2022 Impact Report: Beneficial State Bank reports more than $601 million in mission-aligned loans in 2022

DEC 21, 2023, Oakland, Calif. – Beneficial State Bank released its 2022 Impact Report today, highlighting the impact of its $866 million in commercial loans, of which $601 million directly advanced its mission of serving communities and the planet. This includes $337 million in loans for affordable housing, $195 million invested in small businesses, and $100 million directed toward environmental sustainability initiatives.

"Beneficial State Bank continues to redefine banking by focusing on the intersection of social and environmental justice, for our communities and the planet we all share. Our approach champions social justice, financial equity, and ecological stewardship, all while fostering financial health," said Beneficial State Bank CEO Randell Leach. "The remarkable achievements of our team underscores the critical role of beneficial banking in creating a sustainable and inclusive economic future."

Providing Access to Affordable Housing

Beneficial State Bank actively leverages its resources to address the housing crisis in communities across the bank’s footprint. As of December 2022, the bank had extended $337 million in loans to mission-aligned affordable housing projects, which contributed to the development and maintenance of a total of over 14,664 affordable housing units over the years.

Contributing to Environmental Sustainability

Beneficial State Bank harnesses its financial resources to support environmental well-being and the transition to clean and renewable energy. As of December 2022, the bank had an impressive $100 million in loans outstanding in the environmental sustainability sector, along with $144 million in cumulative loans in the renewable energy sector, which produced 1.09 billion kilowatt hours of renewable energy since 2007.

The bank also took action last year to reduce its own carbon footprint. For example, the bank opened loan production offices in notable green locations: PAE's building in Portland celebrated as the world’s first developer-driven Living Building and at key sites like the Los Angeles Cleantech Incubator and AltaSea at the Port of Los Angeles, the nation’s largest Blue Economy tech hub. These steps highlight Beneficial State Bank’s ongoing dedication to environmental stewardship, both in its banking practices and corporate operations.

Empowering Businesses to Support Communities

Beneficial State Bank steadfastly upholds its dedication to small businesses, with an impressive $195 million in loans extended to nearly 400 local entrepreneurs, showcasing the bank’s commitment to empowering diverse entrepreneurs to drive community and economic growth.

Values-Aligned Nonprofits Fuel the Bank’s Impact

Beneficial State Bank is a bank of choice for the nonprofit sector, with 992 nonprofit accounts entrusting the bank with deposits totaling $448 million. This relationship extends beyond deposits, with the bank demonstrating its commitment through $230,000 in sponsorships to local nonprofits. In addition, bank employees were actively involved in community service last year, dedicating over 4,431 hours to volunteer work. This spirit of giving was further bolstered by the bank's staff donation matching program, which contributed an additional $5,256 to support nonprofit organizations.

Making Banking More Inclusive

Beneficial State Bank is committed to addressing financial inequalities that disproportionately affect communities of color, a result of centuries of systemic racism. The bank aims to foster financial security and broaden access to fair, transparent financing for all its customers, including those in immigrant communities. A key initiative is lending to immigrant customers who may not have Social Security numbers but possess Individual Taxpayer Identification Numbers (ITINs). In 2022 alone, Beneficial State Bank issued $25 million in auto loans to 707 ITIN borrowers.

The bank also offers secured credit cards, enabling individuals who might not qualify for standard credit cards to build or rebuild their credit history. In 2022, 56% of secured card issues were to borrowers without an initial credit score, and 42% of these customers were able to achieve a prime credit score of 660 or higher.

“Beneficial State Bank continues to lead the way for a new era of banking, where financial success is interdependent on social and environmental responsibility,” said Leach. “As we move forward together, we remain dedicated to our vision of an economy that restores our planet and extends prosperity to all."

⁠See the full 2022 Impact Report.