In the last decade, black entrepreneurship has seen tremendous growth in every sector of the economy. From sports to banking to skincare, black entrepreneurship has shown no sign of slowing down.
One of the areas that is attracting the attention of Black business people is the banking and the fintech space. Until recently, there were a handful of black-owned banks operating in America, according to Forbes. These banks emerged to combat discriminatory practices against Blacks who wanted loans. These banks are now providing economic security for disenfranchised Black communities that have long been underserved by financial institutions.
Black people are two times more likely to be denied credit than their white counterparts, even if they qualify, according to Forbes. The practice has contributed to disparities in wealth between Black and white households.
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There are 5,400 insured financial institutions in the United States; only 23 are black-owned as of 2018. According to Forbes, the number of black-owned banks has declined by more than 50 percent from 2001 to 2018. The 2008 financial crisis exacerbated the situation.
Not only have black-owned banks declined, but they also have fewer assets at their disposal than some of the major players in the sector. For instance, OneUnited, the largest black-owned bank in the U.S., manages assets worth $625 million while Bank of America manages nearly $2.5 trillion.
All in all, opening an account with a black-owned bank can help it support its objective of closing the wealth gap in America.
Below is the list of all black-owned banks by state:
Alabama
Alamerica Bank
Citizens Trust Bank
Commonwealth National Bank
Arkansas
Hope Credit Union
California
Broadway Federal Bank
District of Columbia
Phi Beta Sigma Federal Credit Union
Howard University Employees Federal Credit Union
City First Bank
Florida
FAMU Federal Credit Union
Georgia
Carver State Bank
Omega Psi Phi Fraternity Federal Credit Union
Illinois
GN Bank
Indiana
Mount Zion Indianapolis Credit Union
Kansas
Liberty Bank
Kentucky
Liberty Bank
Louisiana
Southern Teachers & Parents Federal Credit Union
Maryland
Harbor Bank of Maryland
Municipal Employees Credit Union of Baltimore
Andrews Federal Credit Union
Democracy Federal Credit Union
Industrial Bank
Massachusetts
OneUnited Bank
Michigan
First Independence Bank
Liberty Bank
Minnesota
First Independence Bank
Mississippi
Jackson Area Federal Credit Union
Hope Credit Union
Liberty Bank
Missouri
St. Louis Community Credit Union
Montana
City First Bank
New Jersey
Messiah Baptist Church Federal Credit Union
Andrews Federal Credit Union
Industrial Bank
New York
Carver Bank
Urban Upbound Federal Credit Union
Industrial Bank
North Carolina
Mechanics & Farmers Bank
Greater Kinston Credit Union
Ohio
Adelphi Bank
Toledo Metro Credit Union
Toledo Urban Federal Credit Union
Oklahoma
First Security Bank and Trust Company
Pennsylvania
United Bank of Philadelphia
Hill District Federal Credit Union
South Carolina
Optus Bank
Palmetto Health Credit Union
Brookland Federal Credit Union
Tennessee
Citizens Bank
Hope Credit Union
Liberty Credit Union
Texas
Unity National Bank
Faith Cooperative Credit Union
Mount Olive Baptist Church Federal Credit Union
Oak Cliff Christian Federal Credit Union
Virginia
Virginia State University Federal Credit Union
Andrews Federal Credit Union
Democracy Federal Credit Union
Transit Employees Federal Credit Union
Wisconsin
Columbia Savings and Loan Association
