Afro e-Edition 04-19-2024

Chase to Bring ‘The Experience’ to D.C.Business Owners on May 8

Signature event with informational sessions to provide local business owners with best practices to help grow their business

The nation’s capital may be best known for its historic monuments, museums and galleries, but it’s also a thriving marketplace for ideas and innovation making it a popular destination for entrepreneurs. In fact, the D.C. metro area has one of the top 10 best startup ecosystems in the United States with over 1,000 startups and enterprises.

To help support these local business owners as they start, run and grow their businesses, Chase for Business is inviting D.C.-area business owners to attend a complimentary, all-day expo packed with learning and networking opportunities. The event will take place at Dock5 at Union Market District (1309 5th St NE) on Wednesday, May 8 from 2-7:30 p.m. Attendees will hear directly from leading business experts and be able to network with other entrepreneurs. Activities and topics include:

• During the day (2 p.m. to 6 p.m.) – Participants will have the chance to sign up for personalized marketing workshops with industry experts, network with fellow business owners at The Chase for

Business Octagon, and hear from local experts and market leaders in insightful talk and panel discussions. Additionally, attendees will have the opportunity to snap a professional headshot and stop by the local Chase for Business Marketplace with giveaways from:

o Colada Shop

o Sew Creative Lounge

o Nelson Staffing Group

o Brix Fitness

o Mahogany Books

o Bay Dog

o Union Kitchen

• Entertainment and Networking (6 p.m. to 7:30 p.m.) – Following the mainstage programming, The Experience: D.C. will continue with an evening of entertainment and networking, including food, drink and music.

“Washington D.C. is home to some of the most creative and inventive business owners in the country,” said Ben Walter, CEO of Chase for Business. “They are showing up big for their customers and we want to do the same for them. We hope that they walk away from the Experience: D.C. with a renewed and energized focus, in addition to the tools and knowledge necessary for pushing their business forward.”

The Experience: D.C. is the second of three signature events being held in major small business marketings across the U.S. this year (the others are Atlanta on May 1 and Philadelphia on May 14). These signature events are intended to bring Chase’s national business resources to select cities in a way that is convenient for business owners, allowing them to learn helpful tips and gain access to the resources they need for growing their business.

“D.C.’s growing business community is the perfect

representation of what happens when you mix passion with opportunity,” said Kristina Sicard, Senior Business Consultant at Chase. “Our goal is to show up and support business owners at whatever stage of the journey they’re in. We’re honored to be a part of their business journey and look forward to their continued growth.”

Business owners interested in attending The Experience: D.C. can register @ www.chase.com/ dcevent. Registration is required to attend the event.

For more information about the tools and resources Chase for Business has available for D.C.-area business leaders, visit www.chase.com/business.

The testimonials on this page or provided via linked videos are the sole opinions, findings or experiences of our customer and not those of JPMorgan Chase Bank, N.A. or any of its affiliates. These opinions, findings or experiences may not be representative of what all customers may achieve. JPMorgan Chase Bank, N.A. or any of its affiliates are not liable for decisions made or actions taken in reliance on any of the testimonial information provided.

Lighting the way for a better tomorrow

BGE recognizes the pivotal role of Historically Black Colleges and Universities (HBCUs) in driving education and fostering economic equity. Our investment in the region’s HBCUs creates meaningful pathways to careers in energy through work-based learning activities.

Learn more about how we are shaping the future while advancing your career with purpose.

Investing is key to financial freedom–but why do so few know how?

In the Summer of 1976, my husband and I embarked on a job search, for a variety of reasons. Having managed the New Jersey office of the AFRO for two years, we decided to return to our hometown of Baltimore. With our daughter just six weeks old, we sought positions that would be less demanding and more suitable for our new roles as parents.

One day, we stumbled upon an advertisement for a brokerage firm’s open house. Intrigued, we decided to attend. To our surprise, after a brief company overview, guests were invited to apply and interview on the spot. It was mid-August, and my husband, wearing shorts, stood out among the more formally dressed attendees. I, however, was dressed professionally, albeit in one of the few outfits that fit me well post-delivery. Following a 15-minute conversation, I was invited for a second interview right away and I was eventually hired as an account executive.

Despite lacking a background in finance or investments, I possessed the necessary people, analytical and communication skills, with the assurance that I could learn the financial aspects through their comprehensive, yet intense, training program. Thus, I embarked on eightweek training course in New York, learning about stocks, bonds, mutual funds, real estate investment trusts and more. It was a challenging time, cramming in unfamiliar information, but I persevered. I studied diligently and was among the seven out of approximately 200 who passed the grueling six-hour, no-calculator, multiple-choice examination. It was quite the journey!

Growing up, my grandparents and mother instilled in us the importance of “saving for a rainy day” and paying bills promptly. Yet, it was a real eye-opener realizing how little I knew about finances beyond basic savings before I undertook this training. And most of my friends, college-educated or not, were in the same position. Once I started in my new position as a stockbroker, it was even more apparent that most Black families were not involved in the stock market. I had very few Black clients and many of my friends and family had no interest in learning about the stock market, preferring to invest in what they considered to be safer investments i.e. savings accounts.

