Washington, DC -- Tomorrow, in honor of Older Americans month, the National Community Reinvestment Coalition (NCRC) will hold a senior services fair in Washington, DC. At this event, NCRC will provide information to older Americans about loan modifications, changes to modification programs, housing scams and fraud specifically targeting seniors. Attendees will also be provided with a benefits checkup.

"We need to ensure that older Americans are well informed about both the resources that are available to them and the scams that are out there," said NCRC President and CEO John Taylor. "NCRC is dedicated to empowering older Americans and making sure they have the tools they need."

NCRC is partnering with local and national groups for the event. Groups in attendance will include AARP, the National Council on Aging (NCOA), the Women's Institute for a Secure Retirement (WISER), and the Grey Panthers.

The event will take place at the Shiloh Baptist Church at 1500 Ninth Street Northwest, Washington, DC on Friday, May 18th from 9:00am to 1:00pm. This event is open to press. For more information please contact Jesse Van Tol at 202-464-2709 or Eric Hersey at 202-524-4880.

NCRC administers National Neighbors Silver, a multi-year campaign to empower, organize and support economically vulnerable older adults, and the NCRC Housing Counseling Network, a HUD certified national housing counseling organization. The NCRC Housing Counseling Network can be reached at (800) 475-NCRC.

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Washington, DC -- Today, the National Community Reinvestment Coalition (NCRC) applauded the passage of responsible banking ordinances in New York City and Los Angeles, and commended the Association for Neighborhood and Housing Development (ANHD), an NCRC member organization, and Los Angeles City Councilmember Richard Alarcón for their efforts advancing the initiatives.

“This is a beacon of things to come,” said NCRC President and CEO John Taylor. “Local governments are becoming empowered to hold banks accountable to investing in our communities in a responsible way. In effect they are saying if you want to do business with our city, you have to play fair. We expect this trend will grow and continue in cities and localities across the nation.”

“We congratulate the Association for Neighborhood and Housing Development in New York, and City Councilmember Richard Alarcón in Los Angeles for this accomplishment. Their hard work played a key role in making these responsible banking ordinances happen.”

NCRC has been a leader in organizing local advocates to advance responsible banking ordinances. In 2010, NCRC released a model city ordinance to create community reinvestment requirements for depository institutions. The model ordinance is designed to increase the amount of responsible loans, investments, and financial services in minority and low- and moderate-income communities through heightened public accountability to municipalities and their residents.

In San Diego, City Council President Tony Young plans to introduce a responsible banking ordinance to the Council’s Rules Committee tomorrow.

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Washington, DC -- In the wake of a troubling new report from SNL Financial showing major banks pulling out from low-income areas, the National Community Reinvestment Coalition (NCRC) has called for banking regulators to investigate the trend and take action. The SNL Financial report, entitled "Banks follow the money and exit lower-income areas," finds that the major banks have primarily built bank branches in higher income areas since 2006, while pulling out of low- and moderate-income communities.

NCRC President and CEO John Taylor made the following statement:

"This is a highly disturbing trend. Bank branches are critical to building wealth in low-income communities. When banks divest from these communities, they are replaced with check cashers, pay day lenders and other fly-by-night outfits that charge exorbitant fees."

"Some banks have publicly said they are closing branches in low-income communities because they can't charge the same kind of overdraft fees anymore. If the banks are addicted to abusing poor people with high fees for revenue, then they need to kick that habit without closing branches. Branches in low-income neighborhoods can be very profitable without being abusive."

"We're calling on the regulators to take immediate action. The banks are abandoning low-income neighborhoods on the watch of Chairman Ben Bernanke of the Federal Reserve, Comptroller of the Currency Thomas Curry, and Acting Chairman Marty Gruenberg of the Federal Deposit Insurance Corporation. This abandonment of lower-income communities likely violates numerous fair lending laws, such as the Community Reinvestment Act and the Equal Credit Opportunity Act. We call on the Federal Reserve, the OCC, the FDIC as well as the Consumer Financial Protection Bureau to investigate the banks and enforce the law."

