Danbury, Conn., June 21, 2021 — Promontory MortgagePath LLC, a leading provider of comprehensive digital mortgage fulfillment services, announced Industrial Bank and Optus Bank as the first participants in its initiative to support community development financial institutions (CDFIs) and minority depository institutions (MDIs).
The initiative is focused on expanding mortgage credit access in underserved communities. Washington D.C.-based Industrial Bank, a U.S. Treasury-certified CDFI and the oldest Black-owned commercial bank in the Mid-Atlantic region, is fully onboarded and began offering mortgages via Promontory MortgagePath’s platform in April. South Carolina-based Optus Bank, a federally-designated MDI and U.S. Treasury-certified CDFI, is in implementation.
“Industrial Bank has been committed to helping families in our communities purchase homes, grow small businesses, and build wealth since 1934,” said Industrial Bank President and CEO Doyle Mitchell. “Our partnership with Promontory MortgagePath will mean more people in our community will be able to purchase homes — the most important pillar to closing the wealth gap.”
“For more than 100 years, Optus Bank has been fighting to counter racial disparities. We strive to build wealth for all customers, with a special focus on those impacted by the 400-year legacy of exploitation and racism,” said Optus Bank President and CEO Dominik Mjartan. “Together with Promontory MortgagePath, our goal to create $100 million in Black wealth over the next 10 years is more attainable.”
Promontory MortgagePath’s program offers exclusive pricing, resources, and joint marketing opportunities to participating institutions. These services help lower the barriers to entry into mortgage lending and allow these institutions to participate in the mortgage market profitably, with the overall goal of helping build long-term wealth in communities through increased homeownership. Participating institutions also gain access to Promontory MortgagePath’s point-of-sale platform Borrower Wallet®, technology-driven, U.S.-based mortgage fulfillment services and compliance support to accelerate their entry into the market and delivery of mortgage services. As a Community Development Bankers Association (CDBA) endorsed solution, Promontory MortgagePath is working with the CDBA to identify strategic partners to participate in the initiative.
Promontory MortgagePath founder and CEO and former Comptroller of the Currency Gene Ludwig has been focused throughout his career on access to responsible credit and other mechanisms to give families a hand up.
“We are proud to support Industrial and Optus banks in driving homeownership in their communities,” Ludwig said. “These community-focused financial institutions are the lifeblood of wealth-building opportunities for the customers they serve. CDFIs and MDIs are a critical component to addressing big societal issues — from unemployment to wage stagnation — facing so many communities. These problems are more acute for Americans of color. And, this is why Promontory MortgagePath is such a supporter of these banks.”
Ludwig is also the chair of The Ludwig Institute for Economic Prosperity, which is focused on the plight of lower- and middle-income Americans. Part of this effort is to shine a light on economic indicators, like unemployment and wages, that do not give an accurate view into the real economic situation of these Americans.
MDIs or CDFIs interested in learning more about becoming strategic partners in this initiative should contact Promontory MortgagePath Managing Director and Head of Bank Relations Paul Katz at email@example.com.
For public information about this initiative, contact Paul C. Katz, managing director, Promontory MortgagePath, firstname.lastname@example.org, (202) 257-2927.