Victory State Bank, New York City Housing Authority Launch Rental-Payment Partnership to Benefit Island’s Public Housing Residents

VICTORY STATE BANK MARKS EMPLOYEE APPRECIATION WEEK
June 16, 2010
Realtors Pack SIBOR Headquarters Seeking Global Momentum During 4th Annual Symposium
June 24, 2010

Find out more about the arrangement at NY1

Ralph M. Branca is president and CEO of the only locally based commercial bank on Staten Island, N.Y.

STATEN ISLAND, N.Y. — A joint initiative between Victory State Bank and the New York City Housing Authority (NYCHA) is set to give residents of public housing on Staten Island an added convenience: The opportunity to pay their monthly rent through any one of five Victory State Bank branches in the borough.

Victory State Bank operates five full-service locations on Staten Island — the main office in the community of Great Kills, and branches in the communities of West Brighton, St. George, Dongan Hills and Rosebank.

This is the first time that public housing residents on the Island have been provided with the option of paying their rent through a bank branch. The new program also will present additional financial-education opportunities for public housing residents.

GOAL OF PARTNERSHIP

“Victory State Bank, Staten Island’s only locally based community bank, is proud to partner with the New York City Housing Authority in this joint effort to bring underserved and unbanked individuals into mainstream banking,” said Ralph Branca, president and CEO of Victory State Bank. “The goal of this partnership is to provide an inexpensive and safe way for residents to pay their rent and to encourage them to establish checking and savings accounts. By utilizing our low-cost banking products, the residents will have the opportunity to enjoy the many benefits of a banking relationship as we help them meet their financial needs.”

Currently, residents can pay their monthly rents via mail to NYCHA’s rent- payment processing center, known as “Lockbox,” at authorized check-cashing locations, or online through the Housing Authority’s e-payment system.

RENT-REDUCTION PROGRAM

NYCHA also has a payroll rent-deduction program for those residents who are employees of the City of New York. More than 150,000 payments per month are received by NYCHA through the Lockbox or through authorized check-cashing locations throughout the city. About 1,600 city employees participate in the payroll rent-deduction program; and 10,000 monthly rent payments are made online using NYCHA’s new e-payment option; or phone payment through the Interactive Voice Response (IVR), or by using Visa and MasterCard debit cards.

The partnership between Victory State Bank and NYCHA marks the fifth time the city agency has teamed up with a banking institution to offer residents an extra option to make rent payments.

Payments can now be made in each of the five boroughs.

“It is our hope that residents combine the rent payment with other personal banking transactions, which will save them time and money. This will provide residents an easy way to make rent payments at a bank in their community,” said NYCHA Chairman John B. Rhea. “NYCHA residents also are encouraged to access the banking services and information that the bank has to offer, such as money management, basic budgeting, and building and maintaining good credit.”

Victory State Bank will process NYCHA rent payments for $1, which will be charged to the resident.

About Victory State Bank:

VSB Bancorp, Inc. (NASDAQ: VSBN) is the one-bank holding company for Victory State Bank. Victory State Bank is a Staten Island-based commercial bank, which commenced operations on Nov. 17, 1997. The bank’s initial capitalization of $7 million was primarily raised within the community of Staten Island, N.Y. The Bancorp’s total equity has increased to $25.1 million, primarily through the retention of earnings. For additional information, Victory State Bank may be reached at 718-979-1100 or visited online at http://victorystatebank.com/default.htm.

— 30 —

CONTACT: Barton Horowitz
RELEVANT PUBLIC RELATIONS LLC
HEADQUARTERS: 718 682 1509
MOBILE: 917 715 8761
E MAIL: Bhorowitz@RelevantPR.com

OR

Sheila Stainback, NYCHA
212-306-3322
or media@nycha.nyc.gov