News Column

IDB Bank Expanding Financing Opportunities For New York Not-For-Profits

April 28, 2014

Bank Has Loaned Hundreds of Millions to Not-For-Profits Since 2012

NEW YORK--(BUSINESS WIRE)-- IDB Bank announces the expansion of its specialized program to help not-for-profits receive favorable lending terms and take advantage of an extended period of low interest rates. The Bank, which began not-for-profit lending in 2012 and has since become a leading not-for-profit lender in New York, is extending its direct offerings to include all qualified not-for-profits such as social service agencies, voluntary agencies, assisted living facilities, hospitals, skilled nursing homes, higher education, and private secondary schools.

IDB Bank is helping not-for-profits take advantage of the current financial landscape by offering them, in certain instances, tax-exempt, direct bond purchase credit structures – where a financial institution buys bonds directly without issuing a letter of credit or selling the bonds to the public. These loans offer competitive fixed rates often for the term of the financing. Unlike letter of credit supported loans, the borrower is not concerned by the credit rating of the Bank providing the letter of credit, renewal risk, or increases in pricing.

“We are proud to assist not-for-profit organizations that are doing so much good throughout the New York metropolitan area,” said Steven Broad, a Senior Vice President of IDB Bank’s Lending Division. “These loans enable not-for-profits to continue to serve their constituents by providing them with very competitive funding sources. We are looking forward to expanding our activities in 2014.”

The Bank also offers the full complement of banking services to its clients including cash management, investment management & trust, and private banking. In addition, the Bank provides advisory assistance to its clients in need of financial guidance.

Recently, IDB Bank completed a $28.5 million loan to Fedcap – a $144 millionNew York based nonprofit founded in 1935. Fedcap’s mission is to create opportunities for people with barriers to move toward economic independence as valued and contributing members of society. Each year, Fedcap’s evaluation, vocational training, job placement and counseling services and employment, support and advocacy programs help thousands of Americans overcome obstacles, rebuild their lives, and find and keep meaningful employment.

“Our work with Fedcap is just one of the many examples of how we not only serve the financial needs of our customers but also support our local communities,” said Ehud Arnon, President and CEO of IDB Bank.

Since 2012, the Bank has loaned hundreds of millions of dollars to New York not-for-profits with more to come in the future as the Bank expands its customer base in this important sector.

About IDB Bank

IDB Bank is a full service commercial bank chartered by the State of New York and a member of the Federal Deposit Insurance Corporation (FDIC). IDB Bank provides domestic and international, personal and commercial banking services to U.S. and international clients.

Goldin Solutions

John Eddy, 646-660-8648


IDB Bank

Steven Broad, 212-551-8643


Suny Golovinsky, 212-551-8711

Source: IDB Bank

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Source: Business Wire

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