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
“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.
John Eddy, 646-660-8648
Steven Broad, 212-551-8643
Source: IDB Bank