Rising interest rates and a dearth of available homes for sale have pushed the dream of homeownership out of reach for many Americans. But under the leadership of Kate Danella, Regions Bank has been helping to make it a reality, particularly for low- and moderate-income households.
The $156 billion-asset bank has raised the amount of down payment assistance it makes available to would-be buyers. It also updated the education requirements for borrowers on its low down payment products, for example, by adding three new, free programs that customers can take to qualify, said Danella, who has served as head of the consumer banking group at Regions since May 2022.
The bank also has boosted the ranks of what it calls community mortgage loan officers – people who concentrate on support and outreach to potential borrowers. There are now 53 officers, up from 12 in 2019. In addition to working with individuals, the officers forge partnerships with community organizations and advocacy groups.
"We remain focused on what we can control, and that's helping those who need and want to buy a home realize their goal," said Danella. "And we take a very intentional approach toward connecting people with services for which they are highly qualified."
Affordable lending now accounts for $1.68 billion, or about 8.9% of the total loan volume, for Regions Mortgage. In 2022, the bank made loans of $1.3 billion to low- and moderate-income homebuyers, she said.
But it's not just a matter of numbers for Danella. She points to the story of a customer in Albany, Georgia, who was living on a fixed income. The customer never thought she'd be able to qualify for a mortgage since she lacked a traditional credit history. But she reached out to Regions anyway to ask what it would take. After a mortgage loan officer explained the bank's products, she applied and qualified for the bank's Affordable 100 fixed-rate product, based on her record of on-time rent, utility and other payments.
"We believe that, as a financial services institution, it is our responsibility to consistently find ways to bring more people into the banking system and deliver services that help people and families reach their goals," Danella said.
Danella has worked for Regions since 2015. Before she took the reins of the consumer banking group, she held leadership roles in strategic planning, retail products and customer experience, where she led the bank to a 36% increase in new deposits and loans opened entirely online in 2021. She also helped create the bank's "Embrace the IF in life" brand campaign, which included TV, radio and digital ads. The campaign aims to show customers that banking with Regions can improve their cash flow, guard against surprises and beef up their savings.
Since the fall of 2022, Danella has introduced several new technology tools for Regions customers. Last September, the bank added a new feature to its mobile app that enables users to access and manage their debit, credit, ATM and other cards all in one place.
Two months later, the bank unveiled a new feature for its Greenprint program, which creates personalized financial plans. The feature allows customers to talk to bankers through a computer, phone or tablet as they would if they had walked into a branch, Danella said. "We're continually evolving Greenprint and are excited about where we're heading."
Among the top challenges for banks over the last year has been hiring. But under Danella's leadership, Regions has retained its competitive edge. She streamlined branch roles to give employees more flexibility in their careers and launched a new "performance advocate" team to coach and support new hires.
"By assigning an advocate to walk with every new hire through their first 90 days at Regions – making sure they are completing their training and being there as a sounding board for any questions and a ready resource – we believe bankers will be better prepared to serve their customers and to thrive in their careers," Danella said.
The bank's talent acquisition team also revamped the careers website using the recruitment platform Phenom to speed up the hiring process and automate some of the time-consuming tasks faced by recruiters, Danella said.
"All helped us outpace competitors when applicant volumes were at an all-time low, but the clincher remains Regions' culture," said Danella, noting that the bank has hired more than 3,000 retail associates during her tenure, allowing it to maintain consistent staffing levels.
Overall, the consumer banking group employs more than 9,300 people serving customers through more than 1,250 branches across the South, Midwest and Texas. Regions also has a national reach through its Enerbank home-improvement lending division, which was acquired in 2021.
Danella's focus on culture includes a lead role in the bank's efforts around diversity, equity and inclusion, or DEI. She was the first executive sponsor of the DEI network chapter that Regions launched in 2019 in its hometown of Birmingham. Danella has continued with this commitment since becoming head of consumer banking.
"I think the most important thing any leader can do is to lead by example," she said, noting that she has worked hard to build and manage a leadership team in a way that reflects the bank's values. "At Regions, we're committed to creating a workplace where everyone knows they are welcomed and valued."
In addition to her work inside the bank, Danella is a board member of The Community Foundation of Greater Birmingham, which recently launched a series called "Woven Together" to bring together diverse leaders to discuss subjects such as creating a more equitable economy and overcoming poverty. She also is on the board of directors for the Consumer Bankers Association and on the board of overseers for the University of Alabama's Culverhouse School of Business.
