WASHINGTON-The Obama administration has asked Congress to nearly double the funds-about $250 million-allocated for Community Development Financial Institutions and to create a new segment that will focus on financial education, broader access to bank accounts and basic credit products.
The new segment, to be called Bank on USA, would dedicate $50 million to build on and supplement community-based efforts involving state and local governments, non-profits, and CDFIs, according to plans unveiled during congressional testimony by Michael Barr, the Treasury's assistant secretary for financial institutions.
Testifying after Barr, William Bynum, president of the Enterprise Corporation of the Delta and Hope CU called on Congress to expand funding for CDFIs, many of which are hurting for capital, he said.
