15 Black Owned Banks To Put Your Money Into

FTC: This post is not sponsored and I am not a financial advisor. All thoughts and weird opinions are my own.

As I continue to navigate the new "normal" I'm consistently trying to learn more, do better and be a tool of service for others. In aligning all three of these aspects I cultivated this list of black owned banks not just for you, but for me as well. Like I've been saying for the last 6 weeks, it is time to put my money where my mouth is. 

That means being more intentional with where I spend my money and not just how I spend money. In supporting more black owned businesses, and investing in black owned publicly traded companies on the NYSE, I've decided that I would also like to place some of my money into a black owned bank. 

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Here's Why: 

1. You will find that black owned banks are predominately found in African American communities. For example Carver Federal Savings Bank (which I discussed in my black owned publicly traded video) invests 80% of their deposits back into the communities it serves. By having a bank account with them (though I haven't fully decided which bank I'll be using in the list below) I will not only be supporting a black owned bank, but also supporting a predominately African American community. 

2. While encouraging people to #BuyBlack it is just as important to remind them the importance of banking black. Why? Because 67% of mortgage loans that are provided to African Americans come from Black owned banks. Compare that statistic to the bleak numbers over at non black owned banks that currently stand at a whopping 1% of mortgages going to African Americans. You read that right... the disparity is blatantly clear. 

3. It is no surprise that African Americans face systemic racism when it comes to financial services and banks. This means that Black people usually have to turn to other alternatives which inhibit their potential fiscal growth. This means more African Americans turn to services like check cashing places because of the difficulties in securing proper checking and savings accounts at financial institutions. 

4. Lastly, Black owned banks are a tool to help build and secure African American wealth. Currently African Americans hold about 1% of the country's wealth... talk about some BS for sure! With 1% of the countries wealth, and access to 1% of the mortgage offerings, Black owned banks have been providing African Americans a vital resource to continue to progressively build wealth. This is why they allot for the majority of the business loans provided to community organizations, small businesses, and churches in the African American community. 

From this quick little break down it's easy to see that my money would be going to a much better cause and a lot further in the Black community as opposed to simply sticking to using the main commercial big banks. 

The banks mentioned below are all FDIC insured and have resiliently stood the test of time. Though I haven't decided which bank I am going to go with just yet, each bank deserves a fair look. 

15 Black Owned Banks To Put Your Money Into

1. Carver Federal Savings Bank

I've discussed Carver Federal Savings bank previously when discussing public traded black owned companies on the NYSE. Carver is the second largest black owned bank and is located in New York. Due to owning stock in Carver and living in NYC it is the bank I'm looking into most diligently. Carver currently has 664 million dollars in assets and repurposes 80% of their deposits into the neighborhoods they serve. 

2. Citizens Trust Bank 

Citizens Trust Bank is another bank that I have spoken about previously in regards to publicly traded black owned companies. With approximately $410 million in assets, Citizens stands out in the crowd as one of the few to offer interest bearing checking accounts. Citizens Trust Bank is located primarily in Georgia and Alabama. 

3. Broadway Federal Bank

Another previously mentioned bank, Broadway Federal Bank is located primarily in Los Angeles, California with approximately $443 million dollars in assets. Similarly to Citizens Bank, Broadway Federal Bank also offers a competitive high yielding interest rate on their checking account (0.15% APY). Even their regular savings account offers a much higher interest rate than most regular big box commercial banks. 

4. One United Bank

This is one of the biggest black owned banks in the country with $670 million dollars in assets. One United Bank offers a wide variety of savings and checking accounts to choose from. What stands out to me the most with One United Bank is that they offer a U2 E-Checking account which acts as a second chance for people with ChexSystems records. This means if you were denied in a regular commercial bank you have a large opportunity to open an account. 

5. Industrial Bank

Industrial Bank is the third largest black owned bank in the country, with $432 million dollars in assets. This bank is centrally located in Washington DC and offers a bit more than just interstate's on their checking accounts. They also offer cash back where you can earn up to $7.50 per qualification cycle. I don't know about you but that $7.50 is free and will unknowingly add up quickly. 

6. Liberty Bank

Liberty Bank is the largest black owned bank in America with assets totaling $601 million dollars. With a wide variety of checking and savings options, Liberty can also be found in several states across the country. 

7. Mechanics & Farmers Bank

When I mentioned banks standing the test of time earlier, Mechanics and Famers Bank (M&F Bank) is definitely one that first comes to mind. Originating in 1907, M&F Bank carries approximately $257 million dollars in assets. They are located primarily in the south, and a majority of their deposits are reinvested back into the community. 

8. The Harbor Bank Of Maryland 

This black owned bank is ... yup... you guessed it primarily located in Maryland. With assets totaling $265 million,  The Harbor Bank Of Maryland offers a wide variety of checking and savings accounts as well as business loans, home improvement and other installment loans.  

9. First Independence Bank

First Independence Bank is located in Detroit, Michigan with assets totaling $286 million dollars. They have been committed to supporting and serving their neighborhoods while providing financial tools. One account I find most interesting of theirs is the FIB Perls Plus Checking that offers local discounts and discounts at national retailers for a monthly fee of $5.00 dollars. 

10. Unity National Bank

Unity National Bank hails all the way from Texas with assets totaling $102 million dollars. They offer banking options and opportunities to people at all different financial levels. You can open a savings account with as little as $50 dollars. 

11. Commonwealth National Bank

Commonwealth National Bank is a bit smaller than the previous banks mentioned with assets totaling $53 million dollars. They are located in Alabama, and is one of the few banks to offer a "money market" option for their checking accounts. 

12. Metro Bank

Metro Bank is for my people down in Kentucky. This black owned bank is a bit different than the ones mentioned the list because they do not offer standard banking options like checking and savings accounts. Instead Metro Bank focuses on Certificates of Deposit (CD)

13. United Bank Of Philadelphia

The United People Of Philadelphia Bank has $56 million dollars in assets, and is located in: Philadelphia (easy to guess I'm sure). This bank offers a standard variety of banking options when it come down to your savings and checking accounts. 

14. Columbia Savings and Loan Association

Along the same vein as Metro Bank, Columbia Savings and Loan Association is also not your standard checking and savings bank. Instead this bank specifically focuses on CDs and IRA retirement accounts. They have about $25 million dollars in assets, and are located in Milwaukee, WI. 

15. Alamerica Bank

Alamerica Bank is another bank located in Alabama with assets totaling $36 million dollars. Their primary lower tier checking accounts do have monthly service fees, however ass you get to the next tiers they start to offer high yield interest bearing checking accounts which you know are a personal fave of mine. 

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Until next time,