T. ROWE PRICE EXPANDS CAPITAL ACCESS FOR UNDER-RESOURCED COMMUNITIES WITH $50 MILLION INVESTMENT6/20/2023 Baltimore-based global investment management firm T. Rowe Price announced today it is on track to deploy $50 million in deposits to under-resourced deposit institutions through a partnership with CNote, an impact investment fintech that provides capital to lenders that empower small and diverse business owners and support under-resourced communities. Beginning last year, funds have been directed to community banks and credit unions across the country to distribute the capital to small businesses. “We are committed to ensuring underrepresented and under-resourced communities have access to capital,” said Raymone Jackson, head of Diversity, Equity, and Inclusion and Corporate Responsibility for T. Rowe Price. “We believe this investment will go a long way in providing capital and coaching to small and emerging businesses; expanding access to healthcare, education, and other community-centric facilities; financing affordable housing development; and generally making communities more economically resilient.” The $50 million investment, which is the first of its kind in the investment management industry, is the result of a social impact investing initiative spearheaded by T. Rowe Price’s Black Leadership Council, a group of senior African American associates who advise the Management Committee and support engagement with Black/African American associates. “We are excited to partner with leaders like T. Rowe Price who are providing access and opportunity for underserved and under-resourced communities,” said Catherine Berman, CEO of CNote. “Through CNote’s platform, T. Rowe Price is delivering much-needed capital into low-income communities and communities of color while earning returns and measurable impact.” As of March 31,
CNote is a women-led impact platform on a mission to close the wealth gap through financial innovation. Using a community-first framework, CNote enables corporations, institutions, and individuals to efficiently invest at scale in fixed-income and deposit products that advance economic equality, racial justice, gender equity, and climate change adaptation.
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RenoFi announced today it has signed a distribution agreement with TruStage to bring home renovation financing solutions to credit unions across the country. RenoFi’s “Renovation Underwriter” empowers credit unions to offer after-renovation-value home equity loans by underwriting the risk of the renovation and by providing a fully digital, end-to-end process for the homeowner and credit union. TruStage Ventures, the venture capital arm of TruStage, previously invested alongside leading fintech investors in a Series A funding round to fuel RenoFi’s continued growth. “RenoFi is blazing a trail for credit unions to shape the new frontier in the home renovation space. The team has experienced incredible growth stemming from the strong demand from homeowners for a solution that is tailored to their needs. We are excited that TruStage can help bring RenoFi to more credit unions, further building upon the partnership forged through our investment”, said Sam Das, Managing Director at TruStage Ventures. RenoFi offers the only end-to-end loan origination and renovation underwriting platform specifically built to enable renovation lending, allowing homeowners to borrow against their home’s after-renovation value instead of the home’s current value, increasing borrowing power by 11x on average. RenoFi’s loan products are intended for primary homeowners looking for financing to support home renovation projects like kitchens, bathrooms, additions, pools, etc. The RenoFi team is made up of renovation experts, mortgage loan originators, and technologists who are dedicated to providing personalized customer support and renovation concierge services. “We are very excited to officially announce TruStage as a partner,” Lee Miller, President & Co-Founder of RenoFi said. “We are committed to the credit union industry and making renovations possible for all homeowners. TruStage’s expertise and industry reach will help us greatly with those commitments and its endorsement of RenoFi is a big proof point for RenoFi’s ability to support the credit union movement!” Autobooks has announced the availability of Apple’s Tap to Pay on iPhone to U.S. financial institutions. Two banks are launching today, Five Star Bank and nbkc bank. The first banks in the U.S. market to launch Tap to Pay for iPhone to their customers. Autobooks is uniquely positioned to help accelerate financial institution access to Tap to Pay on iPhone through its partnerships with leading bank service providers. Q2 is Autobooks’ first digital banking platform partner to offer Tap to Pay on iPhone to its customers. Additional partnerships include CSI, FIS, Jack Henry and NCR Digital Banking — which together provide services to more than one-third of the U.S. banking market. About the partnership We are partnering with Apple to enable Tap to Pay for iPhone with our existing digital banking integrations, providing access to over one-third of the U.S. banking market. We believe this is noteworthy for a couple of reasons:
