Credit union groups push for MDIs to be recognized as minority lenders

The CDFI Fund should consider all MDI credit unions to be Minority Lending Institutions (MLIs), three credit union trade groups told the Treasury Department last week.

“This would spare MDIs additional reporting to maintain their MLI designation and allow them to focus their resources on serving their members and participating in CDFI Fund programming that benefits their members and communities,” Inclusiv, the African-American Credit Union Coalition and the National Association of Latino Credit Unions and Professionals told the agency.

An FY21 appropriations law states that an MLI is a CDFI that directs a majority of its financial products to minority populations or communities, and either is an MDI or demonstrates accountability to minority populations.

The CDFI Fund, operated by the Treasury Department, has been seeking comment on how to designate financial institutions as MLIs.

 

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