According to a report that appeared in the Los Angeles Times, the chief executives of CIT and OneWest Bank said the planned merger would be good for poor neighborhoods.
The Times quotes CIT’s John Thain as saying, “The combined bank would provide ‘a significant increase’ in lending, philanthropy and other support for lower-income and minority communities — aid required by a 1977 federal law, the Community Reinvestment Act.
The Times said the Fed and the OCC held the unusual hearing to discuss the public benefit and bank safety issues. The last time such a hearing was held, which was in 2008, Bank of America was seeking to acquire Countrywide Financial, the Times noted.
To read the entire report, click here.