Press release
PayPal Deposits $135 Million in Financial Institutions Serving Black and Underserved Communities as Part of $535 Million Commitment to Advance Racial Equity
SAN JOSE, Calif., June 2, 2021 /PRNewswire/ -- PayPal Holdings, Inc. (NASDAQ: PYPL) today announced it will deposit $135 million of its capital into
About this update from Paypal Holdings, Inc.
[{"type":"text","content":"SAN JOSE, Calif., June 2, 2021 /PRNewswire/ -- PayPal Holdings, Inc. (NASDAQ: PYPL) today announced it will deposit $135 million of its capital into mission-driven financial institutions and management funds that help underserved communities of color to fight barriers to economic equity, including Hope Credit Union, OneUnited Bank, Self-Help Federal Credit Union, CNote's Wisdom Fund and various smaller institutions through a CNote Promise Account. These investments are part of PayPal's $535 million commitment to strengthen Black businesses and underserved communities, and help drive financial health, access and generational wealth creation. \nWith these deposits, PayPal has now committed more than $500 million of capital through its racial equity initiatives, including a deposit in Optus Bank; an investment in LISC's Black Economic Development Fund; investments in 19 Black and Latinx-led venture capital funds; and grants to Black-owned small businesses and community nonprofits that support them. PayPal is in active conversations with several additional financial institutions and expects to deploy more funds throughout the year. \n\"By partnering with financial institutions that have deep ties to Black and other underserved communities of color, we can create economic opportunity and make tangible progress toward closing the racial wealth gap,\" said Dan Schulman, president and CEO, PayPal. \"Addressing systemic economic disparities and injustice will take sustained action across the private and public sectors. We are committed to doing our part to break the cycle of inequality.\" \n\"Financial institutions owned by people of color play an outsized role in closing the racial wealth gap by providing greater access to financing for diverse business owners and homebuyers,\" said Bill Bynum, CEO, Hope Credit Union. \"Unfortunately, investment in these institutions and the communities they serve has never been adequate. PayPal's strategy recognizes that in an increasingly diverse nation, investing in racial equity is not only the right thing to do, but it's good for business.\" \n\"PayPal's investment in the Promise Account will mobilize deposits across CNote's nationwide network of mission-driven depository institutions, fostering greater capital access and economic justice for communities of color,\" stated Catherine Berman, CEO, CN...