Even today, the investment landscape in the United States reflects a significant discrepancy between White and Black families, as highlighted by a 2019 Pew Research Center analysis of Federal Reserve data. The study revealed that 61 percent of White families reported owning stocks, directly or indirectly, compared to only 31 percent of Black families.

This disparity stems from several core factors. Income and wealth disparities play a pivotal role, with White families enjoying higher average incomes and greater accumulated wealth, affording them more resources for stock market investments. Additionally, educational attainment is crucial, as White Americans, on average, achieve higher levels of education, leading to higher incomes and greater financial literacy, both key to stock ownership.

Access to employer-sponsored retirement plans also contributes to the gap, with White Americans more likely to have access to such plans, often including stock investments. Historical factors, including discriminatory housing policies and employment practices, have perpetuated wealth disparities, making it harder for Black families to accumulate wealth and invest in stocks.

Then there are differences in financial knowledge and risk tolerance. Some studies suggest that Black Americans may exhibit greater risk aversion, affecting their lower rates of stock ownership. Disparities in financial knowledge and access to financial advice further exacerbate the gap.

According to the Brookings Institute: “The racial

By Alexis Taylor AFRO Managing Editor

I made my first dollar when I was about 10 years old, spending the summer with my grandparents in Chesapeake, Va. An agreement between my grandfather and I led to the famous flower beds of his Camelot home being weeded and properly cared for, while I earned money for snacks and Blockbuster videos. There was just one problemwith no concept of what a reasonable wage was, I had only asked for 35 cents an hour.

Of course, he didn’t let me slave under the hot, Virginia sun for 35 cents an hour. Ultimately, he gave me about $30 to play in his front yard for a day or two before I moved to my next job: $25 to make his back porch, littered from end to end with equipment for his landscaping business, functional again.

I laugh at how off my demands were. The back porch alone could have netted me $150-$200 easily. But I had no real concept of money. Looking back, my grandfather taught me a valuable lesson that summer: People will gladly lowball you at the negotiation table if you don’t know

wealth gap should be recognized as the consequence of discrimination, public and private, throughout American history and continuing to this day. Nearly 250 years of slavery were followed by a century of Jim Crow segregation and economic exploitation reinforced by statesanctioned violence. Until the latter 20th Century, Black people were excluded from public programs to encourage home ownership and higher education. Black people often receive lower valuations on their homes and earn less money compared to White people performing the same work. Biases in public investment and criminal justice leave Black communities simultaneously underserved and overpoliced, and these civil rights violations also have serious economic consequences.”

Addressing these disparities requires a multifaceted approach, including efforts to reduce income and wealth inequalities, improve access to education and financial literacy, and promote policies ensuring equal access to investment opportunities.

Some of these topics are addressed in this special financial literacy edition of the AFRO. Thanks to managing editor Alexis Taylor and her team, as well as our advertising, production, finance and web teams for their hard work.

The articles are timely and well written on a variety of subjects including “Learning to navigate and manage medical debt,” “Transferring generational wealth” and “Finance tools you can use,” to name a few.

It is our hope that you will not only find these articles relevant to your own financial journey, but that you will pass the information on to your friends and family.

your worth. If you’re lucky— they’ll do the right thing, but those people are few and far between.

As I search my memory over the years, I see mentors like my grandfather, my parents, church leaders, aunts and uncles and even friends who have guided me

financially through the years.

My parents taught me to pay bills on time and stay away from payday loans. It was First Lady Carolyn Phillips in South Carolina who always stressed paying rent and car notes no matter what. Somewhere I also picked up that choosing to live near your job or a bus line that takes you directly to school and work are crucial if you have car trouble with repair costs that can’t be paid immediately. My uncle impressed the importance of always contributing to your retirement- even if your job does not have a plan set up.

As a teen and young adult, money influenced many of my decisions. Honestly, money and a hefty amount of fear and anxiety shaped many of my lived experiences.

When I started my first real job I was 14, making $5.15 an hour. I didn’t want to burden my mother by begging for money to go to the movies or eat out. At 15, I wanted to put my own gas in the car purchased for me. I quickly learned that people have less room to say “no” when it’s your money on the table. As an adult, like many millennials, I’ve delayed starting a family and buying

AFRO Photo

This week, Frances “Toni” Draper speaks on financial freedom during National Financial Literacy Month.

COMMENTARY

Making ends meet is hard enough without a penalty for coming up short

By Brian Carss

Poverty is expensive in this country.

Few things illustrate that truism like overdraft charges and late fees, which are often little more than outrageous penalties for not having enough money. But there are plans in the works at the Consumer Financial Protection Bureau (CFPB) to rein in these abusive practices.

Overdraft fees occur when a customer attempts to withdraw more money from their account than is available, but the banking institution covers the transaction — for a fee.

The CFPB is proposing rules to close loopholes in rules on overdraft fees by establishing a benchmark that banks cannot exceed.

Over a quarter of Americans live in a household that was charged an overdraft fee in the past year, but especially harmed are those who have the least to begin with. These overdraft fees are structured to prey on consumers already in a financially precarious position. The impact skews toward low-income households and people of color. Young people

are also more likely to be affected.

When banks hit people with an overdraft fee, they end up further in the hole — to the benefit of the bank. “Overdraft fees are not so much a useful service as they are a lucrative profit center underwritten by the most economically vulnerable consumers,” said Kimberly Fountain, consumer field manager at Americans for Financial Reform.

