#bankblack
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Black buying power is over a trillion dollars and projected to be $1.4 trillion by 2020. Neilsen reported earlier this year that the rate of “Black people making more than $75,000 a year [is] growing faster in size and influence than Whites in all income groups above $60,000. And as African American incomes increase, their spending surpasses that of the total population in areas such as insurance policies, pensions, and retirement savings.”
In July alone over a million dollars shifted to Black banking institutions—and therefore Black communities.
Impressive numbers that have big marketers paying attention. But here’s the problem:
Not many of the current $1.2 trillion in spending dollars circulate in Black communities for long. And if money doesn’t stay in a community, it’s not going to benefit that community. In fact, according to Brook Stephens’ book Talking Dollars and Making Sense: A Wealth Building Guide for African-Americans, the lifespan of the dollar in Black communities is about six hours, compared to 28 days in Asian communities, 20 days in Jewish communities, and 17 days in White communities.
So Gardner’s sine qua non for respect—unity and money—is lacking in the Black community. That’s why the current #BankBlack movement is critical. And why credit unions—small community financial cooperatives owned by the folks who have accounts—can be powerful.