ACB: Press Releases

Joint News Release

Contact:	Robert Schmermund (202) 857-3104 Jim Eberle (202) 857-3145	Alfred L. King Fannie Mae (202) 752-6136	For Immediate Release January 18, 2001
E-mail: [email protected]

AMERICA’S COMMUNITY BANKERS, FANNIE MAE JOIN TO EXPAND HOMEOWNERSHIP LENDING OPPORTUNITIES

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WASHINGTON, D.C. — America’s Community Bankers and Fannie Mae announced today that they have entered into an historic nationwide partnership to expand homeownership lending opportunities for community banks and their customers.

Under an affinity group agreement, ACB members will enjoy many new benefits on residential mortgage loans delivered to Fannie Mae; access to Fannie Mae’s cutting edge technology for underwriting loans, including access through the Internet; enhanced access to Fannie Mae products to help members meet Community Reinvestment Act requirements; in-depth portfolio analysis to identify secondary market sales opportunities; educational and training support from both ACB and Fannie Mae in how to expand access to the secondary market; and expanded efforts to make use of Desktop Underwriter as a cost-effective option for ACB members.

“This partnership will provide enormous benefits to ACB member banks and their customers all across America,” said ACB Chairman David A. Bochnowski. “The cost savings to ACB member institutions, operating in a broad, cooperative relationship with Fannie Mae, will be beneficial to lenders, homeowners and Fannie Mae through the expected participation of hundreds of ACB community banks.” Bochnowski is also chairman, president & CEO, Peoples Bank, Munster, Ind.

Jamie Gorelick, vice chair of Fannie Mae, said, “We are delighted that members of America’s Community Bankers, who for decades have been the backbone of homeownership opportunities, especially for first time homebuyers, have joined with Fannie Mae to find more ways to provide housing opportunities for all Americans. By working closely together, Fannie Mae and ACB will provide real benefits to ACB member lenders and their customers.”

“ACB members and Fannie Mae have long been a part of creative efforts, such as the National Partnership in Homeownership and the American Homeownership Education Counseling Institute, to provide education, counseling and other tools to increase homeownership,” said Lou Hoyes, Fannie Mae’s executive vice president for single family business. “We’re proud that the national homeownership rate has risen to 67.7 percent. Our agreement with ACB takes those efforts a step further.”

ACB President and CEO Diane M. Casey also noted that the agreement will make ACB community banks more competitive in their marketplace and broaden members’ access to a variety of secondary market opportunities.

“There is a terrific opportunity for Fannie Mae to work more closely with community banks to increase its penetration with ACB members and for ACB members to reap the benefits of this cooperative relationship,” Casey said.

Michael W. Young, chairman of ACB’s Mortgage Markets & Lending Technology Committee, said, “In 40 years in the mortgage lending business, this may be the most important partnership I’ve ever been a part of. And the timing could not be better, especially in this interest rate environment. ACB members will be able to make more loans and sell more loans, which in turn benefits their customers.” Young is also chairman, president and CEO, Cenlar, FSB, Ewing, N.J.

America’s Community Bankers is the national trade association committed to shaping the future of banking by being the innovative industry leader strengthening the competitive position of community banks. To learn more about ACB, visit www.AmericasCommunityBankers.com.

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