Overdraft fees affect credit scores and can even lead to account closures, leaving people without access to banking services altogether. More than any other group, Black Americans tend to be underbanked or unbanked. As with overdraft fees, banks foist the burden of late fees on people living paycheck to paycheck, low to moderate income consumers, and people of color.

More than 80 percent of adults have at least one credit card — and these cards are full of junk fees. Late fees alone cost consumers $14 billion a year — and low-income earners pay about twice as much in fees as higherincome earners. These late fees are not based on any sort of need

for the bank. The CFPB found that banks take a fee almost five times greater than the cost to the bank of a late payment.

These practices also reinforce the racial wealth gap. Data shows that banks have often charged those living in neighborhoods with populations of color a higher interest rate. And places with a higher Black or Hispanic population are charged on average more than $25 in late fees, while in places where the Black population is nearly zero, people pay less than $20.

In a new consumer

protection action, the CFPB is limiting the amount companies can charge for a late fee to a more reasonable $8. Fee reforms work. In 2009, Congress passed the Credit CARD Act, which required banks to give consumers enough time to pay their bills, eliminated retroactive rate increases, and curbed excessive marketing to young

adults. Careful study of the CARD Act found that the market became more transparent and many fees went away. By 2013, the law was saving Americans $20.8 billion a year.

Consumers will appreciate strong action on these issues. And consumers vote! About 82 percent of U.S. adults support lowering the maximum late fee, 68

percent support the 15 day grace period, and 84 percent support requiring companies to remind consumers of late fees. The CFPB should keep at it. Making ends meet in this country is hard enough without being charged for coming up short.

This op-ed was originally published by OtherWords.org

Title insurance helps homeownership for Black Americans and others

By Benjamin F. Chavis Jr.

During the State of the Union, President Joe Biden spoke eloquently and passionately about one of the Biden-Harris Administration’s key priorities: housing affordability. The President’s proposals included ideas that would boost housing supply and make homeownership more attainable for those that are currently being priced out of the market.

While the vast majority of President Biden’s new proposals would thoughtfully address some of the country’s most pressing issues, one idea that flew under the radar was a proposal about title insurance, a lesser known but vital part of the home buying and refinancing process.

It was concerning to hear about the proposal – a new pilot program that would waive title insurance requirements for certain qualified homeowners – as one of the ideas being considered by the Administration to improve access to affordable housing. Given that the program – which was previously abandoned by Fannie Mae last year – only applies to higherwealth individuals who are refinancing properties,

should it be a top public policy priority now for The White House?

It is no secret that high interest rates and a low supply of affordable homes stand in the way of homeownership for low and middle-income families and people of color. According to the National Association of Realtors, the gap between Black and White homeownership is worse than it was a decade ago, with the Black homeownership rate at 44.1 percent compared to the White homeownership rate of 72 percent.

The National Association of Real Estate Brokers (NAREB) in its 2023 State of Housing in Black America reported that “In 2022, the Black homeownership stood at 45 percent, only modestly higher than the level at the passage of the 1968 Fair Housing Act. This disparity between Blacks and Whites has expanded over the past half-century.”

Additionally, data from Zillow shows that only 7.8 percent of Black nonhome owning families have enough income to pay a typical mortgage payment in their area without being cost burdened. This is where the focus should be – on building more homes for those who need

them. We commend the Biden Administration for its work through the Housing Supply Action Plan to do just that. By increasing the supply of affordable housing of all types in our communities, we can expand access to the housing market to those in our communities that are currently shut out and ensure the dream of homeownership is truly available to all Americans.

That is why, while well intentioned, the proposed title waiver pilot under consideration will cause unintended negative consequences in particular for African American, Latino American and other communities of color across the nation. All communities should have access to fair housing opportunities and acquisitions.

Often misunderstood, title insurance is a product that comprehensively protects homeowners’ property rights and their lenders’ financial interest in a property. It is vastly different than other types of insurance because it is a one-time fee and title professionals do the majority of the work upfront to both examine title issues and rectify any problems found. That is why many homeowners thankfully don’t experience

the challenge of a claim that threatens their homeownership – but if they do, title insurance is paramount to protecting their biggest investment.

Some may ask: why do I need to purchase title insurance when refinancing? When refinancing, a homeowner purchases a new loan, and title issues can arise between the old loan and the new loan. For example, if a homeowner does not pay their contractor for repairs to their roof, there could be a lien against the property. Lenders need assurance that if a homeowner defaults on their mortgage, they have first lien priority.

That is why the proposal to waive title insurance on refinancing is extremely risky. If a title issue arose, Fannie Mae and Freddie Mac would essentially turn into title insurers and would have to bear the risk of making lenders whole on those loans. These are the same companies that are under conservatorship due to their role in the 2008 financial crisis which cost taxpayers more than $200 billion and devastated minority communities by chasing profits for themselves. I don’t believe it is prudent to shift more risk to Fannie Mae or Freddie Mac, especially

when the proposal at hand would not meaningfully address the nation’s housing affordability challenge.

