#NNPA BlackPress

COMMENTARY: America’s Racial Wealth Gap Could Cost Economy $1.5 Trillion

NNPA NEWSWIRE — “Black families are underserved and overcharged by institutions that can provide the best channels for saving,” states the McKinsey Global Institute (MGI) report, The economic impact of closing the racial wealth gap. “For instance, banks in predominantly black neighborhoods require higher minimum balances ($871) than banks in white neighborhoods do ($626). Unsurprisingly, 30% of Black families are underserved by their banks, and 17% are completely disconnected from the mainstream banking system because of a lack of assets and a lack of trust in financial institutions.”

Published

6 years ago

August 25, 2019

Oakland Post

Charlene Crowell is the Center for Responsible Lending’s communications deputy director. She can be reached at Charlene.crowell@responsiblelending.org.

By Charlene Crowell, NNPA Newswire Contributor

America’s nagging racial wealth gap has been the focus of many research reports and economic policy debates. Now new research analyzes the strong connection between disproportionate wealth and financial services and products that are either shared or denied with consumers of color.

Authored by the McKinsey Global Institute (MGI), The economic impact of closing the racial wealth gap, identifies key sources of the nation’s socioeconomic inequity with its accompanying racial and gender dynamics along with family savings, incomes, and community context.

“Black families are underserved and overcharged by institutions that can provide the best channels for saving,” states the report. “For instance, banks in predominantly black neighborhoods require higher minimum balances ($871) than banks in white neighborhoods do ($626). Unsurprisingly, 30% of Black families are underserved by their banks, and 17% are completely disconnected from the mainstream banking system because of a lack of assets and a lack of trust in financial institutions.”

Additionally, according to the MGI report, the nation’s overall economy is affected by racial wealth gaps, estimating that between 2019 and 2028, the cost of economic losses to the general economy will be in the range of $1.0-$1.5 trillion.

Black America’s “racialized disadvantage” was created through historical forces – including private business practices and public policies that together advantaged white consumers while often excluding or relegating Black Americans. For example, the National Housing Act of 1934 limited housing options for Black Americans by assigning a D-rating to neighborhoods in general decline and occupied by lower-income residents.

Fast forward to more recent times, the Federal Reserve in 2017 found that Black consumers are 73% more likely than whites to lack a credit score due to “credit redlining”. This term refers to where a consumer lives to be the central determining factor in whether to approve credit, rather than the actual credit profile.

Among the MGI report’s other key findings are that:

Black Americans can expect to earn up to $1 million less than white Americans over their lifetimes;
Black men with no criminal records are less likely to receive job interviews than are white men with criminal records;
The median wealth of a single Black women is $200, while that of a single white man is $28,900; and
Black families are up to 4.6 times more likely to live in areas of concentrated poverty, than are white and Latino families;

Geographically, 65% of Black Americans reside in one of only 16 states. The states are also areas that score below the nation’s national average of 77 state performance metrics spanning economy, education, economic opportunity, fiscal stability, infrastructure and more: Alabama, Arkansas, Delaware, Florida, Georgia, Illinois, Louisiana, Maryland, Michigan, Mississippi, New Jersey, New York, North Carolina, South Carolina, Tennessee, and Virginia.

“This study represents a critical look at the key components of wealth-building: access to community and family assets, ability to save, access to homeownership and availability of good jobs,” said Tom Feltner, Director of Research with the Center for Responsible Lending (CRL). “At every step it points to a widening racial wealth gap between Black families and white families.”

“With today’s Black homeownership rate hovering around 40%, while 73% of similarly situated whites own their homes, access to responsible mortgages remains more of a dream than a reality,” added Keith Corbett, a CRL EVP.

When student loan debts and criminal incarcerations are factored into the racial wealth divide, an even more bleak scenario is disclosed.

“Incarceration is estimated to reduce annual wages by 40% — not including the lost wages during the time served – for the formerly incarcerated,” states the MGI report, “reduces their economic mobility, and even increases the risk of school expulsion six times for their children….[B]lack men without criminal records are actually less likely to receive job interviews than are white men who have criminal records.”

For Black women, gender brings a dual “wage penalty”, according to the report. Median earnings for Black women are only 65% as much as those earned by white men, and 89% of median earnings for Black men. Black women typically borrow more in student loans, so their lower earnings bring stronger financial challenges in repayment years. As a result of these and other factors, the median wealth of a single Black woman is only $200, while that of a single white man is $28,900.

Both male and female Black college graduates are prone to support their families more so than their white college classmates. The financial assistance shared with older family members reduces the amount of disposable dollars that might have contributed more to paying down student debt or beginning financial investments like mutual funds or certificates of deposit.

