Do We Need Black Owned Banks?
Tonight's show we are discussing the question “Do We Need Black Owned Banks?”, I’ll be providing my insight and opinion. And also share some information I polled from Facebook and Instagram.
Story
There was a huge push a year ago about banking Black
With all the plubicitization of police brutality a few years ago, and the lack of response of many businesses that received support from the Black community. There was this huge push to stop supporting these businesses and to buy and shop Black. Hence the push to bank Black.
I personally feel the push should have been about how to bank
I conducted several polls asking on Facebook and Instagram to ask two questions
Do we need Black Owned Banks?
Why Do We Need Black Owned Banks
Overwhelming yes to number one, No responses to number two
So what does that tell me?
People want to feeling that they own something, say a black-owned bank, black-owned stores, black-owned businesses, etc
People have no clue to the value of a black owned bank - how does it actually benefit them.
Possible Perceived Needs For Black Owned Banks to be viable
Community Support (Membership)
Exposure - people telling each other they are there.
Why didn't the previous banks last?
None support from the community. People weren’t opening accounts there or using their services.
As of Oct 2018, there are estimated 19 Black Owned Banks in the US, 3 in Atlanta ( Name them)
Citizens Trust
Credit Union of Atlanta
1st Choice Credit Union
Reality
The deposits are one thing, loans are another. People can’t qualify for the loans.
Poor Financial Literacy - People aren’t willing to commit to going through a process of learning financial literacy.
Not enough industry experience to receive business loans (Factors for a business loan)
Income
Risk
Experience
Industry
collateral
Access to capital is extremely more easier with the internet
Do Black people want to commit to being financially literate?
Sacrifice the time to learn
Do you think Black owned banks target the Black community?
Hell no. If they do, they won’t be open long. That may be their marketing budgets or marketing plan.
They know Blacks aren’t committing to strong financial literacy to qualify for funding
The world is flat
Tons of ways to get funded
Many non-traditional methods
List examples
List New Funding Sources
Lending Tree
Prosper
Crowdfunding
Kickstarter
Indie GO GO
Private Investors
What we should be doing first
Basic financial literacy
Banking
Credit
Budgeting
Retirement
Why isn’t this pushed?
Time consuming
Boring
Requires a commitment
Requires accountability
Why Blacks Aren’t receiving Loans
I don’t care how they market it, they still must stay within normal lending parameters
Credit score
Income
Go back to
Invest into learning financial literacy yourself
Know what options you have as far as funding
Family and friends
Banks
Credit cards
non-traditional
Be realistic and patient with your situation
Set a timetable
Bottom Line
Let's not push for what we cant keep around
Or actually prepared to fight to keep around
Why ask for something we can’t use or help keep around
Tip
Five Tips To Be More Likeable Person
Smile often.
Say "thank you" often.
Give genuine compliments.
Give genuine praise and approval often.
Give people your full attention.
Conclusion
Let’s focus on what we have, be aware of it’s value. And don’t let it go, and put yourself in a position where you are pleading for something you gave away.
