Bank of America Extends Nearly $184 Billion in Credit in Third Quarter

Published on Monday, 09 November 2009 13:21 Written by TradersHuddle Staff

Nearly $760 Billion in Credit Extended Since TARP Investment Began

CHARLOTTE, N.C., Nov. 9 /PRNewswire/ -- Today, Bank of America issued its third quarterly Lending & Investing Initiative report, which outlines the company's progress in driving economic recovery through 10 key areas, including lending to consumers and businesses of all sizes, support for municipalities and nonprofits, community development and other initiatives.

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The report, which delivers on a commitment to provide greater transparency into the company's lending and investing efforts across the enterprise, demonstrates how Bank of America is using the government's investment in the company to support the U.S. economy.

Bank of America has extended $759 billion in new credit since the program was created in the fourth quarter of 2008. That represents almost $17 for every dollar of the $45 billion of the Troubled Asset Relief Program (TARP) investment. At the same time, Bank of America continues to provide a significant return on investment to U.S. taxpayers. Through November 16, Bank of America will have made more than $2.5 billion in dividend payments to the U.S. Treasury.

The extension of home loans continues to be one of Bank of America's highest lending and investing priorities. In the third quarter alone, the company extended $96 billion in first mortgages, helping nearly 450,000 people purchase a home or refinance an existing mortgage. In the first nine months of the year, the bank has extended $292 billion in first mortgages to more than 1.3 million customers.

Bank of America is also responding to consumers' needs for simpler, clearer products and pricing through efforts including the Home Loans Clarity Commitment and new Basic Visa Card(®). Additionally, the company created the new role of consumer policy executive - a position held by Andrew Plepler - to ensure it is directly addressing the needs and concerns of customers and communities and build on efforts within each of line of business.

"As households and communities across America continue to feel financial strain, we are working hard to revitalize the U.S. economy by making every good loan that we can to individuals, businesses of all sizes, and municipalities and nonprofits across the country," said Plepler. "We are hopeful that our ongoing efforts will not only improve economies across America, but also provide consumers the relief they need during these difficult times."

In addition to consumer lending, Bank of America is extending credit to the municipalities and nonprofits that are currently struggling to keep pace with local needs and serve communities across the country, including $7 billion in credit extended in the third quarter and $26 billion in 2009. This includes credit and services provided to more than 7,500 governmental entities - including local and state agencies - and more than 1,400 large nonprofit clients across the country through our Specialized Industries group.

In the business sector, Bank of America has extended $78 billion in small business and commercial loans in the third quarter, and $255 billion during the first nine months of 2009.

The full report, which provides detailed summaries of Bank of America's progress in these growth sectors and other areas, can be accessed at newsroom.bankofamerica.com.

Bank of America

Bank of America is one of the world's largest financial institutions, serving individual consumers, small- and middle-market businesses and large corporations with a full range of banking, investing, asset management and other financial and risk management products and services. The company provides unmatched convenience in the United States, serving approximately 53 million consumer and small business relationships with 6,000 retail banking offices, more than 18,000 ATMs and award-winning online banking with more than 29 million active users. Bank of America is among the world's leading wealth management companies and is a global leader in corporate and investment banking and trading across a broad range of asset classes serving corporations, governments, institutions and individuals around the world. Bank of America offers industry-leading support to more than 4 million small business owners through a suite of innovative, easy-to-use online products and services. The company serves clients in more than 150 countries. Bank of America Corporation stock (NYSE: BAC) is a component of the Dow Jones Industrial Average and is listed on the New York Stock Exchange.

www.bankofamerica.com

SOURCE Bank of America