In April, NCRC released an issue brief entitled "Why Bank Closures are Bad for Communities." The issue brief highlighted the trend of diminishing bank branches in modest income neighborhoods and communities of color, and highlighted a series of policy remedies to rectify the problem.

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Washington, DC -- The National Community Reinvestment Coalition (NCRC) has filed complaints with the Consumer Financial Protection Bureau (CFPB) and the Federal Trade Commission (FTC) against Adrian Cronauer and the Cronauer Law Center. Mr. Cronauer, who is best known as the radio disc jockey who inspired Robin Williams' character in the film Good Morning Vietnam, now runs Cronauer Law Center, a Washington, D.C. based law firm. NCRC's complaints allege that Mr. Cronauer and Cronauer Law Center have intentionally misled consumers through misrepresentations and deceptive and fraudulent loan modification and foreclosure prevention practices.

NCRC President and CEO John Taylor made the following statement:

"Scammers who cause injury to homeowners under the guise of offering assistance must not be tolerated. The rules apply to celebrities as well. We believe Mr. Cronauer and the Cronauer Law Center to be in violation of the Federal Trade Commission Act, the Mortgage Assistance Relief Act rules, and other state and federal laws. We look forward to regulators reviewing our complaints and investigating this important matter further."

"The unfortunate reality is that law firms are culprits in a growing number of mortgage scams. In addition to legal action, we're calling on the American Bar Association to police its members," said Taylor.

Homeowners who are at risk for foreclosure should contact HUD-approved housing counseling agencies, which do not charge for foreclosure counseling. NCRC's HUD-approved Housing Counseling Network can be reached at 1-800-475-NCRC.

NCRC's full complaints are available here.

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Washington, DC -- Today, at the National Community Reinvestment Coalition's (NCRC) annual conference, a panel of top experts will discuss and debate how best to reach equitable, workable solutions to the foreclosure crisis. The plenary will feature Joseph Smith Jr., monitor for the national mortgage settlement, Franklin Raines, former Fannie Mae Chairman and CEO, Marc Morial, President of the National Urban League, Mark Calabria, Director of Financial Regulation Studies at the Cato Institute, Diane Thompson, Of Counsel at the National Consumer Law Center, and Hubert Van Tol, Director for Economic Justice at Pathstone. The panel will discuss the measures necessary to stop the foreclosure epidemic, implement principal reductions on a large scale, and bring the housing market and economy back to full strength.

"We are very pleased to have this group of leading experts tackle these critical issues at our conference," said NCRC President and CEO John Taylor. "The housing market will continue to be a drag on the economy until policy makers and financial institutions alike can come together and offer serious, equitable remedies. This event is a forum to bring constructive ideas to the forefront."

"Some see the current economy as a glass half empty, and some as a glass half full. But no matter how you look at it, the broken housing market is a hole in the bottom of that proverbial glass. Until we fix it, we will never fill the glass."

Joseph Smith, Jr. made the following statement about the conference: "The consumer advocates attending NCRC's meeting are true experts about the issues Americans face in the housing market. This conference marks an important first step in what I hope will be a productive working relationship with these advocates. I hope that together we will find a way to reboot the mortgage industry in a way that is more focused on the consumer."

The conference also features workshops and state-of-the-art training to give NCRC's members and conference participants the tools to implement change in their communities.

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Washington, DC -- Today, in a keynote address at the National Community Reinvestment Coalition's (NCRC) annual conference, Consumer Financial Protection Board (CFPB) Director Richard Cordray announced that the agency will use all available legal avenues, including disparate impact, to pursue discriminatory lenders.

"We want consumers to avoid the marketplace's silent pickpocket -- discrimination," said CFPB Director Richard Cordray. "We cannot afford to tolerate practices, intentional or not, that unlawfully price out or cut off segments of the population from the credit markets. That's why the CFPB is educating consumers about their fair lending rights and pursuing lenders whose practices are discriminatory."

