Business
Ponce Bank Received $35 Million in Deposits as part of the Banking Development District Program
NEW YORK, Aug. 07, 2024 (GLOBE NEWSWIRE) -- Ponce Financial Group, Inc., (the “Company”) (NASDAQ: PDLB), the holding company for Ponce Bank (the “Bank”),
About this update from Ponce Financial Group, Inc.
[{"type":"text","content":"NEW YORK, Aug. 07, 2024 (GLOBE NEWSWIRE) -- Ponce Financial Group, Inc., (the “Company”) (NASDAQ: PDLB), the holding company for Ponce Bank (the “Bank”), today reported that the Ponce Bank Westchester Avenue Branch located at 2244 Westchester Avenue in the Castle Hill area of the Bronx was approved as a Banking Development District (\"BDD\"). The designation covers Bronx Community District 9 and includes the neighborhoods of Soundview, Parkchester, and Castle Hill. New York State’s BDD Program, administered by the Department of Financial Services (\"DFS\"), supports the establishment of bank and credit union branches in areas across New York State where there is a demonstrated need for banking services. The program is a public-private collaboration among DFS, local communities, and financial institutions. Strong community support from local organizations, residents, small businesses, and elected officials is a critical piece of establishing a BDD. Participating financial institutions open or maintain a branch and offer affordable and accessible products and services in an underserved community. To encourage participation, approved BDD branches receive access to subsidized and market rate deposits from New York State. On July 30, 2024, Ponce Bank received total program deposits of $35 million. As an approved New York State BDD, Ponce Bank Westchester Avenue branch also applied to the New York City Banking Commission for designation under the New York City BDD program. If approved, the Bank may receive an additional $20 million in subsidized deposits from New York City. Ponce Bank will use the BDD designation to continue its efforts to expand access to affordable financial services to serve local residents and small businesses in the neighborhood by offering access to competitive, affordable financial products. Ponce Bank will also provide financial education to consumers and businesses to help foster financial empowerment and inclusion in the community. About Ponce Financial Group, Inc. Ponce Financial Group, Inc. is the holding company for Ponce Bank. Ponce Bank is a Minority Depository Institution, a Community Development Financial Institution, and a certified Small Business Administration lender. Ponce Bank’s business primarily consists of taking deposits from the general public and to a lesser extent alternative funding sourc...