Top Black-Owned Banks That You Should Know

In 2018, the Federal Reserve listed 23 financial institutions and banks that were owned by African-Americans. Many of these banks were created several years ago in an attempt to present African-American businessmen and customers with better banking alternatives and to bridge the gap of discrimination and racial disparities. Listed below are some African-American owned and managed financial institutions.

Carver Federal Savings Bank (www.carverbank.com)

About: Carver Federal Savings Bank is a federally chartered savings bank that offers consumer and business banking products and services. The bank has its headquarters in New York, United States. Carver Bancorp, Inc., is the holding company for Carver Federal Savings Bank, and it was founded on November 5, 1948, in Harlem. Carver was founded to serve African-American communities in the United States. The corporation has been designated the United States Treasury Department to function as a Community Development Financial Institution (CDFI).

Carver got its name from former agricultural researcher and scientist George Washington Carver. The corporation originates mortgage loans to refinance or purchase family residential, multi-family residential, and commercial properties. It also originates and/or participates in loans for the construction or renovation of commercial property and other housing developments. It also provides business loans to businesses and non-profit organizations.

Citizen Trust Bank (www.ctbconnect.com)

About: Citizen Trust Bank is a full-service bank that accepts deposits, makes loans, and provides customers and businesses with other banking services. CTB was founded on August 16, 1921, but African-American businessman Heman Perry, who also served as the first chairman of the board. While Henry C. Dugas was the bank’s first president. The bank was created due to discrimination and racial disparities, so that Black businessmen could own and operate their businesses independent of white-owned financial institutions. Perry partnered with four others to form Citizens Trust Bank. They were collectively known as the “Fervent Five”.

Today, Citizens Trust Bank is a federally certified CDFI, and one of the largest Black-owned financial institutions in the country. In 2006, the Fannie Mae Foundation pledged to deposit $1.5 million in the bank to help the bank’s minority community lending.

Industrial bank (www.industrial-bank.com)

About: Industrial Bank is an African-American owned bank headquartered in Washington D.C., United States. The bank was established in 1913 as the Industrial Savings Bank, by John Whitelaw Lewis. It initially operated out of the Laborer’s Building and Loan Association building. In 1932, the bank closed but was later reorganized and reopened by Jesse Mitchell in 1934. By 1947, Industrial Bank had $6 million in assets from more than 14,000 clients, with 20% being white.

Since its reopening in 1934, Industrial Bank has helped many businesses “grow and prosper”. The bank has been able to achieve this by providing its customers with “innovative and reliable services while being responsive to their special needs”. The bank offers services such as financial education, loans, cash management, savings & investments, and checking, to customers, businesses, and non-profits.

The Harbor Bank of Maryland (www.theharborbank.com)

About: The Harbor Bank of Maryland is a privately held bank headquartered in Baltimore, Maryland. The Harbor Bank was co-founded by Williams Carrington March who was also the first chairman of the board, in 1982, with $2.1 million in assets. As of December 31, 2016, the bank’s assets were $254 million. Harbor Bank operates a general banking business in six branches and primarily operates in Baltimore, Maryland Metropolitan area.

The bank was also Maryland’s first commercial bank. The bank offers products and services such as checking, savings, credit cards, debit cards, time deposits, cash management, online banking services commercial real estate, automobile, personal home improvement, and other term loans. The Harbor bank is also a member of a local and national ATM network.

OneUnited Bank (www.oneunitedbank.com)

About: OneUnited Bank is an African-American owned bank, with headquarters in Boston, Massachusetts. The bank is registered by the Federal Deposit Insurance Corporation (FDIC) and certified Community Development Financial Institution (CDFI) by the U.S. Department of Treasury. OneUnited was founded in 1968 as Unity Bank & Trust Company in the then-Dudley Square (now Nubia Square). The bank aimed to revitalize the area by giving loans exclusively to local businesses and homeowners. The organization’s mission is to “provide affordable financial services to support economic development in urban communities and maintain superior financial performance to maximize shareholder value.