Is Citizens Bank Black Owned? The Truth Revealed
Citizens Bank, founded way back in 1828, is one of the oldest financial institutions in the US. It offers many banking products and has more 35,000 employees.
But is Citizens Bank black-owned?
Citizens Bank is not black-endemic. Instead, it'due south endemic by Citizens Fiscal Group, a publicly-traded company. However, anyone can ain a stake in this banking company by purchasing its shares.
Citizens Bank Buying
Citizens Bank shouldn't be confused with Citizens Trust Bank. Citizens Banking company isn't black-owned, while the latter is black-owned.
Founded in 1921, Citizens Trust Banking company is one of the largest black-owned cyberbanking institutions in the United States. Information technology's also a federally certified CDFI with over 388 million dollars in assets.
The founders were five black businessmen willing to take a chance it all, having seen a bright future ahead.
From the beginning, this black-owned financial institution had a mission to empower its customers and their families, not just the black but people of all races, to succeed.
In that empowerment spirit and giving back to the community, they launched a free education program to educate young adults on financial issues.
Now, to the buying of Citizens Bank.
Is Citizens Depository financial institution black-endemic? The answer is no.
Citizens Bank was at one time a wholly-owned subsidiary of the Purple Depository financial institution of Scotland Group (RBS). RBS controlled this bank betwixt 1988 and 2014.
The change in ownership occurred in Oct 2022 when RBS sold its last stake in the depository financial institution.
Currently, this bank is role of Citizens Financial Group, whose largest shareholder is the Vanguard Grouping, Inc., with 47,802,519 shares.
Other notable institutional shareholders include:
- BlackRock Fund Advisors – 26,141,245 shares
- SSgA Funds Management, Inc. – 24,226,054 shares
- Uppercase Research & Management Co – 23,085,635 shares
- Invesco Advisers, Inc. – 14,064,876 shares
Citizens Financial Grouping trades in the NYSE and has a market cap of about $23.24B. As of 2021, the group had assets worth 187 billion dollars.
With its headquarters in Providence, Rhode Isle, Citizens Financial Group provides its customers with a wide range of retail and commercial banking products.
These customers include institutions, large corporations, small businesses, middle-market place companies, and individuals, helping them reach their potential.
About Citizens Bank
Citizens Financial Group offers a wide range of cyberbanking products to its customers under the brand name Citizens Bank.
The bank operates in two banking segments, consumer banking and commercial banking.
Citizens Bank offers their customers both the online and mobile banking experience in the consumer banking segment.
The bank operates about 3000 ATMs and over thou branches in eleven states. It too has a 24/7 client intendance eye where customers can air their bug, grievances, or suggestions.
In the same segment, you'll discover diverse products and services, including lending, savings, a full range of banking, small business organisation offerings, and wealth management.
Commercial banking is a bit different. This segment offers its customers financial products and solutions to their queries, including corporate finance, lending, and leasing.
Citizens Banking concern is also committed to giving back to the community. They run several clemency activities to strengthen deprived communities.
They have a financial empowerment program that works with local nonprofits to support educational programs that help young adults develop healthy financial habits.
In a bid to fight hunger in the local communities, Citizens back up local food banks and other food relief programs through contributions and volunteer work.
They've partnered with Feeding America, the largest domestic hunger-relief arrangement in the US, to run the fight hunger plan.
Citizens Depository financial institution also strengthens the communities effectually them through job grooming, economic development, and small business organization development.
History
Citizens Banking company's history is long, dating back to 1828 as Loftier Street Depository financial institution in Providence, RI.
In 1871, they became the Citizens Savings Bank later on getting the 2nd charter from the Rhode Island legislature.
Citizens Savings Bank then acquired its parent's group, forming Citizens Trust Company. They would later aggrandize and open 29 branches in the aforementioned state.
Come up 1954, the bank obtained the Greenville Trust Visitor, establishing Citizens Fiscal Group every bit a belongings visitor.
In 1986, Citizens Bank began to spread its wings outside Rhode Island, and the start state they moved to was Massachusetts.
This was after the depository financial institution changed its status from mutual savings to a federal stock savings bank.
RBS Ownership
In 1988, the Purple Bank of Scotland Grouping (RBS) acquired Citizens Banking company. Under this buying, Citizens Depository financial institution purchased other small banks in New England.
With that, they became the second-largest bank in the US. Afterwards in 1996, RBS gained 100% buying of Citizens Bank after acquiring the 23.5% stake that the Bank of Republic of ireland had in Citizens.
