ABA Banking Journal
No Result
View All Result
  • Topics
    • Ag Banking
    • Commercial Lending
    • Community Banking
    • Compliance and Risk
    • Cybersecurity
    • Economy
    • Human Resources
    • Insurance
    • Legal
    • Mortgage
    • Mutual Funds
    • Payments
    • Policy
    • Retail and Marketing
    • Tax and Accounting
    • Technology
    • Wealth Management
  • Newsbytes
  • Podcasts
  • Magazine
    • Subscribe
    • Advertise
    • Magazine Archive
    • Newsletter Archive
    • Podcast Archive
    • Sponsored Content Archive
SUBSCRIBE
ABA Banking Journal
  • Topics
    • Ag Banking
    • Commercial Lending
    • Community Banking
    • Compliance and Risk
    • Cybersecurity
    • Economy
    • Human Resources
    • Insurance
    • Legal
    • Mortgage
    • Mutual Funds
    • Payments
    • Policy
    • Retail and Marketing
    • Tax and Accounting
    • Technology
    • Wealth Management
  • Newsbytes
  • Podcasts
  • Magazine
    • Subscribe
    • Advertise
    • Magazine Archive
    • Newsletter Archive
    • Podcast Archive
    • Sponsored Content Archive
No Result
View All Result
No Result
View All Result
ADVERTISEMENT
Home Community Banking

FDIC Report: MDI Financial Performance Improved in Last Five Years

June 25, 2019
Reading Time: 1 min read

Financial performance among minority depository institutions has significantly improved in the last five years, particularly in terms of loan performance, according to new research from the FDIC. In a study that focused on the period between 2001 and 2018, the FDIC found that credit quality has improved at MDIs since the crisis years; at the end of 2018, the median non-current loan ratio fell to a low of 0.56%, as did the net charge off rate, which was at 0.02%. MDIs also tended to outperform non-MDI community banks in revenue generation, including net interest income and noninterest income, the study noted.

In line with broader industry trends, MDIs have also experienced consolidation in recent years; the total number of MDIs declined by 9.1%, while the overall number of community banks fell by 42.2% during the study period. Despite ongoing industry consolidation, however, the study found that among MDIs, more than three-fourths of the assets of the merged institutions and 86% of the assets from the institutions that failed remained with MDI institutions.

MDIs represent just under 3% of FDIC-insured institutions, and the majority are headquartered in metropolitan areas and tend to serve communities that are largely within low- to moderate-income census tracts. The study found that MDIs originated a greater share of their mortgages for properties in LMI census tracts, as well as a greater share of SBA 7(a) loans than non-MDIs.

ADVERTISEMENT
Tags: Community bankingMinority depository institutionsSurveys
ShareTweetPin

Related Posts

Senate Democrats seek proposals for regulatory changes following recent bank closures

Stablecoin bill clears Senate

Newsbytes
June 17, 2025

The Senate voted in favor of legislation to establish a regulatory framework for payment stablecoins, with proposed amendments to establish routing mandates and interest rate caps for credit cards left out of the final bill.

BAFT releases report on best practices, guidance for ISO 20022 migration

CFPB to delay small-business lending data collection compliance dates

Compliance and Risk
June 17, 2025

The CFPB will issue an interim final rule today to push back by roughly a year the compliance dates for its small-business data collection requirements, according to a filing in the Federal Register.

ABA comments on proposal to improve accounting in tax credit structures

Senate tax measure contains provisions on ACRE, pass-through business deduction

Ag Banking
June 17, 2025

The Senate Finance Committee released its reconciliation tax text that contains several differences from the version passed by the House, including changes to provisions related to the ACRE Act and the Section 199A passthrough business deduction.

Business inventories rise in February

Business inventories flat in April

Economy
June 17, 2025

Business inventories in April came in at $2.66 trillion, virtually unchanged from the month prior and up 2.2% from a year ago, the Commerce Department said.

Industrial production rose in March

Industrial production fell in May

Economy
June 17, 2025

Industrial production decreased 0.2% in May from the previous month, the Federal Reserve reported.

Home builder confidence unchanged in April

Home builder confidence declines in June

Economy
June 17, 2025

Builder confidence in the market for single-family homes in June was 32, down from 34 the previous month, according to the NAHB/Wells Fargo Housing Market Index.

NEWSBYTES

Stablecoin bill clears Senate

June 17, 2025

CFPB to delay small-business lending data collection compliance dates

June 17, 2025

Senate tax measure contains provisions on ACRE, pass-through business deduction

June 17, 2025

SPONSORED CONTENT

AI Compliance and Regulation: What Financial Institutions Need to Know

Unlocking Deposit Growth: How Financial Institutions Can Activate Data for Precision Cross-Sell

June 1, 2025
Choosing the Right Account Opening Platform: 10 Key Considerations for Long-Term Success

Choosing the Right Account Opening Platform: 10 Key Considerations for Long-Term Success

April 25, 2025
Outsourcing: Getting to Go/No-Go

Outsourcing: Getting to Go/No-Go

April 5, 2025
Six Payments Trends Driving the Future of Transactions

Six Payments Trends Driving the Future of Transactions

March 15, 2025

PODCASTS

Podcast: Old National’s Jim Ryan on the things that really matter

June 12, 2025

Podcast: What bankers need to know about ‘First Amendment audits’

June 5, 2025

Podcast: Accelerating banking for quick-service restaurants

May 8, 2025
ADVERTISEMENT

American Bankers Association
1333 New Hampshire Ave NW
Washington, DC 20036
1-800-BANKERS (800-226-5377)
www.aba.com
About ABA
Privacy Policy
Contact ABA

ABA Banking Journal
About ABA Banking Journal
Media Kit
Advertising
Subscribe

© 2025 American Bankers Association. All rights reserved.

No Result
View All Result
  • Topics
    • Ag Banking
    • Commercial Lending
    • Community Banking
    • Compliance and Risk
    • Cybersecurity
    • Economy
    • Human Resources
    • Insurance
    • Legal
    • Mortgage
    • Mutual Funds
    • Payments
    • Policy
    • Retail and Marketing
    • Tax and Accounting
    • Technology
    • Wealth Management
  • Newsbytes
  • Podcasts
  • Magazine
    • Subscribe
    • Advertise
    • Magazine Archive
    • Newsletter Archive
    • Podcast Archive
    • Sponsored Content Archive

© 2025 American Bankers Association. All rights reserved.