Getting what they need: A handful of groups and programs have popped up to get these FIs up to speed with the resources they need.
- The African American Credit Union Coalition unites small, Black credit unions and other vendors and shares tech services to help expand their digital footprints and reduce costs.
- The National Bankers Community Alliance launched MDI ConnectTech, which helps minority depository institutions develop and integrate new tech. It’s supported by a $10 million grant from the Citi Foundation.
Our take: Black FIs also face competition from new banking entrants like fintechs and neobanks. But the new challengers may not be all bad.
Many affinity-based fintechs and neobanks build their operations around community and support the “Bank Black” movement. This could present an opportunity for these digital disruptors to partner with Black FIs to share not only digital capabilities, but financial learning programs, networking opportunities, and small-business advice, with the same end goal of empowering Black consumers to take control of their financial lives.
This article originally appeared in Insider Intelligence’s Banking Innovation Briefing—a daily recap of top stories reshaping the banking industry. Subscribe to have more hard-hitting takeaways delivered to your inbox daily.