Forbes named Desert Financial Credit Union as a Best-In-State Credit Union in 2023 and the top credit union in Arizona for the fifth year in a row. “To be included among the best credit unions in the country is an honor,” said Desert Financial CEO Jeff Meshey. “Topping the list as the best credit union in Arizona as determined by our own members means the world to us as we strive to improve the lives of each of our members, and recognition such as this lets us know we’re on the right path.” Forbes, along with the statistics and industry ranking provider Statista Inc., conducted an independent survey of approximately 31,000 U.S. consumers to identify the Best-In-State Credit Unions 2023. Respondents were asked to rate credit unions at which they have or previously have had checking or savings accounts. Desert Financial was among the top 3.4% of all U.S. credit unions to make the cut. Survey participants made recommendations regarding overall satisfaction; they also assessed banks in the following areas: Trust, Terms & Conditions, Branch Services, Digital Services, Customer Service and Financial Advice. In addition to the survey, Statista Inc. analyzed publicly available online reviews and ratings applied that analysis to each credit union’s overall score. Forbes announced the list on June 20, 2023, on their website. To view the complete list from Forbes, visit forbes.com/best-in-state-credit-unions. To learn more about Desert Financial Credit Union, visit DesertFinancial.com. PSCU – the nation’s premier payments CUSO and an integrated financial technology solutions provider – published the June edition of the PSCU Payments Index, the goal of which is to provide information and insights to help financial institutions navigate the evolving financial landscape to make informed, strategic decisions for their organizations and members. As inflation has reached an inflection point, higher prices for many goods and services are still weighing on consumer spending decisions. This month’s PSCU Payments Index finds the continued trend of slower year-over-year growth for both credit and debit. In May, year-over-year growth in credit card purchases was negative for the first time since August 2020. While still positive, growth in debit card purchases exhibited a similar softening trend. This month’s Deep Dive highlights our Money Services sector, which has a more notable share of overall debit activity as compared to credit and includes peer-to-peer (P2P) activity of merchants and payment facilitators such as Cash App, Venmo and PayPal. In the Labor Department’s June 13 update, the Consumer Price Index (CPI) increased by 0.1% in May. The annual rate of inflation dropped from 4.9% through April to 4.0% through May. While this is the eleventh consecutive monthly drop in the annual rate from the peak of 9.1% in June 2022, it remains higher than the Fed’s target annual inflation rate of 2.0%. The largest contributor to inflation continues to be shelter, followed by used cars and trucks. The energy index declined 3.6 percent in May, which includes gasoline. Following their June meeting, the Federal Reserve did not increase interest rates, keeping the current Fed Funds rate at 5.25% - while signaling the possibility of two additional rate hikes in 2023. The Fed’s next scheduled meeting is set for July 25-26. The Consumer Confidence Index fell in May to 102.3 (1985=100), down from a revised 103.7 in April, while the job market remains resilient and the unemployment rate ticks up. The Bureau of Labor Statistics (BLS) reported in its May 2023 jobs report that 339,000 jobs were added for the month, with increased jobs in professional and business services, government, health care, construction, transportation and warehousing and social assistance. This is much stronger than the 190,000 new jobs that were expected by economists. The overall unemployment rate for May increased to 3.7%, or 6.1 million people. “As inflation continues to cool, it’s trending in the right direction. Yet consumer spending continues to slow, indicating consumers are likely being more financially cautious,” said Denise Stevens, SVP, chief product and digital officer at PSCU. “In May, credit card purchases experienced negative year-over-year growth for the first time since August 2020. While debit card purchases experienced positive growth, the softening trend is evident. In this month’s Deep Dive into the Money Services sector, we see peer-to-peer (P2P) payments driving the largest growth, with the volume of debit activity notably greater than credit.” A sampling of key takeaways from the June report includes:
