“Since First Independence Bank prioritizes services to the Black community and under-resourced businesses and individuals, it was important to me to listen to these leaders about what the community needs and how the bank could make a difference. They welcomed me generously and offered important guidance,” said Kelly. As a result, housing will be a major focus for First Independence Bank in the Twin Cities. “Our innovative home loan programs will help reduce one of the largest disparities in the country between Black and white homeowners.” The branch also will offer customers ATM and debit card use at any Huntington and Wells Fargo ATM location with no ATM service fee, a loan program to help establish a credit score or repair personal credit, virtual financial education sessions, and more.
One of the leaders with whom Kelly met was Marcus Owens, executive director of the African American Leadership Forum, who began his career in financial services. “The addition of a full-service Black-owned bank will open more opportunities to build wealth, which is critical not only for the Black community but for the entire region,” Kelly said.
Helping to bring a competitor into the market might seem counterintuitive, Laurie Nordquist, Wells Fargo’s Central lead region president, observed. “But for the five of us, the case is clear. Black households are more than five times more likely than white households to be unbanked. We need to continue our efforts for outreach and inclusion while also supporting a Black-owned bank. This is not an ‘either-or’ proposition—it’s a ‘both-and’ proposition. Supporting a bank like First Independence Bank, with its history and know-how, is part of the change we are collectively working to make in the financial services ecosystem.”
Jeanne Crain, president and CEO of Bremer Financial, added that, as a qualified Community Development Financial Institution (CDFI), First Independence Bank is able to tap into a special CDFI Fund that allows for more favorable lending rates to individuals and businesses in low-income areas. And, although Black-owned businesses exist in many industry sectors in the Twin Cities, the region lacks an established, Black-owned bank. “That’s a gap that First Independence Bank is uniquely able to help fill,” Crain said.
The choice to work with First Independence Bank also was easily made, according to Michael Jones, chair of Huntington for Minnesota and Colorado. “First Independence Bank has a strong track record and Kenneth Kelly is highly regarded in the industry,” he said. “Several of our banks also already have relationships with First Independence Bank.” Prior to its merger with Huntington, TCF and First Independence Bank had a partnership in Detroit, which continues today under the Huntington name. U.S. Bank has worked with First Independence Bank through the Federal Treasury Mentor-Protégé Program since 2019, and Wells Fargo made an equity investment earlier this year.
“The First Independence Bank branch also will be a point of pride for the entire region,” said Katie Simpson, Bank of America Minneapolis/Saint Paul president. “Of more than 5,000 banking institutions in the U.S., only 18 are Black-owned — down from 48 in 2001. Few metro areas can say that a Black-owned bank is part of their community. Now the Twin Cities will be one of them.” In addition to today’s announcement, Bank of America provided a low-cost deposit to expand lending and made an equity investment in First Independence Bank in 2020.
About First Independence Bank
First Independence Bank is the 7th largest Black-owned commercial bank in the United States. It offers a variety of high-quality banking services from managing accounts to personal loans, mortgages, consumer education and investments. First Independence bank has three locations and offers banking solutions online and digitally through its mobile app. Established in 1970, the bank continues to be a responsible leader, efficiently serving the financial needs of its community, its businesses and its customers nationwide. First Independence Bank is a member of FDIC and Equal Housing Lender. For more information visit https://www.firstindependence.com.
