Being a rural community bank and U.S. Treasury certified Community developing standard bank (CDFI), Southern is fully conscious of the value of CDFIs in rural areas through the entire nation. Within our paper that is recent in Rural America: Insight from the CDFI, we illustrate why CDFIs like Southern are well-equipped to deal with the situation of community banking institutions making rural communities according to Southern??™s current purchases of three banking institutions in various Arkansas areas.
Throughout the last three years, over fifty percent of all of the banking institutions in the us have actually closed. In rural areas, these numbers are also greater because of: the depopulation of rural counties; technical improvements lessening the necessity for offline facilities; not enough succession preparation; and increased and adverse laws for the Dodd-Frank Act, which harms tiny, neighborhood loan providers by imposing to them one-size-fits-all economic parameters directed at big Wall Street banking institutions. (more…)Read More