This is not a partisan issue, nor is it a new proposal. This same pilot program was withdrawn last year after members of Congress from both sides of the aisle and industry experts criticized the idea. Ed DeMarco, acting director of the Federal Housing Finance Agency (the agency that oversees Fannie Mae and Freddie Mac) under President Obama, stated during a Congressional hearing last May, “It certainly is disturbing to think that Fannie Mae or Freddie Mac might displace title insurance by taking on this insurance itself.”

As the Administration continues to work towards improving housing affordability, first-time, low-income and minority homebuyers should continue to be the focus.

Waiving title insurance on a few refinancing transactions will not move the needle, and it could actually increase risk for little gain.

Homeownership is the largest driver of wealth creation for all Americans.

If we truly want to close the racial wealth gap, we must not only ensure that

homeownership is available to communities of color, but we must also ensure those homes are protected for generations to come.

I urge the Administration, therefore, to reconsider its focus on removing the critical protections provided by title insurance and continue to work on solutions that will truly address the availability and affordability of homes in all communities in America and in particular for underserved communities.

Brian Carss is a communications intern at Americans for Financial Reform and a recent graduate of North Carolina State University. This week, he discusses the Biden administration crackdown on abusive overdraft charges and late fees. Courtesy photo

Benjamin F. Chavis Jr. is president and CEO of the

Photo courtesy of NNPA Newswire

Commentary Transferring generational wealth: Don’t leave it to the law

By Nneka N’namdi and Aisha Snead

Did you know that death facilitates the greatest transfer of wealth? Over the next 25 years, $67 trillion will need to change hands. Death and estate planning are topics that many Black Baltimoreans shudder to think about. However, confronted by the reality of higher rates of mortality, we must be intentional in making plans to handle our affairs in the event of sickness or death. These plans should include what we want to happen with our property after we take our last breath.

Our mortality rates are high in a country where we were once considered property in an estate. This has a profound impact on how we live. Are we living in a home that we legally inherited from our ancestors? How did our family members write down their wishes for care if they could not make decisions for themselves? Did they decide what would happen to their belongings once they died? Are we paying the lowest taxes and fees on the transfer of our belongings to our descendants?

More often than not the answer to all of these questions is “no.”

Nationwide, roughly 70 percent of Black families surveyed in a study released in 2022 by Consumer Reports revealed they had no will or estate planning documents in place. That means nearly twothirds of any possible wealth among Black Americans is sitting in limbo with the state and local municipalities.

In Baltimore, we know from research by Fight Blight Bmore, in partnership with Maryland Volunteer Lawyers Service and Baltimore Neighborhood Indicators Alliance, that there are more than 3,000 properties where one or more owners have died but the deceased person’s name remains on the deed– resulting in future legal difficulties for their heirs. Many of these heirs properties are multigenerational family homes in Black neighborhoods.

Though many of us aren’t passing down our homes properly, we are passing down the trauma of losing them and suffering repeat displacement. This has our “fight/flight” response in a “frozen” state, an Epigenetic Trauma response

that may be keeping us from beginning the process of Estate Planning and costing us more in the long run.

Are we suffering the subconscious memories of our stolen ancestors and their stolen property? It wasn’t until the 1866 Homestead Act, that all Black people could legally own property in the United States. Prior to that, Black Codes like the 1827 Maryland Occupation Acts made it difficult for Black people to own property of any kind. Despite these difficulties, as early as 1798, there were eight Black property owners in Baltimore.

However, limited access to

University of Maryland Medical System Is Advancing Access to Cancer Care in Prince George’s County

University of Maryland Medical System is bringing high-quality, comprehensive cancer treatment to Prince George’s County with the Cancer Center at UM Capital Region Health, part of a new 100,000-square-foot Center for Advanced Medicine on the UM Capital Region Health campus in Largo.

Breast, colon, lung and prostate cancers are prevalent in Prince George’s County, and specialists at the Cancer Center diagnose and treat these cancer types, as well as lymphoma, melanoma, pancreatic and sarcoma. Specialists employ a full range of services to provide treatment, including medical oncology and chemotherapy, radiation oncology and surgical oncology.

Focused on Holistic Patient Care

The team at the Cancer Center focuses on each patient’s emotional well-being throughout their treatment journey. Services provided to patients include counseling, financial assistance to those who qualify, nutrition guidance and social support. A nurse navigator with medical and institutional knowledge helps patients navigate the complexities of scheduling their care, answers questions about treatment and connects patients with available services and resources.

Private suites equipped with sofas, televisions, and adjoining examination rooms provide a comfortable environment inside the new Cancer Center. More importantly, this arrangement allows patients to stay in one place and have multiple providers come to them, eliminating the need to schedule multiple appointments and visit multiple locations.

This multidisciplinary, patient-centric approach provides exemplary cancer care in a setting designed to reduce stress and anxiety.

Connecting with Prince George’s County For one provider, making an impact in this

community is personal. Dr. Melissa Vyfhuis grew up in Prince George’s County, and today serves as the Cancer Center’s medical director of radiation oncology.

As a first-generation Dominican American, Dr. Vyfhuis’ experience as an adolescent translator for her parents and grandparents at their medical appointments taught her the value of connecting with patients and ensuring they are actively involved in and understand their course of treatment.