Citizens Bank and then caused the retail banking business organisation of Land Street Corporation and United States Trust Visitor of Boston in 1999.
In doing so, they increased their significance in Massachusetts. Plans to expand outside New England began in 2001.
That was after RBS spent two billion dollars acquiring the retail banking division of Mellon Financial Corporation in Pennsylvania, Delaware, and New Jersey.
Other purchases came soon afterwards, including the naming rights of the credit card division of Connecticut-based People's Bank, which allowed them to outcome their ain credit cards.
The Acquisition of Charter One Financial
Citizens Fiscal Group obtained the Cleveland-based Charter One Financial, which had branches in half dozen states, for 10.v billion dollars.
They and so decided to rebrand the two newly acquired branches in Vermont and New York as Citizens Banking concern.
The Charter 1 Fiscal purchase raised Citizens Financial'southward bar to become the 12th largest bank in the United states of america, with 1530 branches across 13 states. Their avails' worth had risen to over 131 billion dollars by then.
After this purchase, in early 2005, all the seven branches in Butler County, Pennsylvania, changed their Citizens Bank banners to Charter One.
Thanks to this rebranding move, the dispute that had been there for three and a half years betwixt Citizens National Bank and Citizens Bank got resolved.
By mid-2005, the ii banks came to a mutual agreement, with Citizens National Bank changing its brand to NexTier Bank while Citizens Financial settled on Citizens Bank.
Details About Their Financial Crunch
Citizens Financial Group was under investigation in May 2008 by the Securities and Exchange Commission for getting involved in the subprime mortgage crisis. They, nonetheless, didn't announce information technology publicly.
Two 1000 and eight was such an atrocious twelvemonth for the Citizens Bank. Besides being investigated by the SEC, they also lost 929 million dollars. With this huge loss, they even wanted to write off 2 billion dollars in bad loans.
As if that wasn't enough, Citizens Bank got sued for 8 billion dollars in January 2010 by one Philadelphia developer.
The bank was defendant of using false accusations to think loans that would help them prop upwardly their ii failing parent companies, RBS and Citizens Financial Grouping.
Citizens Bank Today
Currently, Citizens Financial Grouping owns and controls Citizens Banking concern.
RBS sold its terminal 20.ix% stake to Citizens Fiscal Group in 2015, granting the group full-buying of Citizens Bank.
At the time of writing, Citizens boasts 187 billion dollars in assets, 152 billion dollars deposits, approximately chiliad branches, and shut to 3000 ATMs.
All ATMs and branches are in 11 states, including:
- Vermont
- New Jersey
- New Hampshire
- Connecticut
- Massachusetts
- Delaware
- Michigan
- Maine
- Ohio
- New York
- Pennsylvania
With over 35,000 employees beyond its over 1000 branches, the bank offers retail and commercial services to customers.
These customers are mainly individuals, small businesses, and fifty-fifty institutions.
Besides providing retail and commercial products and services, they likewise offer title insurance, mortgage origination, retirement services, and financial planning.
They still take their headquarters in Providence, Rhode Island, but are spreading their wings across the The states.
This belongings depository financial institution recently, in 2021, had an understanding with HSBC Banking company USA to acquire their retail operations on the E Coast.
This conquering included xc branches in New York City, Southeast Florida, and Washington DC.
They also announced their plans to acquire Investors Bancorp, a New Jersey-based banking concern holding company, for iii.5 billion dollars in the same twelvemonth.
If finalized, they'll possess Investors Bancorp's more 150 branches.
Is Citizens Banking concern Blackness Owned? Final Thoughts
Is Citizens Bank black-owned?
It's clear that Citizens Banking concern isn't blackness-owned only endemic by Citizens Financial Group (NYSE: CFG). The grouping has owned Citizens Bank since 2022 after purchasing RBS's concluding stake in the banking concern.
As of 2021, Citizens Financial Group had assets worth 187 billion dollars, hoping to increase this in the post-obit years.
That said, Citizens Trust Banking company is blackness-owned. Only this bank is not in any manner continued to Citizens Depository financial institution.
Blacks formed Citizens Trust Bank to cater to their financial needs in the 1920s. The depository financial institution is however black-owned and has branches in Alabama and Georgia. Information technology primarily supports the economic well-being of African-Americans in the named regions.
Source: https://www.thatsister.com/is-citizens-bank-black-owned/
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