New York State Comptroller Thomas P. DiNapoli and Department of Financial Services Superintendent Adrienne A. Harris today announced the approval of Community District 9 as a Banking Development District (BDD) and presented $35 million in New York state deposits to Ponce Bank’s Westchester Avenue Branch.
The BDD program, administered by the Department of Financial Services, supports the establishment of bank and credit union branches in areas across the state where there is a demonstrated need for banking services. Bronx Community District 9 (CD 9) is now a designated BDD, covering the neighborhoods of Bronx River, Castle Hill, Clason Point, Harding Park, Parkchester, Park Stratton, Soundview, Soundview-Bruckner and Unionport.
To encourage participation in the BDD program, the State Comptroller’s office makes public deposits available to banks and credit unions to open or maintain a bank branch. DiNapoli has deposited $35 million in public funds in Ponce Bank to support their operations and provide affordable and accessible banking products and services in the community.
“We are proud to provide $35 million in public funding to Ponce Bank to improve community banking in the Soundview, Parkchester and Castle Hill neighborhoods of the Bronx,” New York State Comptroller Thomas P. DiNapoli said. “This is a smart, sound investment to ensure more financial services are available to help increase access to capital, supporting personal wealth, home ownership, entrepreneurship and jobs.”
New York State Superintendent of Financial Services Adrienne A. Harris said, “When I came into DFS three years ago I wanted to ensure that New Yorkers know that the department is working for them, making sure that financial services are both affordable and accessible. The BDD program is a powerful tool to encourage savings and credit building in our local communities.”
Bronx Borough President Vanessa Gibson said, “Today marks a significant step forward in expanding access to essential banking services for our community. I want to thank Governor Kathy Hochul, Department of Financial Services Superintendent Adrienne A. Harris, and New York State Comptroller DiNapoli for their leadership in securing $35 million in New York state deposits for Ponce Bank’s Westchester Avenue Branch. Through the Banking Development District (BDD) program, this vital investment will enhance financial inclusion and support economic growth in areas that have long been underserved. This initiative will make a tangible difference in the lives of many by providing greater access to banking services where it is needed most."
Ponce Bank President and CEO Carlos Naudon said, “Community Banking is a critical component of our financial system. Healthy Community Banks like Ponce Bank support local job growth by lending to and servicing local small businesses, spur the development of affordable housing by focusing our funding locally and with specialized local expertise, and promote community-wide Financial Mastery through classes and partnerships with local organizations. The deposit of State and New York City funds into our institution is critical to support our ability to provide these services and ensures that their deposits fund local growth."
Senator Nathalia Fernandez said, “Expanding access to financial services is critical for uplifting historically underserved communities. Financial literacy, coupled with affordable banking products, can significantly empower individuals and businesses to manage their finances and build a stable future. The designation of this Banking Development District in Bronx Community District 9 will provide vital resources for residents to access homeownership, savings opportunities, and financial education. Programs like this ensure that every New Yorker has the tools and support to thrive, regardless of their financial background."
"I applaud Ponce Bank, Superintendent Harris and other state officials for this magnificent achievement," said Assembly Member Karines Reyes, R.N., Chair of the NYS Assembly & Senate's Puerto Rican / Hispanic Task Force. "My constituents in the Southeast Bronx deserve expanded access to financial services to pay their bills, purchase homes, build their credit and financially plan for their future. Designating our community as a Banking Development District will remove barriers to capital for community members who have been historically discriminated against, by government and the financial services industry, and are suffering the consequences of that long-practiced disparity. I am thankful for the leadership of Ponce Bank, an institution that has a strong presence in our community and has been providing culturally competent service delivery to my diverse constituency, who need language access and so much more to provide comprehensive relief. I'm looking forward to the benefits of this program for my constituents and thank all partners for making this a reality."
“As the proud local representative of Bronx Community District 9 and Chair of the City Council’s Committee on Economic Development, I am delighted that our district is now formally designated as a Banking Development District! This initiative, supported by Governor Hochul and Comptroller DiNapoli, will bring affordable banking products, bilingual financial education workshops, assistance for first-time homebuyers, and more to Ponce Bank’s Westchester Avenue Branch. Our community has needed increased financial services for decades. With this new designation from New York State, we will finally see increased support for our existing BIDs and better services to our busy corridors to bolster our local economy," said Majority Leader Amanda FarÃas, Council Member for District 18. Bronx Community Board 9 District Manager William Rivera said, “Bronx Community Board 9 is proud to have supported Ponce's Westchester Ave Branch's application to become a Banking Development District (BDD). Ponce Bank has already proven to be a great partner to our community and now with this new designation as a BDD and access to state funding we can't wait for their new initiatives and expansion of services to come to fruition.”
Sasha Y. Ortiz, Executive Director of Castle Hill Business Improvement District said, “We are thrilled that our very own Ponce Bank in our district is designated as a Banking Development District bank. This benefits small businesses by providing greater access to affordable banking products and services, helping them manage their finances more effectively. The program also supports financial education and offers extended banking hours, making it easier for both small business owners and the community to access the resources they need.”
Anthony DeRosa, OnSite Property Management said, "The reality of Ponce Bank being approved as a BDD branch is positive and exciting. As a small business owner, I am aware how this will provide more efficient banking solutions to potentially new and currently established businesses in our community. May the benefits from this dynamic venture begin!"
The designation of CD 9 is the result of strong community support from local organizations, residents, small businesses, and elected officials, as part of the BDD application process.
The branch is committed to increasing product affordability, expanding banking access, and increasing financial education initiatives that will foster personal and business growth and support financial empowerment and inclusion within the South Bronx community. New services include increasing access to low-cost bank accounts for unbanked members of the community, offering bank hours for New Yorkers with non-traditional work hours, expanding access to homeownership by providing a first-time homebuyer program that includes affordable mortgage products and downpayment assistance, and sponsoring bilingual financial education workshops.
The Ponce Bank branch marks the state’s fifty-sixth BDD designation. As of September 17, 2024, the State Comptroller’s office had deposits totaling approximately $ $530.3 million in 14 banking institutions that have opened branches in BDDs across the state.
Ponce Bank was founded in the Bronx in 1960 when most banks fled an area assumed to be in-decline. The bank's founders saw opportunity in an entrepreneurial community of immigrants and people of color that embodied the diverse cultures that make New York City one of the most innovative and welcoming cities in the world. The bank focuses on supporting small business, providing financial mastery education to our underserved, but highly deserving, communities, and real estate ownership, investment, and development with a particular emphasis on affordable housing. The bank now has 13 branches and 6 loan production offices throughout the NYC Metro Area, Union City New Jersey and now Coral Gables Fl, and has grown to nearly $3 Billion in assets. Ponce Bank is also now publicly traded (NASDAQ: PDLB).
Background
The Banking Development District program