June 25, 2024 09:00 AM Eastern Daylight Time

ANAHEIM, Calif.--(BUSINESS WIRE)--Change Lending is pleased to announce the appointment of Madison Simm as its Chief Financial Officer (“CFO”). Madison brings a wealth of experience and a proven track record of success in residential mortgage lending, servicing, and capital markets that will support Change Lending’s strategic growth in these areas.

Madison has over 25 years of experience in the financial services sector, having held senior executive roles at banks and mortgage lenders, most recently serving as President of Real Estate at Texas Capital Bank.

“Madison’s expertise in developing nationally recognized financial services businesses and managing sound growth will be invaluable to Change Lending as the company continues to expand and innovate,” said Steven Sugarman, Founder of The Change Company.

May 9, 2024 09:00 AM Eastern Daylight Time

ANAHEIM, Calif.--(BUSINESS WIRE)--Change Lending, LLC (“Change”) proudly announces it has become a member of the Federal Home Loan Bank (FHLB) of San Francisco as of May 6, 2024. This milestone marks a significant step forward in Change Lending's commitment to serving underbanked and underserved borrowers and communities.

The FHLB of San Francisco is a vital financial institution dedicated to providing reliable liquidity, funding, and support to its member institutions. As a member, Change Lending gains access to a diverse range of financial products and services that will bolster its lending capacity and liquidity and allow it to better serve its customers.

March 13, 2024 09:00 AM Eastern Daylight Time

ANAHEIM, Calif.--(BUSINESS WIRE)--Change Lending, LLC (“Change”) announced today that the Federal Home Loan Bank of San Francisco (“FHLB-SF” or the “Bank”) has approved Change’s application for membership in the Bank. This decision was based on the determination that Change satisfied all statutory requirements for membership – including those relating to capital, profitability, and liquidity. Change’s membership will become effective upon Change’s acquisition of capital stock in the FHLB-SF.

Change Lending and its parent company, The Change Company CDFI LLC (“The Change Company”), are each community development financial institutions certified by the United States Department of the Treasury. Change focuses on making home loans to underserved, prime homeowners. Since becoming a CDFI in 2018, Change Lending’s loans have been primarily to Black, Latino, and low-income borrowers, and borrowers who reside in low-income communities.

Steven Sugarman, Founder of The Change Company, stated, “Change Lending is proud to become a member of the FHLB-SF. We welcome a partnership with the FHLB-SF to enhance our strength and reach as America’s CDFI. We are excited to expand our impact and better serve our target market borrowers.”

February 7, 2024. Anaheim, CA. Change Lending, LLC (Change) is proud to announce that the United States Treasury Community Development Financial Institutions Fund (the “Treasury”) renewed Change’s CDFI Certification on February 7, 2024. The renewal followed the completion of Treasury’s review of Change’s CDFI Annual Certification Report.

Change Lending has been a CDFI in good standing with the Treasury since its initial certification in 2018. During Change’s tenure as a CDFI, Change has provided over $25 billion in loans to 75,000+ borrowers.

November 15, 2023. Anaheim, CA. Change Lending, LLC (“Change”) announced today that it has entered into a global settlement agreement with the United States Department of Treasury, Community Development Financial Institutions Fund (“Treasury”) that resolves its claims relating to Change Lending, LLC v. United States Department of the Treasury, Community Development Financial Institutions Fund. The settlement confirms that Change is and remains a certified CDFI in good standing with the Treasury and provides Change a release from future claims relating to the dispute.

Carlos Salas, Chief Executive Officer of Change Lending, stated, “Change is proud to continue our mission of lending to all Americans, including Black, Latino, and low-income homeowners and those who live in low-income communities. We appreciate the commitment of our strategic partners who make our mission possible and demonstrated unwavering support during this uncertain period. We now look forward to expanding our impact and our reach serving underserved borrowers and communities by expanding our innovative product offerings in the coming weeks.”

Change and the Treasury notified Judge James V. Selna of the United States District Court, Central District of California on November 15, 2023 that they have entered into a global settlement agreement.

The Change Company Issues its First AAA Rated Securitization Backed Exclusively by its Proprietary Community Mortgages

Securitization was comprised entirely of mortgage loans originated by Change Lending, a Community Development Financial Institution (CDFI) certified by the United States Department of the Treasury CDFI Fund.

DBRS Morningstar rated the senior A1 class as AAA and the A2 class as AA, while Fitch Rating rated the A3 through B2 along with DBRS. Both rating agencies cited the demonstrated performance history on prior Change Company CDFI issuances being in line with the broader NQM market as rational for their assigned rating.

The loan collateral for the deal included $307 million of loans with a weighted average 8.72% coupon, 740 FICO, 71.1 LTV and 43 months of reserves.

Under President Trump, the United States Department of the Treasury sought to change fundamental rules relating to CDFI’s through the improper introduction of a proposal under the Paperwork Reduction Act. These new rules sought to eliminate the exemption CDFI’s enjoy from the Consumer Financial Protection Bureau’s ability to repay (ATR) rules relating to mortgage loans. This would eliminate the underwriting flexibility CDFIs need to meet the needs of minority and unbanked borrowers.

CDFI Fund Director Jodie Harris’ proposal appeared to have significant support until it faced public comment and scrutiny for the first time this past Winter. On December 5, 2022, America’s largest non-bank CDFI, The Change Company, posted a public comment highlighting the enormous damage the proposal would do to millions of Americans and all CDFIs engaged in consumer lending. In an interview with Barron’s, Steven Sugarman, the Founder of Change, commented “I can’t imagine a scenario where the proposed rule change carries the day. Someone is going to look at this, and they’re going to say, ‘Let’s take a little bit more of a nuanced view here.’”

The Change Company CDFI, LLC (“The Change Company”) and its subsidiary Change Lending, LLC, America’s Community Development Financial Institution (CDFI), and Framework Homeownership (“Framework”) announced today that they have partnered to provide financial literacy education to underbanked homeowners throughout the United States. The partnership is focused on educating consumers about the homeownership process with the shared mission of expanding homeownership by financing underserved borrowers, fairly and responsibly.

Omar Esposito, President and CEO of Framework said: “We are thrilled to partner with The Change Company, America’s largest CDFI, as we work to make smart homeownership the new norm nationwide by leveraging technology to reach a new generation of homebuyers and homeowners. We believe that with a superior curriculum, the latest technology, dedication to our customers, and innovative relationships with lenders like The Change Company, we can help millions more homebuyers purchase their first homes.”

ANAHEIM, Calif.--(BUSINESS WIRE)--The Change Company CDFI LLC and its subsidiary Change Lending, LLC (“Change”) – America’s CDFI – are pleased to announce that Change has closed its sixth securitization of 2022. Investors in the $201 million offering included socially responsible asset managers seeking to finance home loans to credit-worthy Black, Latino, and low-income borrowers and communities.

The Change Company CDFI LLC and its subsidiary Change Lending LLC (“Change”) – America’s CDFI – are pleased to announce that Change has closed the first ever AAA rated securitization of residential home loans originated entirely by a CDFI. Investors in the $283 million Standard & Poor’s and DBRS Morningstar AAA rated offering included socially responsible asset managers and banks seeking to finance home loans to credit-worthy Black, Latino, and low- and moderate-income borrowers and communities.