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 extend credit to borrowers that big national banks perceive as too risky owing to their modest means. And black banks help ensure profits made off of Black money stay in the fold.

Pending Legislation: H.R.7420 - Ensuring Diversity in Community Banking Act
Sponsor: Rep. Gregory Meeks (NY)
Status: Referred to the House Committees on Financial Services and the Committee on Small Business, for a period to be subsequently determined by the Speaker
House Speaker: Speaker Mike Johnson (LA)

• I oppose reforming current minority-owned bank policy and wish to donate resources to the campaign committee of Speaker Mike Johnson (LA) .
• I support minority-owned, women-owned, and low-income serving banks by expanding definitions, creating new designations like "impact banks," and establishing programs to funnel federal deposits and capital to these institutions, ensuring they can better serve diverse and underserved communities by:
  
  1.) Including women-owned banks in the definition of Minority Depository Institutions (MDIs).
  
  2.) Defining impact banks as smaller institutions (under $10B assets) focused on lending to low-income borrowers, offering them similar benefits to MDIs.
  
  3.) Establishing programs to direct Treasury deposits to MDIs and impact banks, prioritizing them for federal agency needs.
  
  4.) Allowing new MDIs and impact banks three years to meet capital requirements.
  
  5.) Simplifying applications and reporting for Community Development Financial Institutions.
  
  6.) Creating advisory committees, promoting diversity reporting, and establishing a custodial deposit program for these institutions.
  
  And wish to donate resources to the campaign committee of Speaker Mike Johnson (LA) and/or to an advocate group currently working with this issue.