The full report is available for download here or can be shared as a PDF upon request. Let us know of any questions or additional needs, or if you’d like to coordinate an interview. Desert Financial Foundation awarded nearly $170,000 in college scholarships to 65 Arizona high school seniors and adult learners. It is the most scholarships the Foundation has ever awarded at one time. “We are an organization founded by teachers,” says Jeff Meshey, Desert Financial Foundation vice-chair. “Education is, and has always been, one of our top priorities. The continued growth of this scholarship program is a testament to the value we place on helping our members attain the education they need to better their lives.” McClintock High School graduate Gianna Gallegos received the top honor of a $10,000 Community Service Scholarship from Desert Financial. Gallegos volunteered for 350 hours in 2022. “It’s important for me to give back to my community because they have given so much to me,” says Gallegos. “I grew up attending afterschool programs and summer camps, and they honestly took part in raising me. I feel like it did take a village, and its only right that I give back, it is a full circle moment. ” In addition to the scholarships, which ranged from $2,000 to $10,000, each recipient received a backpack of gifts from the credit union to prepare them for their higher education experience. Each backpack included an iPad, an iPad case, AirPods and additional school supplies. Community Service Scholarships Thirty high school seniors were awarded a total of $90,000 in Community Service Scholarships. One hundred and thirty-two students applied for the scholarships, which ranged in value from $2,500 to $10,000 each. Scholarship applicants were evaluated on the following criteria: · Completion of at least 50 hours of community service during 2022 · A minimum grade point average of 3.0 · Answers to two short essay questions · A plan to attend an in-state college or university in Arizona in the Fall of 2023 · Demonstrated financial need · Being a Desert Financial Credit Union member or related to a Desert Financial member. Combined, the community service scholarship recipients completed more than 4,460 hours of unpaid service in 2022. Adult Learner Scholarships Of the 110 applicants that applied for the Adult Learner Scholarship, 32 were selected to each receive a $2,000 scholarship and three scholarship recipients were randomly selected to receive $5,000 scholarships. A total of $79,000 was given to the 35 recipients. Requirements for this scholarship included being: · Age 25 or older · Enrolled in or have plans to attend an accredited Arizona college, university or certification program · A Desert Financial Credit Union member in good standing The recipients celebrated their awards during the 2023 Desert Financial Foundation Scholarship Ceremony that took place at Chateau Luxe in May. To learn more about Desert Financial Foundation scholarship programs, visit DesertFinancial.com/Scholarships. Origence, the leading lending technology solutions provider for credit unions, concluded its annual conference, Lending Tech Live ’23. The event brought together leaders from hundreds of credit unions across the country, along with auto dealers, fintech executives, and technology providers. Keynote sessions were delivered by notable figures such as Steve Forbes, chairman and editor-in-chief of Forbes Media. “Helping credit unions succeed is our most important mission, and that’s why we are so proud to host an event that brings industry leaders together every year, “said Tony Boutelle, president and CEO of Origence. “As a CUSO, we are committed to helping our partners share the knowledge, strategies, and best practices that will help us all thrive in 2023 and beyond.” Following a record-breaking attendance in 2022, Lending Tech Live '23 solidified its status as one of the premier lending conferences for the credit union industry. The conference featured a combination of 21 breakout and user sessions focused on evolving EV buying and lending, providing valuable professional insights, hands-on educational sessions, AI strategies and trends, members’ experience, compliance, shifts in automotive retailing, and the state of the automotive finance industry. Highlights of the show included general session panels on women’s leadership and the state of the automotive dealership, announcements from Origence on a number of new initiatives to promote lending opportunities for credit unions, including Zest AI, Document Process Automation (DPA), and expanded services from Origence Lending Services. The conference was held at The Cosmopolitan of Las Vegas, and preparations are already underway for Lending Tech Live '24, scheduled to take place from June 25 to 27, 2024, in San Diego, CA and will commemorate Origence’s 30 years of service in the credit union industry. For more information, please visit the Lending Tech Live website. Kinective, a leading provider of connectivity, workflow, and analytics software for the banking sector formed by the strategic combination of CFM, NXTsoft, and IMM, announced today from the Fiserv Forum Conference that IMM has joined forces with Peak Consulting, a renowned best practice consultancy known for its expertise in the banking sector, to deliver enhanced electronic signatures and digital transaction solutions to their Banking client base. Peak Consulting offers best practice guidance and optimization solutions for Fiserv’s Premier® bank platform customers, an industry popular core software system utilized by banks. With their extensive experience and understanding of the software, Peak Consulting assists banks in streamlining