About 50% of all African-Americans are either unbanked or underbanked - nearly double the percentage of our overall population. These Americans are often forced to resort to costly alternatives such as check cashers and payday lenders for their financial transaction needs. In addition to saving money, minority banks boost black entrepreneurship where they operate. Advocates say that for black, minority and rural communities to thrive, a new focus must be placed on increasing the number of financial institutions that serve them. Currently, there are only 23 black-owned banks in our country. Black banks, unimpeded by the prejudice and suspicion of white bankers, extend credit to borrowers that big national banks perceive as too risky owing to their modest means, and ensure profits made off of Black money stay in the fold.

Pending Legislation: H.R.154 - RESCUE Act for Black and Community Banks
Sponsor: Rep. Bobby Rush (IL)
Status: House Committee on Financial Services
Chair: Rep. Maxine Waters (CA)