by Matthew Russell Lee, Patreon Book Substack
SOUTH BRONX/Federal Court, July 14 – A proposed merger by Planters Bank & Trust in Mississippi and Tennessee with Cross Keys Bank in Louisiana and Texas has brought into focus Planters' disparate lending.
On June 9 Fair Finance Watch, reviewing Home Mortgage Disclosure Act patterns nationwide, filed a timely Community Reinvestment Act protest with the FDIC:
The applicant Planters Bank & Trust Company in 2023 in Mississippi had a denial rate for the mortgage loan applications of African Americans more than twice as high as for white applicants. For whites it originated 11.53 loans for every denial to whites; for African Americans it originated only 4.59 loans for every denial.
Planters Bank & Trust Company in 2023 in Louisiana, in which it proposes now to further grow, made three loans to whites with no denials to whites; one to an African American applicant with also denying an African Americans' application.
Planters Bank & Trust Company in 2023 in Tennessee originated eight mortgage loans to whites and NONE to African Americans.
These practices should not be allowed to expand, and should not be introduced into Texas. This merger and expansion proposal should be denied.
[In May 2025 the FDIC imposed a CRA condition on ConnectOne, after Fair Finance Watch's challenge - letter with condition on Inner City Press' DocumentCloud here.
And on Planters Bank & Trust?
Well, on June 24 a strange response was received from Planters Holding Company's legal adviser Walker Jones, or really, from Mimecast. They demanded that one open an account in order to be able to read whatever response they sent to the FDIC. Given the record, no. FFW has filed a second comment including
Since then, all we have received is a strange message from "postmaster" as Planters' legal adviser, saying we'd have to enter information and open an account to read whatever they sent us, presumably a response to our CRA protest. We are reluctant, and ask that whatever response be regular emailed to us, or through the FDIC.
Meanwhile we have now been able to review Planters 2024 HMDA data, just made available - and it is worse that in 2023. Planters Bank & Trust Company in 2023 in Louisiana, in which it proposes now to further grow, made three loans to whites and one to an African American applicant.
In 2024? Planters in Louisiana made five loans to whites, and still only one to an African American. It is getting worse, the disparity is widening.
Planters Bank & Trust Company in 2023 in Tennessee originated eight mortgage loans to whites and NONE to African Americans. It continued with no loans to African Americans in Tennessee in 2024.
In Mississippi the applicant Planters Bank & Trust Company in 2024 still had essentially double the denial rate for African Americans as for white applicants.
Including now in light of the strange "response" by Planters and/or its counsel, Inner City Press is requesting an extension of the public comment period, public / virtual evidentiary hearings and that, on the current record, the applications not be approved.
On July 14 Planters submitted a response, presumably its second, which in laying out the data essentially admits disparities, with over 60% of its denials, but only 33% of its originations, being to African Americans. Now what?
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