In 1976, there were more than 50 Black-owned banks across the United States. Today, there are just 18. These mission-driven banks extend credit and provide wealth-building resources to communities simultaneously underbanked and overcharged for financial services.

In 2019, nearly half of Black households were underbanked or completely unbanked, compared to just 15 percent of white families. That lack of access to essential financial services has forced Black Americans to rely on costly alternatives like check-cashing services, payday loans, money orders, and prepaid credit cards. Over a financial lifetime, those fees can total upwards of $40,000.

“It’s expensive to be Black and underbanked in the United States,” Hill Harper, known for his roles on CSI: NY, Limitless, and The Good Doctor, said. “At $20,000, the net worth of the typical Black household in this country is half of what underbanked families waste on predatory banking alternatives. A vibrant Black banking sector is the first step of many in erasing this country’s racial wealth gap.”

About the NBBF

The National Black Bank Foundation provides nonprofit support to Black-owned banks through legal, regulatory, strategic, and technical advice and assistance. With the support of Dentons, the world’s largest law firm, and Big Four accounting firm KPMG, It provides concierge services to philanthropic foundations, corporations, family offices, and private individuals who wish to support the mission of Black-owned banks through capital investment and depository transactions. Last year, the NBBF facilitated a historic $35 million transaction between the Atlanta Hawks and a syndicate of 11 Black-owned banks.

Learn more at NBBFoundation.org.