JPMorgan Chase Commits $30 Billion to Advance Racial Equity
New commitments and public policy efforts will address key drivers of the racial wealth divide, reduce systemic racism against Black and Latinx people, and support employees
Structural barriers in the
“Systemic racism is a tragic part of America’s history,” said
Over the next five years, the firm expects these new commitments, which include loans, equity and direct funding, to:
Expand Affordable Housingand Homeownership for Underserved Communities
Originate an additional 40,000 home purchase loans for Black and Latinx households. To do this, the firm is committing
$8 billionin mortgages. Efforts include:
- Improving key home lending products and offerings, including substantially increasing the Chase Homebuyer Grant in underserved communities.
Help an additional 20,000 Black and Latinx households achieve lower mortgage payments through refinancing loans. To do this, the firm is committing up to
$4 billionin refinancing loans.
Finance an additional 100,000 affordable rental units. To do this, the firm will provide
$14 billionin new loans, equity investments and other efforts to expand affordable housing in underserved communities. Efforts include:
- Investing additional capital in vital community institutions and increasing funding for the construction and rehabilitation of affordable housing for low and moderate-income households nationwide.
- Originate an additional 40,000 home purchase loans for Black and Latinx households. To do this, the firm is committing
Grow Black- and Latinx-owned Businesses
Provide an additional 15,000 loans to small businesses in majority-Black and -Latinx communities. To do this, the firm will deliver
$2 billionin loans. Efforts include:
- Launching a new program designed to help entrepreneurs in historically underserved areas access coaching, technical assistance and capital.
- Accelerating a digital lending product to better support the needs of small Black- and Latinx-owned businesses seeking quick access to capital.
Spend an additional
$750 millionwith Black and Latinx suppliers.
- Provide an additional 15,000 loans to small businesses in majority-Black and -Latinx communities. To do this, the firm will deliver
Improve Financial Healthand Access to Banking in Black and Latinx Communities
Help one million people open low-cost checking or savings accounts. To do this, the firm commits to hiring 150 new community managers, opening new Community Center branches in underserved communities and materially increasing marketing spend to reach more customers who are currently underserved, unbanked or underbanked. Other efforts include:
- Continuing to open 100 new branches in low-to-moderate income communities across the country as part of the firm’s market expansion initiative.
- Building awareness and trust in Chase Secure Banking to meet the needs of Black and Latinx unbanked and underbanked households and expand access to traditional banking.
Invest up to
$50 millionin the form of capital and deposits in Black- and Latinx-led Minority Depository Institutions (MDI) and Community Development Financial Institutions (CDFI), and continue to mentor and advise select MDIs and CDFIs to help them achieve future success.
- Help one million people open low-cost checking or savings accounts. To do this, the firm commits to hiring 150 new community managers, opening new Community Center branches in underserved communities and materially increasing marketing spend to reach more customers who are currently underserved, unbanked or underbanked. Other efforts include:
Accelerate Investmentin our Employees and Build a More Diverse and Inclusive Workforce
- Continue to build a more equitable and representative workforce and hold executives accountable by incorporating priorities and progress into year-end performance evaluations and compensation decisions for members of the Operating Committee and their direct reports.
Provide financial coaching services to the firm’s
The firm will also provide
A fact sheet detailing JPMorgan Chase’s new commitments is available here.
Holding Ourselves Accountable
Measuring impact and ensuring accountability is central to these new commitments. Progress will be tracked regularly and shared with senior leadership across the firm, as well as externally with the
Comments on the Importance of Advancing Racial Equity
“We have a responsibility to intentionally drive economic inclusion for people that have been left behind,” said
“To ensure the Latino community can thrive, we must work together to break down persistent obstacles to opportunity created by systemic racism,” said
“America’s racial wealth gap has been a persistent injustice, and it can no longer be tolerated as business as usual,” said
“All Americans deserve equitable access to affordable housing and the physical, emotional and financial security it represents,” said
“This moment requires leaders and their institutions to shake off the husks of complacency and to stand in transformative solidarity with the more than 100 million in America who face the burdens of a democracy and economy that does not yet allow them to participate, prosper, and reach their full potential,” said Dr.
Haley Dorgan, email@example.com