Banking vs. being banked

Predatory products to avoid

• Check-cashing storefronts — typically charge 3-5% per check. On a $1,000 paycheck, that's $30-50 you never see. Over a year, hundreds of dollars.
• Prepaid debit cards with monthly fees, transaction fees, and reload fees.
• Payday loans — APRs commonly 300-500%. A $300 loan can cost $1,200 to repay.
• 'Buy now, pay later' for non-essentials. It is debt with a friendlier name.

What you actually need

1. A checking account at a credit union or online bank — no monthly fee, no minimum balance. SoFi, Ally, Chime, and most credit unions qualify. The OCC's BankOn certified accounts list is a good starting point.
2. A separate savings account — even $5/week. Behavioral, not financial: separation creates self-control.
3. Direct deposit and auto-pay for fixed bills. Removes the temptation to spend before paying.

Black-owned banks

OneUnited Bank, Industrial Bank, Citizens Trust, Carver Federal Savings, and Liberty Bank are the largest Black-owned banks in the US. Moving even one account is a vote.