Access to an Integrated Network of Specialists

When the need arises, specialists at the new Cancer Center at UM Capital Region Health work with their partners at University of Maryland Greenebaum Comprehensive Cancer Center, a National Cancer InstituteDesignated Comprehensive Cancer Center. This relationship is key to enhancing cancer care for Prince George’s County, and provides access to the latest treatment advances through a comprehensive medical network.

For a Healthier Prince George’s County UM Capital Region Health is committed to helping the community live longer, healthier lives. The new Cancer Center brings that commitment to life by delivering advanced cancer care in one central location and providing support services throughout a patient’s treatment journey.

homeownership. Not having an estate plan can result in the loss of a family home, any equity and thereby that family’s largest source of wealth.

If a property owner requires long term or skilled nursing care and they receive Medicaid to cover medical costs, the program can place a lien against their home for the cost of the care and can eventually force the sale of the home in order to “recapture” their money.

lawyers and protection under the law created barriers for Black property owners to leave assets to their heirs. Sadly, this is still the case. How many of us have family stories of loss through “land grabs” like “Ground Rent,” “Squatter’s Rights,” “Tax Sale,” “Eminent Domain” or “Urban Renewal”? Would estate plans have stopped tyranny and terror 150 or even 50 years ago? Probably not, but in the present, the cost of not having an estate plan is too heavy.

Financial “experts’’ and Politicians both use buzzwords like “generational wealth,” yet continue to create and support laws that increase vulnerability of property loss for Black people. Black wealth remains in a continual cycle of loss, as Black families are typically starting every generation at zero. 43.8 percent of Black wealth is attributed to

On the other hand, in cases where the homeowner has created a life estate without powers (Life Estate Deed), the deed can protect their home. The catch is you must have the life estate in place for 5 years prior to needing long term or skilled nursing care. Then Medicaid can no longer legally place a lien on the property or force its sale. This is but one example of how not having an estate plan can be too costly. There are also property transfer fees and taxes which can be avoided with proper estate planning. A quick and easy way to avoid the costs and complications of transferring assets after death is through beneficiary designations. These state who should be paid upon death (POD) on all accounts (insurance, retirement, investment and any bank accounts) and who should receive vehicle transfers upon death (TOD).

There is a misconception in the Black community that estate

planning is for the wealthy. This is false. Estate law applies to all without respect for income or net worth. Even if you don’t own property, estate planning can be used to define your care if you’re no longer able to make decisions for yourself (advance medical directive and living will). A financial power of attorney (POA) assists you with legally designating a person to take care of your finances while you are living and unable to, and much like the family Bible, you can use estate documents to create a historical record regarding your life and death, known as a will.

Taking the time and energy to plan for our death is one of the ways we can begin to address the trauma of property theft and displacement. It also relieves our loved ones of the burden of making these decisions for us so that they may begin to grieve. Without these plans, Black families are left at the mercy of the law to decide who should get what and how much it will cost them to get it. Estate Planning is a kindness to your loved ones, and promotes unity within families. It is planning your legacy. So, let us be selfdetermining and make choices that support our dignity. We can’t leave it solely to the law. You may be eligible for no cost estate planning services. For more information, contact Maryland Volunteer Lawyers Service.

Nneka N’namdi (left) founder of Fight Blight Bmore, and Aisha Snead, coordinator of advance planning for the Maryland Volunteer Lawyers Service, weigh in on the importance of securing and transferring generation wealth via death and estate planning.

A time to plan: You have your college refund– now what ?

By Ariyana Griffin Special to the AFRO

A refund check is received when a student at a college or university has loan money or financial aid funds that are left over after paying for a semester. The school will use the funds provided for big ticket items such as tuition, books and room and board, with any remaining funds disbursed to the student in the form of a check or direct deposit. The infamous “refund check,” as it is often called, is usually dispersed several weeks after the start of the semester.

The amount ranges per person, it can be a few hundred or a few thousand. What students do with their refund money can help them tremendously in the future– if they budget and plan properly. But, sometimes this is the largest amount of money a student has seen at one time, making it hard to manage the money and make good decisions on how to utilize it.

While buying into the latest trends or splurging on your wish list seem

like a great idea, there are a few alternatives that could help you throughout your collegiate career and beyond.

Yasmin Eady, a first year Ph.D. student at North Carolina A&T shared that using your refund to handle necessities first can really put you ahead of the game and have less stress throughout the semester.

“If you’ve made it without the refund check, you can continue to make it without the refund check. So that means take it, deposit it [and] leave it alone.”

because you can use it for school,” she said. Eady also suggested using the money to pay off a few months of rent, or using the money to build up an emergency fund.

Similarly, Dr. Kelly Carter, an assistant professor of finance at Morgan State University’s Graves School of Business, expressed that saving the excess money– after taking care of necessities– is the best thing you can do.

“If you are going to buy a new laptop or tablet, keep the receipt so you can write it off on your taxes

“If you’ve made it without the refund check, you can continue to make it without the refund check. So that means take

in terms of laptops or iPads,” said Thomas. “I also am an out-of-state student, so I struggle with transportation. Over time, I was able to invest a down payment for a car,but I ensured that I had a job at the university that would cover payments and things like that.”