NCRC President and CEO John Taylor made the following statement: "This is a significant decision. It will help to shine a spotlight on the discriminatory practices in the lending marketplace, which are widespread and need to be purged. There should be no tolerance for discrimination, whether in intent or in practice. CFPB's action is a positive step towards building an economic system that offers opportunity and a fair chance to prosper for all Americans. We applaud CFPB Director Cordray for his leadership."

"Cordray made two key announcements in efforts to guard against fair lending abuses. He established that the CFPB is concerned with eliminating practices that, intentionally or not, have the effect of discriminating against people. He affirmed the intention of the Consumer Financial Protection Bureau to enforce the long-standing disparate impact doctrine. We are pleased to have a regulator who takes seriously their duty to protect people of color, older Americans, veterans, students and all populations vulnerable against discrimination in every form of lending," said Taylor.

CFPB has issued a compliance bulletin declaring the Bureau's intention to recognize disparate impact in its enforcement of the Equal Credit Opportunity act. Disparate impact occurs when a lender's practices or policies are facially neutral but have discriminatory effects.

Today marks the first day of NCRC's annual conference. This year's conference "Not Just an Economy, a Just Economy" focuses on equitable solutions to the foreclosure crisis, consumer financial protection, and new threats to fair access to capital and credit.

Featured speakers at this year's conference include: Richard Cordray, Director of the Consumer Financial Protection Bureau, Shaun Donovan, Secretary of the Department of Housing and Urban Development, Franklin Raines, former Fannie Mae Chairman and CEO, Joseph Smith, former North Carolina Banking Commissioner, and Eugene Ludwig, Founder and CEO of Promontory Financial Group. Get the full conference schedule.

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Washington, DC -- Today, Owen Jackson, Vice President of Business Development at the National Community Reinvestment Coalition (NCRC) will give testimony before the Congressional Appropriations Subcommittee on Commerce, Justice, Science, and Related Agencies and will call upon Congress to reverse proposed cuts to the Department of Commerce’s Minority Business Development Agency (MBDA).

MBDA supports Business Centers across the nation. These centers help minority-owned small businesses gain access to capital, contracts and financing. The current budget proposal reduces the MBDA’s funding by $1.5 million in 2013.

“Less funding for MBDA Business Centers means fewer resources for small businesses,” said Jackson. “A key part of our economic recovery lies in our willingness to invest in America’s small businesses in order to spur job creation.”

In the past three years, MBDA Business Centers have helped small businesses obtain $10 billion in contracts and create 15,000 net new jobs.The program has generated a 125 percent return on investment for every dollar of funding.

NCRC has called on Congress to budget $32 million for the MBDA in 2013, which would match the 2008 funding level. NCRC President and CEO John Taylor made the following statement:

“These budget cuts would undermine a successful program that has a proven track record at creating jobs and helping small businesses grow,” said Taylor. “Small businesses create two out every three new jobs, and are integral to the nation’s economic recovery. We urge Congress to restore funding so this program can enable additional economic growth.”

NCRC is the only non-profit organization in the country that operates three MBDA Business Centers, with centers in Washington, D.C., New York, NY, and Houston, TX. NCRC also manages a Women’s Business Center and Small Business Teaming Center sponsored by the U.S. Small Business Administration, and a small business development loan fund.

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Washington, DC –  On Wednesday, March 7, the White House honored Samira B. Cook-Gaines, Director of the National Community Reinvestment Coalition's Washington, DC Women’s Business Center (DC WBC) as a Champion of Change, a tribute bestowed this week on local community leaders who pave the way for small business growth through entrepreneurial mentoring, counseling, and training.

About the National Community Reinvestment Coalition (NCRC):

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Washington, DC -- Today, the National Community Reinvestment Coalition (NCRC) applauded President Obama for announcing new steps allowing homeowners to refinance FHA insured loans at lower rates, and an agreement with lenders which would provide financial restitution for veterans who were improperly foreclosed upon. NCRC President & CEO John Taylor called upon Edward DeMarco, Acting Director of the Federal Housing Finance Agency (FHFA) –the regulator of Fannie Mae and Freddie Mac– to follow President Obama's lead and allow principal reductions on Fannie Mae and Freddie Mac loans.

