Roanoke Times
Copyright (c) 1995, Landmark Communications, Inc.
DATE: FRIDAY, May 27, 1994 TAG: 9405270093
SECTION: BUSINESS PAGE: A7 EDITION: METRO
SOURCE: MAG POFF STAFF WRITER
DATELINE: LENGTH: Medium
Douglas Waters, the Charlotte, N.C.-based bank's regional executive officer, said about 74 percent, or $4.4 million, of those loans were to consumers in the form of mortgages and home improvement, auto or personal loans. About 26 percent, or $1.6 million, were made to businesses.
The statistics come from a report that banks must file annually with federal regulators and that the government issues, usually each October. NationsBank was the first among banks operating in Virginia to release its report covering 1993's business. The company on Thursday released the figures for 41 cities where it does business; Roanoke was the only Western Virginia locality included.
Within the city limits, Waters said, NationsBank processed 271 home mortgage and home improvement loan applications, excluding refinancings. About 20 percent were from minority applicants.
The number of "minority applications increased by 8 percent," Waters said, "despite the fact that total applications decreased by 14.8 percent."
Waters said NationsBank is working to improve the number of minority applications through educational partnerships, customized advertising in newspapers and direct mail, and loan-by-phone campaigns. In Roanoke, he said, the bank conducted 11 free home-buying classes for more than 340 people.
The bank also invested in Roanoke At-Home, a 43-unit single-room occupancy project sponsored by Total Action Against Poverty and Blue Ridge Housing Development Corp.
The company said it made 82 mortgage and home improvement loans for more than $3.1 million to families in low- and moderate-income areas of the city, excluding refinancings.
Including refinanced loans, NationsBank made 122 mortgage and home improvement loans for more than $4.8 million to families in low- and moderate-income areas of the city. It also had a 19.6 percent increase from 1992 in home mortgage and home improvement loans to minority applicants.
NationsBank executives in 41 of the bank's larger markets delivered reports detailing the bank's community investment lending at local levels during 1993.
"This report to communities demonstrates our commitment to community development lending in Roanoke and throughout Virginia," Waters said.
"Frankly, our numbers for 1993 show we are not where we want to be," Waters said. "We will continue to work with community leaders to develop programs and processes that can and will make a difference."
When NationsBank was formed Jan. 1, 1992, it put into effect a 10-year, $10 billion commitment to community development lending. The banking companies that merged to form NationsBank - NCNB Corp. of Charlotte and C&S/Sovran of Norfolk and Atlanta - drew vocal criticism from minority groups, which told federal regulators the banks had done a poor job of doing business in poor and minority communities.
The company announced earlier this year that it made about $2.9 billion in community development loans nationwide in 1993, bringing the two-year total to more than $5.1 billion.
by CNB