Funds will support MECU’s commitment to underserved areas within Baltimore

Municipal Employees Credit Union of Baltimore, Inc. (MECU) today announced the award of a $2 million grant from the U.S. Department of the Treasury’s Community Development Financial Institutions Fund (CDFI Fund), designed to increase lending and investment activity in low-income and economically distressed communities across the nation. MECU was the only Maryland-based organization to receive an award in this round of funding.

MECU, one of just 22 credit unions throughout the country to receive an award, plans to leverage the funds to grow lending capital through community deposits, integrate unbanked consumers, promote asset-building among low wealth households and deploy additional funds needed for risk-based lending in underserved communities. MECU was selected based on criteria related to organizational capacity, financial viability, asset quality and management capacity.

“As ‘Baltimore’s Credit Union’ and one of the largest CDFIs in the City of Baltimore, MECU is in a unique position to impact thousands of low-income families,” said President and Chief Executive Officer John Hamilton. “This award will allow us to expand and enhance our efforts to provide credit opportunities to members in underserved areas within Baltimore, consistent with our mission and that of the CDFI Fund. This is a great accomplishment.”

MECU’s Board Chair Herman Williams added “I am very proud of this award and MECU’s continued focus on community service and improving the financial lives of our members. This is what the credit union movement is all about ‘people helping people.’”

MECU’s partner in this project was CU Breakthrough, a service of The National Federation of Community Development Credit Unions (the Federation). The Vice President of Membership and New Business Development at the Federation Pablo DeFilippi responded to the announcement of the award, stating “Through its CU Breakthrough team of consultants, the Federation is thrilled to have played a role in helping bring resources to increase the capacity of MECU of Baltimore to meet the needs of financially underserved consumers.”

With more than 113,000 members, MECU has provided access to credit and essential financial services since 1936 offering mortgages, small business, automobile and other consumer loans, checking and savings accounts and vital development services to the membership.

The Community Development Financial Institutions (CDFI) Fund was created in 1994. The CDFI Fund has awarded more than $2.2 billion to CDFIs, community development organizations, and financial institutions through the various CDFI programs.