Christine Harris, a Shaw University alumna, shared that she used her check to go on her first solo trip.

it, deposit in [and] leave it alone,” said Carter. He shared that paying off credit card debt is important, however it is important to only spend what you have on your credit card. “You only take on debt that you can afford, only debt that you can pay back,” he said.

Taylor Thomas, a senior biology student at Morgan State University and a student worker for the Office of Student Success and Retention expressed that she used her refund check to invest in herself.

“I invested into my schooling, whether that be new equipment

“I went to Jamaica for a week. It was my first time traveling alone as when I traveled internationally it was studying abroad,” Harris said. “I don’t regret what I spent my money on. The memories I made were priceless.”

Erika Berry, a bank teller, encourages people to have fun and make memories that will last a lifetime as well.

“As a banker I could give you some great advice about saving or paying off debts but, instead I’m going to advise you to blow it!

Now, before you just start throwing the money up in the air and rolling around

on the fresh rainfall, I’m saying that I want to see you invest in yourself!” said Berry.

She brought up some good questions for someone with the new lump sum of money to think about.

“Do you have your passport? Is there some beat making software that you’ve been interested in? Perhaps you’d do well with a ring light to make better content for your page,” she said.

All of these could be used as an investment in yourself and your career in the long run. However, think about what things you would need to invest, and how you can best use them.

“Basically, my advice would be to purchase things that will bring you joy now and later– being smart with your money doesn’t mean not having fun with it,” said Berry.

There are plenty of ways you can spend your money when you get a refund check, but the best thing you can do is put extra thought into how you want to spend the money before you do.

Finance experts say using a bit of wisdom in spending or saving your college refund can be a big step towards financial freedom in early adulthood.

Unsplash/Yuri Krupenin

Investing 101: Schelo Collier, founder of Black Women Invest, speaks on making your money

By Megan Sayles AFRO Business Writer msayles@afro.com

Schelo D. Collier likes to say she became an investor before she even knew what investing was. In middle school, she used her weekly allowance to buy snacks to sell to her classmates at double the price she purchased them for. Collier was, in essence, buying low and selling high.

In 2019, she founded Black Women Invest to foster a community for likeminded Black women to learn about investment and wealth-building topics. The network has grown to nearly 15,000 members and regularly engages in financial wellness trainings, investment brunches and international real estate tours.

For Collier, investing is key to the Black community building wealth. Homeownership has long been recognized as a determinant of wealth. However, Black people have

below have been edited for length and clarity.

Q: How early should someone start investing?

grow

A: As soon as you start making money. At 18, you can open up a brokerage account on your own and manage it. If your job offers an employer-sponsored account, like a 401(k) or 403(b), you should start investing in that even if you don’t fully understand it just yet. You can also start investing for your children even before they’re born through an account like a 529 Education Savings Plan.

Q: What options do people have for investing?

A: Outside of stocks and real estate, there’s cryptocurrency. You could also put money into a high-yield savings account, and it will gain interest. You can invest in bonds, which are essentially an “IOU” from a company or the government. They tend to be less risky than investing in stocks. You can also invest in money market funds and index funds.

“Since investing allows people’s money to work for them, it speeds up the process of closing the racial wealth gap.”

significantly lower rates of homeownership compared to their White counterparts due to discriminatory housing policies and limited access to credit.

Investing can contribute to economic empowerment for Black communities.

“Since investing allows people’s money to work for them, it speeds up the process of closing the racial wealth gap,” said Collier. “Someone who is just saving and putting money aside or in their mattress is not going to create real wealth. Their money is going to technically depreciate because it’s not going to win against inflation.”

The AFRO connected with Collier to gain insights into investing basics. The responses

As far as alternative investments, there’s venture capital. You can also invest in specific assets, like gold and oil, or privately into a company.

Q:What are some common misconceptions about investing?

A: One–that you need a lot of money to start investing. You can actually invest in the stock market with as little as $1. What you really need is a plan. You need to have a blueprint of what you ultimately want to achieve. Then, you can work backwards and determine what type of investments make the most sense for you.

The second one is that investing is very complicated. When you aren’t familiar with something, you can feel like you’re never going to understand it. I always tell people it’s like starting a new job. In those first few weeks, you think: am I ever going to be good at this? But, after a few weeks, the things you do become second nature, and it’s the same with investing. The more you dedicate time

you’re going to respond to your investments not going as planned right away. I always discourage people from downloading stock trading apps on their phones so they don’t make decisions based on fear or excitement. You can’t allow emotions to cloud the way you think about investing.

Q: What tips would you give people for reducing risks in investments?

A: The first thing is diversification. You can’t just put all of your eggs in one basket. You should spread your investments across different asset classes, sectors and geographic locations. That way, if one sector, one company or one particular part of the market performs poorly, it doesn’t completely wipe out your investment portfolio.

to learning, the easier it becomes.

Q: What should people avoid when investing?

A: It’s a really bad idea to chase hot stocks. By the time a majority of people hear about a stock and start buying it, it’s typically already overpriced. I think it’s more valuable to focus on understanding industries and to create a longer-term strategy to buy and hold stocks.

You also should avoid emotional investing. You don’t really know how

You should also employ dollar cost averaging. This is a strategy of continuously investing a fixed amount regardless of what’s happening in the market and regardless of the price. If you decide that you want to invest $100 a month into a particular fund, you continue to do that at the same time and same amount no matter what. This helps you pay a lower average price overtime.

