Checking accounts typically serve as entry into the economy. But, there are subtle discriminatory banking practices that keep Black communities in the cycle of poverty, leaving us with less economic power.
Community banks in Black neighborhoods require an average opening deposit of $81. In mostly white neighborhoods, it’s $61.
To avoid fees at community banks, an average minimum balance of $871 is required, while in white neighborhoods it drops to just $626.
The average white consumer needs to keep just 28% of a paycheck deposited to avoid a fee or account closure. For Black folks, it’s a whopping 60%.
Just one more example of the day-to-day racism Black people experience.