BB&T Corp. and SunTrust Banks Inc. are launching a Truist Bank Community Benefits Plan that will lend or invest approximately $60 billion to low- and moderate-income (LMI) borrowers and in LMI communities over a period from 2020 to 2022.
The plan will be coordinated by Truist Financial Corp., a combined company to be created by the proposed merger of BB&T and SunTrust, which is expected to be completed in the fall. The new plan will include $31 billion for home purchase mortgage loans to LMI borrowers, LMI geographies, minority borrowers and/or majority-minority geographies, $7.8 billion for lending to small businesses and to support the growth of businesses with revenues less than $1 million, $17.2 billion in Community Development Lending (CDL) to support affordable housing development, small business growth lending to nonprofits that support the LMI community, and $3.6 billion in Community Reinvestment Act (CRA) Qualified Investments and Philanthropy, of which $120 million will be designated for CRA-qualified philanthropic giving.
Truist will also seek to open at least 15 new branches in LMI and/or majority minority communities across its future footprint. This plan will cover markets in Alabama, Arkansas, the District of Columbia, Florida, Georgia, Indiana, Kentucky, Maryland, Mississippi, New Jersey, North Carolina, Ohio, Pennsylvania, South Carolina, Tennessee, Texas, Virginia and West Virginia.
"The Community Benefits Plan exemplifies what Truist will stand for and how it will support local communities in the years to come," said BB&T Chairman and CEO Kelly S. King. "Both BB&T and SunTrust have long legacies of serving the community, but together as Truist, we will be uniquely positioned to invest in ways we never could on our own. We have great partners with the National Community Reinvestment Coalition (NCRC), which helps our commitment for growing diverse and vibrant neighborhoods in the regions where we work and live."
SunTrust Chairman and Chief Executive Officer William H. Rogers Jr. added, "Truist is creating the premier financial institution to serve the diverse needs of our clients and communities, and this plan is an initial stake in the ground as to our values and commitments. Our legacy companies share a strong history of being more than members of the communities we serve, but also partners in developing affordable housing, promoting financial literacy, and providing access to critical programs and services. Today's announcement is a reflection of that history and a look ahead at what we can collectively achieve as one combined institution."