In regard to the stock market, investing in low-cost index funds is also going to help you mitigate risk. With real estate, you want to find properties that are in the best location, and you want to have a credible real estate team.

Megan Sayles is a Report for America corps member.

Photo courtesy of Schelo D. Collier Schelo D. Collier is the founder and CEO of Black Women Invest, an online community designed to help Black women become strong investors and achieve financial freedom.

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Demystifying Postpartum Depression

The postpartum period is often depicted as a time of overwhelming joy and bliss, but the reality for many new parents is far from that idealized image. It’s important to note first— postpartum depression (PPD) and anxiety (PPA) are very common, affecting one in eight women. But it can be difficult to distinguish the difference between the normal challenges of new parenthood and the symptoms of postpartum depression and anxiety.

While it’s common for 50 to 80% of women to experience mood changes after childbirth, persistent symptoms beyond two to three weeks may indicate a more serious condition. There is also a misconception that postpartum depression only affects biological mothers. Adoptive parents and fathers are also susceptible to PPD.

Seeking connection and support during the postpartum period is essential. Having trusted friends or a select few online resources can be good to turn to for guidance and emotional support as well as combating feelings of loneliness and isolation, which often exacerbate PPD symptoms.

If PPD or PPA feels manageable for you, simple practices like:

• Breathwork and spending time outdoors can promote mental wellbeing

• Focusing on sensory experiences, listening to sounds, or observing nature can help bring focus and calmness during moments of stress or anxiety

• Recognizing and challenging negative thought patterns

• Engaging in physical activities like jumping jacks or cold showers can help shift physiological responses and alleviate stress

• Writing down thoughts and feelings can be a cathartic way to process emotions and clear the mind, particularly before bedtime to aid in relaxation and sleep

• Encouraging open and honest communication with friends, family, or support groups can provide validation, connection, and practical assistance in navigating the challenges of parenthood.

If PPD or PPA does not feel manageable, seek professional help from counselors, therapists, or healthcare providers, especially if symptoms of depression or anxiety persist or worsen. Appointments with pediatricians in the early days are frequent, and pediatricians can be great resources. It is common practice for pediatricians to conduct depression screenings with parents at newborn visits.

Utilizing national hotlines and helplines for maternal mental health support can provide immediate assistance and guidance in accessing resources and professional help.

Exploring local community resources, such as postpartum support groups, breastfeeding support programs, or maternal health services offered by hospitals or healthcare centers, can also provide valuable support and connection with other parents experiencing similar challenges.

Lastly, it’s important new parents practice selfcompassion and reaching out for help when needed, whether it’s through healthcare providers or trusted individuals in one’s support network.

Ultimately, normalize conversations about postpartum depression and anxiety. By destigmatizing these mental health challenges and fostering a supportive community, new parents can feel empowered to seek help and prioritize their mental wellbeing during this transformative period of their lives.

For more information and resources on PPD, PPA and other important parenting topics, listen to GBMC HealthCare’s Practical Parenting podcast wherever you listen to podcasts. New episodes can be found at www. gbmc.org/podcast

Healthy financial habits

Continued from A3

a house— both because of fears related to money.

I have seen first and second hand what the privilege of money and good financial habits can do.

I have seen how people who have money are less stressed, meaning fewer stress-related medical issues and happier times with their families.

I’ve also seen money both tear couples apart when they have opposing financial habits and bring people together as they take financial steps in stride. I’ve learned how money is a convenience, as women with money order food or pay a maids, in turn giving them time to relax or take time for themselves. But all of the benefits of being financially stable and “well-off” were the result of exposure to good financial behaviors, discipline and education on how to budget, save and properly spend.

True financial freedom requires a change in mindset, and commitments to things like spending less at certain points so you can enjoy the fruits of your labor even more, later.

Building good financial habits can be hard work. But what I have learned is that it is never too early- or too late- to start practicing good money habits and improving financial health. And in the Black community, that means opening up and sharing the stories and lessons learned—good and bad. I can honestly say it’s the lessons of financial failure that have helped me avoid things like bankruptcy, predatory loans and the stress of living paycheck to paycheck.

In this edition of the AFRO, team members shared the best financial advice they’ve ever received, but they also opened up about a time they ran into inancial trouble. This month, I encourage all of our readers to share the financial lessons they’ve learned over the years with a young person.

Have you undersold yourself in a business deal before? Have you filed for bankruptcy or lost money in a scam? April is the perfect time to show the financial gems you have picked up over the years– even the ones that came with a few pain points.

Drowning in student loan debt? Black millennials share keys to financial freedom

By Laura Onyeneho The Houston Defender Word In Black

Joanne Pierre-Louis dreamed of pursuing higher education and building a successful career, but like many young Americans, she faced the daunting reality of student loan debt. Armed with ambition and determination, she embarked on a journey to tackle her financial burden head-on, determined to free herself from debt.

For Pierre-Louis,38, the road to financial freedom was paved with discipline and sacrifice. After graduating from Ohio State University with over $100,000 in student loan debt in 2011, she knew that paying off her loans would require a strategic approach and unwavering discipline. Over 13 years, Joanne diligently chipped away at her debt, making consistent payments and prioritizing her financial goals.

