This Is What Racism Sounds Like in the Banking Industry

Racism in banking can be seen in the treatment of employees and customers.  “Leading banks have recently paid restitution to black employees for isolating them from white peers, placing them in the poorest branches and cutting them off from career opportunities. Black customers are sometimes profiled, viewed with suspicion just for entering a bank and questioned over the most basic transactions. This year, researchers for the National Bureau of Economic Research found that black mortgage borrowers were charged higher interest rates than white borrowers and were denied mortgages that would have been approved for white applicants.”  JPMorgan employee and a customer [who] secretly recorded their conversations with bank employees.  Click here to read the article.

3 Comments on “This Is What Racism Sounds Like in the Banking Industry

  1. Read it and feeling really frustrated. I leased a Subaru and they are the lien holder😥

    Sent from my iPhone

    >

  2. Wrote on this in another forum regarding the practice of the retail branch policy to only allow deposits of personal checks from those not having an account with them. While this may seem ‘security conscious’, it also blocks the ability of un-banked communities (38% blacks and browns) to not make cash deposits into accounts of younger or distant family members. For example, Chase holds one of the largest contracts for on-campus banking with America’s colleges/universities. Unbanked parents of 1st gen college students, can not take advantage of the ability to deposit cash into their child’s account at a local branch for access at a distant branch, i.e. their son’s/daughter’s college acct which they are required to have for financial aid deposits. While there can be a supposition that the parent should get an account to make that easy, that is not the reality of living for that unbanked 40%, there is a whole other economy economy that operates in our lower SES communities. Parents desperately trying to proudly support that first gen child are forced to use fee-based forms of payment transactors, which most are backed by these huge financial institutions, or give cash to someone with a bank account to write the check to deposit the money in the students acct, which will take a day or so for them to receive. There is little or no outreach to these communities to introduce the financial literacy. The policy is racist in its ‘weeding’ out of who can deposit cash without some form of profiling, i,e, if you have a bank account somewhere, than you are ‘legit’. If not, there’s a presumption of illegitimacy of your cash, so in its premise is exclusionary. Another form of making sure the poor pay more.

    • Thank you for explaining another aspect of discrimination in banking.

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