JACKSON, Miss. (WJTV) – Netflix announced a $10 million deposit in Hope Credit Union as one of its first investments in a $100 million initiative to build economic opportunity in Black communities.
In each southern state served by HOPE, for every dollar in net worth held by white households, Black households hold between ten and twenty cents.
Through Transformational Deposits, HOPE imports funds into these communities to make business, mortgage and consumer loans and provide other financial services that build wealth and foster economic mobility.
Over the next two years, HOPE estimates the Netflix deposit will support financing to more than 2,500 entrepreneurs, home buyers and consumers of color.
In a blog, Netflix Director of Talent Acquisition Aaron Mitchell and Treasury Director Shannon Alwyn stated there is much more to be done to narrow the wealth gap.
“Nineteen percent of Black families have either negative wealth or no assets at all, compared to only 9 percent of White households, according to the U.S. Federal Reserve,” they wrote. “Black banks have existed to fight this for generations – spurring economic growth by extending credit in often underbanked communities. But they’re disadvantaged in their access to capital, especially from large multinational companies, when compared to other banks.”
HOPE is the only depository institution in several communities, including Itta Bena, a majority Black Mississippi Delta town.
Companies and individuals interested in making a Transformational Deposit in HOPE can learn more at https://www.hopecu.org/transform.