"President Obama's plan to allow FHA insured borrowers to refinance their loans at a reduced fee is another positive step toward repairing the damage to the economy from the housing crisis. The President's increased leadership on this issue is a very encouraging sign. But the biggest issue facing the housing market is that Fannie Mae and Freddie Mac are not writing down loans. Until that happens, the President's initiatives will have a positive but modest impact," said Taylor.

"We will see much more positive improvement in the housing market with significant principal reductions on Fannie Mae and Freddie Mac loans. Their failure to do so continues to be a major drag on the economy. Fixing the housing market is in the taxpayer's best interest, because doing so is necessary for a robust economic recovery."

"We also call upon Congress to take action and enact the broader reforms and aid for homeowners President Obama has proposed. The American promise of opportunity should not be put on hold because of political concerns."

Since 2007 NCRC has been calling for more aggressive measures and interventions to stem the tide of foreclosure, including principal reductions.

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Federal Reserve Approves Capital One Acquisition of ING Direct USA

Washington, DC -- The Federal Reserve today approved Capital One's bid to purchase ING Direct with no meaningful conditions. The National Community Reinvestment Coalition (NCRC) and hundreds of organizations nationwide opposed the acquisition because it will make Capital One more systemically risky, while not creating a clear benefit to the public.

"Today's decision is a historic one, since this deal is the first major merger since the passage of Dodd-Frank. We changed the laws governing the financial system, but the real question is whether or not regulators have learned from their mistakes and changed the way bank oversight actually works," said John Taylor, President & CEO of NCRC. "Based on today's decision, the answer to that question is no."

"We're extremely disappointed in today's decision. We're considering our options to challenge the decision. It appears the Federal Reserve waited until Valentine's Day to give Capital One a box of chocolates. It is shocking to us that the Federal Reserve did not respond to legitimate concerns about Capital One's record serving minorities and working class people, nor did they explain how this deal would benefit the public in a clearly significant way," said Taylor.

"To approve this acquisition without meaningful conditions confirms that it is business as usual at the Federal Reserve. These board governors were presented with ample evidence of the downside risk of this deal and the lack of meaningful public benefit. Nonetheless, in today's decision they have failed to clearly explain how approving this deal would be in the public's interest," said Taylor.

The decision reinforces the perception and reality that the Federal Reserve serves the banking system first, and the American public second. I believe the Federal Reserve may look back at this moment as a critical juncture in their decision-making. Should Capital One fail, they will deeply regret today's decision because the impact on the public will be catastrophic," said Taylor.

We appreciate that the Federal Reserve took the time to hear from the American public. Without a doubt, the process was improved by public input. We're calling on the Federal Reserve to require hearings for any merger where there is significant public concern about the impact of the deal. Doing so will ensure that mergers are not rubberstamped, but carefully weighed for their potential impact on communities and the economy," stated Taylor.

NCRC expressed concerns to the Federal Reserve about hundreds of issues involved in Capital One's acquisition of ING Direct, including:

Systemic risk

NCRC demonstrated that Capital One's business model is risky because the company has relied on credit cards for as much as 75% of its income. The monoline nature of the company makes it more likely to fail than its more diversified competitors. As Capital One grows to become the fifth largest bank in the country, it will expose the financial system to additional risk.

Public benefit

Regulators must deny the application if the increase in systemic risk outweighs the public benefit; the public benefit must be "clearly significant" according to the Federal Reserve. Capital One spent just one paragraph describing the public benefit in its application and made shallow promises during the hearing process.

Commitment to products, services and investments

NCRC demonstrated that Capital One has reduced its commitment to products and services that serve blue collar and minority communities, while encouraging people and businesses to take out credit cards. Capital One's $180 billion commitment – announced during the hearings– promised more of the same.

Legal issues

NCRC presented Capital One's record of discrimination and other legal problems and argued that Capital One should not be allowed to grow while it faces active complaints and class action lawsuits.

Enforcement

NCRC argued that if the Federal Reserve approves the deal then there needs to be an enforcement mechanism to make sure that any and all conditions and commitments are met.

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