operations, improving efficiency and maximizing the potential of their systems. However, when it came to electronic signatures, they recognized the need for a reliable partner to offer comprehensive digital solutions that aligned with their high-touch, customer-focused approach. Brent Reynolds, President, Consulting Director at Peak Consulting, said, "After an extensive review of eSignature platforms available in the market, it was clear that IMM was the best fit for our customers. They are the only organization that focuses exclusively on financial institutions and therefore has the domain expertise required to support the complex operational needs and nuanced regulatory requirements of the banking industry. “Additionally, IMM's reputation for excellent customer service, integrity and innovative functionality aligns perfectly with our vision of providing the best solutions to the banking industry. This partnership allows us to expand our service offerings and address the growing demand for alternative electronic signature options, particularly among our Fiserv Premier customers," he said. This partnership positions IMM as the preferred provider of electronic signature and digital transaction management solutions for Peak Consulting and its customers. IMM's industry-leading eSignature platform offers advanced functionality and seamless integration with Fiserv’s Premier bank platform including the ancillary products such as Business Process Manager (BPM) and Director software solutions, key areas of focus for Peak Consulting. By incorporating IMM's solutions, Peak Consulting aims to optimize new account opening processes, reduce customer wait times and facilitate secure and efficient transactions. Michael Ball, Kinective Senior Vice President, said, “The collaboration between IMM and Peak Consulting exemplifies our shared commitment to delivering exceptional solutions tailored to the specific needs of the banking industry. By leveraging our respective expertise and combining forces, we aim to provide financial institutions with the tools and guidance required to enhance their processes, increase efficiency and deliver an exceptional customer experience.” Origence, the nation’s leading provider of lending software and solutions to the credit union industry, announced a partnership with iCheckGateway.com, iCG, an all-in-one payment solutions gateway set to streamline payment solutions across the origination platform and digital experience. The integration will work with new account funding giving credit unions the power to accept a wide range of payment methods in a secure online payment portal. “Origence continues to collaborate with credit unions to understand pain points and enhance our products through new partnerships that will best serve our clients,” explained Aleks Bogoeski, SVP of product and partnerships. “We are excited about this new partnership with iCG and their secure and easy-to-use payment portal for the benefit of our credit unions.” Origence arc DX clients will see added benefits from this partnership with iCG including PCI compliance, detailed reporting, customizable integration strategy, and increased member outreach capabilities. Plus, members will find the new payment portal easy to use. "With Origence, iCG looks to enhance their relationships with credit unions and their commercial clients with a frictionless end-user consumer transaction experience. With their collaboration, we customized an API Integration, utilizing our iFrame solution.” Nikki Estes, SVP Marketing with iCG, elaborates, "The banking industry seeks to process transactions associated with online account funding. We look forward to this partnership to help them develop a seamless and secure experience for online and in-branch account funding." Credit Union National Association (CUNA) Senior Economist Dawit Kebede, PhD, issued the following statement in response to the Labor Department’s May Consumer Price Index (CPI) Report: “The headline CPI increased 4% over the last twelve months in May, down from 4.9% in April. This is the largest decline in one month since prices started to come down from their peak. The decrease in energy prices contributed the most to this decline. “Core inflation, which excludes food and energy items, increased 5.3% over the year, down from 5.5% in April. Housing and used car prices led the increase in May. Housing is a lagged indicator in the CPI measure, and it is expected to slow down in the second half the year, further contributing to the decline in core prices. The increase in used car prices in the last two months is expected to reverse as new car prices are declining and the supply is improving. “This is an encouraging report for the Federal Reserve to pause the rate hike during the June meeting. The core inflation, excluding shelter, which the Federal Reserve tracks as a measure future inflation trend, has continuously declined in previous months.” |
Author: Mike LawsonMarried to a most gorgeous and wonderful wife, raising 5 kiddos (including twins!), enjoy helping others tell their stories, and love surfing SoCal waves. Keep it simple. Archives
May 2024
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