“Education, while quite beneficial to those who attain it, is not an equalizer,” said Aracely Panameño, CRL’s Director of Latino Affairs. “And financial innovation and debt, even if well underwritten, can never undo historical racial discrimination that results in financial marginalization. Moving forward this situation can only be addressed through bold federal and state laws and policies that create equity of opportunity for all.”

Authors of the MGI report would likely agree.

“A number of simultaneous and mutually reinforcing initiatives will likely be necessary,” states the report. “This work will be neither simple nor easy, but targeted, productive efforts will likely strengthen the economy, increase economic and social equity, and improve the quality of life for families.”

Charlene Crowell is the Center for Responsible Lending’s communications deputy director. She can be reached at Charlene.crowell@responsiblelending.org.

Oakland Post

Posts by Oakland Post

Up Next

Waters Statement on HUD’s Move to Weaken Protections Against Housing Discrimination

Don't Miss

COMMENTARY: Will You Answer the Call for Moral Revival?

Oakland Post

Click to comment

#NNPA BlackPress

Michael: The King of Pop’s Story Returns to the Big Screen

BLACKPRESSUSA NEWSWIRE — The curtain has finally lifted on one of Hollywood’s most anticipated films. Lionsgate has unveiled the official trailer and release date for “Michael,” the sweeping biopic about Michael Jackson that has been years in the making.

Published

1 week ago

November 6, 2025

Stacy M. Brown

By Stacy M. Brown
Black Press USA Senior National Correspondent

The curtain has finally lifted on one of Hollywood’s most anticipated films. Lionsgate has unveiled the official trailer and release date for “Michael,” the sweeping biopic about Michael Jackson that has been years in the making. Directed by Antoine Fuqua, the film will arrive in theaters on April 24, 2026, with the singer’s nephew, Jaafar Jackson, stepping into the spotlight to portray his legendary uncle.

The trailer wastes no time rekindling the aura of Jackson’s genius. Opening with a studio scene between Jackson and his longtime producer Quincy Jones, played by Kendrick Sampson, the clip builds from a quiet, familiar rhythm to the electrifying pulse of “Wanna Be Startin’ Somethin’.” Viewers catch glimpses of the singer’s childhood, flashes of “Thriller,” and the silhouette that redefined pop culture. Each frame reminds fans of why Jackson remains unmatched in artistry and influence. The cast surrounding the late pop king’s nephew, Jaafar Jackson, reads like a who’s who of Black entertainment and music history. Colman Domingo plays Joe Jackson, Nia Long portrays Katherine Jackson, and Larenz Tate takes on the role of Motown founder Berry Gordy. Laura Harrier portrays music executive Suzanne de Passe, while Kat Graham embodies Diana Ross. Miles Teller plays attorney John Branca, a towering entertainment lawyer and longtime Jackson confidant who later became co-executor of his estate. The film’s journey to release has been as complicated as the icon it portrays. Production wrapped in 2024, but legal hurdles over depictions of past controversies forced extensive reshoots and editing delays. Even so, Fuqua’s film now appears ready to reclaim the narrative, focusing on Jackson’s creative ambition and humanity beyond tabloid noise. IndieWire reported that the film had faced “a massive legal snafu” over a disputed storyline but was retooled to center the music and legacy that defined generations.

Maven. Photo Credit: Glen Wilson

“Michael” promises more than a chronological retelling. It aims to explore how a child star from Gary, Indiana, became the world’s most influential entertainer. The script, written by Oscar-nominated John Logan, traces Jackson’s early years with the Jackson 5 through the triumphs and isolation of global superstardom. With Fuqua’s cinematic eye and producer Graham King—who brought “Bohemian Rhapsody” to life—joining forces with estate executors Branca and John McClain, the film is positioned as both a tribute and a restoration of Jackson’s cultural truth. Branca’s work behind the scenes has long shaped Jackson’s posthumous success. After the singer died in 2009, Branca and McClain took control of the estate burdened by debt and turned it into a global powerhouse worth billions. Under their stewardship, Jackson’s projects have generated more than $3 billion in worldwide ticket sales and landmark deals, including a $600 million joint venture with Sony earlier this year. At its heart, though, “Michael” is a story about artistry that transcends scandal. It offers a reminder that, despite the noise surrounding his life, Jackson’s music still bridges continents and generations. The trailer’s closing moments capture that spirit. As the beat of “Billie Jean” swells and Jaafar Jackson moonwalks into a spotlight, audiences are left with a familiar feeling—the awe of witnessing something timeless return home.

“Michael” opens worldwide in theaters April 24, 2026. See the official trailer here.

Stacy M. Brown

Posts by Stacy M. Brown

#NNPA BlackPress

Donald Trump Is the Biggest Loser

BLACKPRESSUSA NEWSWIRE — The Trump Brand took a significant hit as it was swept up in the Democratic blue wave of the election last night.

