Capital One and NALCAB Further Strategic CDFI Partnership

Capital One and NALCAB Expand Partnership to Increase Access to Capital

New investment includes a $2M lending facility and over $6M in philanthropic and pro bono support, advancing Capital One's $600M commitment to CDFIs under its Community Benefits Plan.

Capital One and the National Association for Latino Community Asset Builders (NALCAB) today announced an expansion of their longstanding partnership designed to increase the flow of affordable capital to low-and moderate-income communities nationwide. Through NALCAB's network of more than 200 nonprofit lenders and community development organizations, the investment will support small business growth, affordable housing and community facilities while strengthening the capacity of Community Development Financial Institutions (CDFIs).

CDFIs play a critical role in connecting communities with the capital and financial resources needed to grow. With a strong track record of directing financing where it can have meaningful impact, NALCAB and its member CDFIs are particularly well positioned to help entrepreneurs expand their businesses, families build financial opportunity and communities invest in their futures.

The partnership combines a $2 million, five-year line of credit facility with $6.4 million in philanthropic support and targeted pro bono expertise from Capital One. NALCAB will utilize the Capital One facility to finance loans to CDFIs in its member network. These CDFIs will finance the launch and expansion of small businesses and develop affordable housing, mixed-use commercial, and community facilities.

"CDFIs possess the unique, on-the-ground expertise needed to deploy capital down and into communities," said Kerone Vatel, Senior Vice President, Head of Community Finance, Impact & Investment at Capital One. "Our deepened partnership with NALCAB reflects our shared commitment to ensuring community lenders have both the flexible financing and organizational infrastructure needed to support the building blocks of stable, thriving communities."

This investment signifies progress in Capital One's broader $265 billion Community Benefits Plan (CBP), which includes a commitment to deploy $500 million in new capital and a $50 million increase in philanthropic grants to support CDFIs. NALCAB represented its network of over 200 members by serving as a key negotiating partner to shape the development of the CBP, and NALCAB President and CEO Marla Bilonick serves on Capital One's Community Advisory Council.

"Small businesses and community organizations in neighborhoods across the country are vital drivers of economic growth, yet barriers to affordable capital persist," said Marla Bilonick, President and CEO of NALCAB. "Capital One's investment provides our national network with the runway needed to expand lending, strengthen local infrastructure, and build generational wealth."