programs and products, loans and investments to meet needs across its entire footprint.
“We are very grateful for the 155 year history of Huntington in Ohio and continued leadership today, ”said Ohio Govt. Mike DeWine. “This community plan is bold, thoughtful, and life-changing for the people who will benefit from it: one owner, one business owner, one community at a time.
The merger between Huntington and TCF will create an even stronger commitment to economic and technological innovation for Detroit, headquarters of the commercial bank, and throughout Michigan. The collective strength of the combined business will allow for greater impact as the bank continues to engage with community partners in this region to determine the basic needs of people who live and work in minority communities.
“We recognize the critical need for change and the unique position in which our bank finds itself to strengthen individuals, businesses and communities. We are proud that our combined bank is leaning towards helping business owners, new owners and others build wealth and pursue their dreams, ”said Huntington Bank Chairman Gary Torgow.
“Huntington and TCF have already shown their commitment to Detroit by committing 10 million dollars to the Neighborhood Strategic Fund. We are therefore particularly proud that the new combined bank has chosen our city to make such an important announcement about its national community plan ”, declared Detroit Mayor Mike Duggan. “Build the Huntington Headquarters in Detroit and strengthen the region’s support with another $ 1 billion commitment to the city and Wayne County is proof of the bank’s deep commitment to our residents, businesses and communities. Gary Torgow and Steve steinour have been phenomenal partners over the years, and it’s great to see the two banks coming together with a larger community strategy. “
Huntington continues to invest in its communities to support economic inclusion and to help make its clients and communities more financially secure. Huntington Elevator Local Business is a small business loan program focused on serving minority, women and veteran owned businesses. Drawing on its expertise and advocacy for small businesses, Huntington has developed creative lending options and a variety of other features that will help bring relief, recovery and growth to small businesses in the Midwest.
Over a decade ago, Huntington introduced 24 hour grace® to help customers avoid overdraft fees. The bank then doubled and extended 24-Hour Grace® to commercial customers and introduced no overdraft fees $ 50 Security zone SM, thus helping to protect clients against overdraft charges. Earlier this month, the bank launched Cash on hold, a line of credit giving eligible customers immediate access up to $ 1,000 No interest or fees if customers sign up for automatic payments (otherwise, monthly interest charge of 1%, 12% APR, applies to outstanding balances). The bank has also just launched Advance payment, allowing Huntington customers to access their paychecks up to two days in advance at no additional charge. This includes salaries, social security, pensions, and military income payments.
Huntington Bancshares Incorporated (Nasdaq: HBAN) is a 175 billion dollars regional asset bank holding company headquartered in Columbus, Ohio. Founded in 1866, Huntington National Bank and its affiliates provide consumers, small and medium-sized businesses, corporations, municipalities and other organizations with a full range of banking, payments, wealth management and other products and services. risk management. Huntington operates more than 1,100 branches in 12 states, with some businesses operating in large geographic areas. Visit Huntington.com for more information.
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