Published

1 week ago

November 5, 2025

Oakland Post

By April Ryan

The Trump Brand took a significant hit as it was swept up in the Democratic blue wave of the election last night.

Chris Jones, Democratic candidate for U.S. House of Representatives (AR-02), says, “Last night was electric, and it was unquestionably a wave.” Democrats won big in what is widely considered a repudiation of Trump’s 9 months at the White House in his second term.

In the state of Virginia, which produced the first big election night win and saw the election of the first woman governor, Democrat Abigail Spanberger, 56% of Virginia’s residents disapprove of President Trump. In New Jersey, 55% of state residents disapprove of the president; in New York, 69% disapprove; and in California, 63% disapprove of the president. The Trump brand or his support for any candidates did nothing to benefit those he endorsed in this election. They actually lost in each race he publicly put his name behind. Trump endorsed former New York Democratic Governor Andrew Cuomo, who lost the New York mayor’s race in his run as an independent. And New Jersey Republican Jack Ciattarelli, who ran for governor with the presidential endorsement, also lost his prospective race.

The next question is, will the democratic momentum be sustainable? Jones further explained, “This can become a 2026 tsunami, but turning a wave into a tsunami takes energy. A lot of energy. It doesn’t just happen. The conditions are there. Now we have to work!”

Some Democrats would argue that the work is already underway. The pushback against Trump’s national redistricting efforts received a thumb in the eye from California voters. Prop 50, California Governor Gavin Newsom’s counterbalance to President Trump’s redistricting efforts, passed in California last night. Although Trump’s name was not on the ballot last night, his Republican policies were. The United States has now entered the longest government shutdown in its history. Forty-two million Americans are not getting SNAP benefits. Economists are acknowledging that the government shutdown is contributing to the rise in delinquent debt in the student loan, automotive, and credit card industries. These items are among the negatives Americans are protesting against.

Compounding Trump’s political problems is a tariff battle that’s directly impacting pocketbooks. The day after the elections, the Trump administration was arguing before the US Supreme Court in favor of the president’s tariff powers. Meanwhile, President Trump‘s poll numbers are underwater, standing at a 37% national disapproval rate

Oakland Post

Posts by Oakland Post

#NNPA BlackPress

Historic Beatdown: Democrats Sweep Virginia as Speaker Don Scott and Jay Jones Make History

BLACKPRESSUSA NEWSWIRE — In a clear rejection of the policies of President Donald Trump, history repeated itself in Virginia.

Published

2 weeks ago

November 5, 2025

Oakland Post

By Lauren Burke

In a clear rejection of the policies of President Donald Trump, history repeated itself in Virginia. Democrats once again swept all three statewide offices as they did in 2017 during Trump’s first term. Abigail Spanberger easily won the office of Governor, and State Senator Ghazala Hashmi won her race over John Reid to be the next Lieutenant Governor. The victories occurred against the backdrop of a historic win in Virginia by Spanberger that will give Virginia its first woman Governor.

Spanberger’s widely predicted win over Republican gubernatorial nominee Winsome Earle-Sears was called 17 minutes after the polls closed in Virginia at 7 pm. Former Delegate Jay Jones won his race against incumbent Attorney General Jason Miyares. His victory means Jones will be the first Black Attorney General in Virginia’s history. Jones’ win was particularly noteworthy since the last month of his campaign was consumed by the issue of private text messages from 2022 to Republican Delegate Carrie Coyner. Republicans ran a non-stop barrage of negative ads against Jones for a month.

Del. Coyner lost her bid for re-election to Delegate-elect Lindsey Dougherty. The Dougherty race was the number one target for House Speaker Don Scott and his campaign lieutenant, Delegate Dan Helmer. Coyner’s defeat was one of at least 13 victories for Democrats who have now added to their ranks in the Virginia House to historic margins. When the Virginia General Assembly returns to session in January, there will be at least 64 Democrats in the chamber. The widespread Republican defeat is a testament to a combination of historic fundraising, Democrats running in all 100 seats, dislike of President Trump’s policies, and an ineffective top of the ticket featuring Lt. Gov. Earle Sears.

+13: Speaker Scott and Del. Helmer Hit Historic Numbers in Fundraising and Power

As the evening ended, a glaring historic fact became clearer: The Virginia House of Delegates will expand to a historic number. The change means the largest Democratic House chamber in the modern era. There were several notable wins by Democrats running for the Virginia House. They include Virgil Thornton, Lilly Franklin, and Kim Pope Adams. Speaker Don Scott and his campaign chair, Dan Helmer, undertook a record fundraising effort never before seen in Virginia’s history. The moment of success for Virginia Democrats will be viewed as a positive signal for Democrats moving into the 2026 elections.