Working to more effectively serve Old National Bank Latino clients and communities

A big part of being a bank that is committed to serving ALL clients is understanding and addressing the Latino wealth gap that is pervasive in our nation. For example, white households in the U.S. have approximately 4.3 times the net worth of Latino households, and Latinos have a per capita income that is 43.4% lower than whites.

Armed with this knowledge, Old National Bank is actively working to bridge this gap and more effectively and inclusively serve the Latino populations within our footprint. In addition to being consistent with our culture and values as a 190-year-old bank, we believe striving to serve ALL members of our communities helps to strengthen and sustain those communities.

The following are just some of the steps Old National has taken over the past two years to better serve our Latino clients and communities:

Spanish-capable banking options

We have enhanced our mobile and online banking applications, as well as functionality in our Client Care Center, to enable Spanish language capabilities and services.

Expanded list of acceptable ID options

We have expanded the list of acceptable forms of customer identification for establishing accounts to include driver's license or government-issued identification.

ITIN Mortgage Pilot

In September of this year, Old National's Mortgage and Community Development teams came together to launch a one-year ITIN Home Loan Pilot program in Chicago and Milwaukee. ITIN is short for Individual Taxpayer Identification Number, which is issued by the Internal Revenue Service. Generally, the IRS issues ITINs to individuals who are required to have a U.S. taxpayer identification number but who do not have, and are not eligible to obtain, a Social Security number (SSN).

At Old National, we understand that some of our current and potential clients - especially those in the Latino community - may not havea Social Security Number. This typically limits their opportunity for securing a mortgage loan. The ITIN Home Loan Pilot Program will address this by providing greater access to mortgage services for those in traditionally underserved markets.

Empowerment Small Business Loan Program

To expand credit and improve access to capital for underserved communities, particularly Black and Brown entrepreneurs, Old National launched an Empowerment Small Business Loan Program in 2023 that is unique to the U.S. financial industry. Loans generated through the program, which creates access to capital to help expand entrepreneurial dreams, are evaluated using an approach that is not as dependent on consumer credit scores as most traditional credit models.

Led by Old National's Chief Strategic Business Partnerships Officer Roland Shelton, the program generated nearly $30 million in loans in service of 72 clients in its first full year.

Proposed Minority Depository Institution in Indianapolis

Finally, Old National has been working behind the scenes for more than two years to help organize and launch the first Minority Depository Institution (MDI) in the state of Indiana. The proposed MDI will be headquartered in Indianapolis with a branch in or near Johnson County, Indiana.

I have had the honor of taking the lead on this project, and I'm pleased to share that a highly respected and experienced bank executive has been identified and hired (Al London) to be the prospective CEO of the new bank, and that we recently filed the application for a state bank charter with the FDIC and the Indiana Department of Financial Institutions. The primary goal of an MDI is to address the needs of underserved and underrepresented individuals with a level of responsiveness, service and attention to these clients' banking needs not generally provided by the larger financial institutions.

Once approved, the MDI will not be a subsidiary or affiliate of Old National. Instead, Old National Bancorp. will be a minority investor and partner of the MDI.

More to come on this exciting endeavor in the months to come!

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