“I graduated with a degree in sociology, but I didn’t know what I wanted to do after I graduated with it. I got a job in finance working as a mortgage loan officer for JP Morgan in Dallas for a $45,000 salary,” she said. “I had to pay rent, insurance, buy food and soon realized that this salary was nothing, especially when my student loan payment was $800 [a month].”

Repayment challenges

Her journey was not without its challenges. Joanne faced setbacks and obstacles along the way, navigating a job layoff, packing her bags, and moving back home with her family to figure out how to tackle the debt. She considered herself privileged to live at home and save on significant expenses, which helped her make large payments over time.

“My federal loans were about $5,000; the rest were private. There were no refinance options, and interest rates were at 8.9 percent and growing every day, so I had to pay them, even during COVID,” she said. “I eventually hired a career coach to find ways to make more money, and I got an almost $40,000 pay increase. Over time, I eventually cracked six figures, but I had to be disciplined enough to pretend I was making $50,000 or living way below my means to pay off debt.”

She took on a full-time job, a part-time job at Macy’s, and her makeup service as a side business. She aggressively paid between $1800-$2,400 a month, not including other expenses. Now, she is $10,000 away from being debt-free.

“I plan to pull $5,000 for my retirement and $5,000 from my savings, and I’ll be done in April. Mind you, I did this while still having a life, traveling and enjoying my hobbies,” she said. “Also, being a Black single woman making six figures with a bachelor’s degree, I have no interest in getting a master’s. But I encourage people in college to research the return on investment on their degrees.”

Struggles of paying off private student loans

Many Black millennials have taken proactive steps to tackle their student loan debt and achieve financial stability in recent years. From budgeting and saving to strategic debt repayment

“I worked about three part-time jobs. I was under a graduate repayment program paying $350, but as soon as it ended, it blew up to $800 a month, and I just didn’t have it,” he said. “I ended up consolidating my loans to give me a lower interest rate and payment.”

He has made progress. He owes about $30,000 on his debt and predicts it will take him nine more years to become debt-free.

“Any extra money I get, I throw it at the loan. Monetary gifts and tax returns, too,” he said. “I’m at the point where I can safely budge around these things.”

As a married man with hopes of growing his family, conversations about money with his spouse are a top priority for him. They discussed their relationship with money, management and career advancement goals.

“Transparency is key. We broke down the numbers, how much we needed to start a family, and learned what we could do differently,” he said. “I’ve been teaching for more than ten years as a placeholder for when I could finally quit my job to get into entertainment, and my wife advised me to treat my position like a career and take on more responsibilities and ask for more pay. It was the best decision.”

Parents want the best for their children — to see them thrive, graduate college, get a good job and start a family of their own. Young adults turn to their parents for advice and, on occasion, financial assistance to achieve these key milestones of adulthood.

Texas resident Kayla G., 28, is one of those young people. She used a full-ride scholarship to get through college, but her parents provided support — filling out her FAFSA and paying for groceries — while she completed her undergraduate degree. After graduation, she moved home rent-free, got a marketing job, earned a master’s degree and paid off her car.

While rent is not something she worries about, she does cover other expenses, including her phone bill, car insurance and health insurance.

“They definitely don’t just pay for everything, and I’m not living a complete ‘princess life’ over here,” she tells Word In Black. “But it is helpful. For all of my 20s, I’ve been able to save.”

According to the Pew Research Center, 23 percent of young adults in America say they are mostly financially independent, while 45 percent say they are completely independent from their parents. The study doesn’t break things down by race, but other research gives insights into the Black parent and Black young adulthood experience.

Links to the racial wealth gap

A 2021 study exploring the intersection of the Black-White wealth gap and parental financial assistance by researchers and professors at The New School and the State University of New York at Buffalo found that for some Black parents, giving money to their young adult children is quite difficult — through no fault of their own. Their ability to financially assist is not only affected by the long-standing racial wealth gap, but it can also contribute to its widening as well.

“The racial wealth gap is largely linked in an intergenerational way to policies and structures in which Black people have been excluded from,” says Darrick Hamilton, Henry Cohen professor of economics and urban policy and founding director of the Institute on Race, Power and Political Economy at The New School. In other words, it may be easier for White people to build and maintain wealth than it is for Black people because of government policies, for example, such as ineligibility for benefits from the G.I. Bill after World War II. Black young adults are less likely to receive financial assistance from parents for education, homeownership, and other things than their White counterparts. 14 percent of Black people surveyed for the study reported receiving parental aid for college, 2 percent for homeownership, and nearly 20 percent for other reasons.

The researchers wrote these numbers are low in comparison to White survey takers, not because Black parents don’t want to help their children. The inability to give has more to do with the “socioeconomic position of Black parents,” and “in turn, translates into the intergenerational reproduction of the racial wealth gap.”

strategies, these individuals leverage their resources and ingenuity to overcome financial obstacles and build brighter futures.

During President Joe Biden’s recent State of the Union address, he noted that four million people received federal student loan forgiveness since he took office and is working on a new plan that could expand relief even more. Unfortunately, many people, like elementary school educator Daniel Kemper, have private loan

“Over time, I eventually cracked six figures, but I had to be disciplined enough to pretend I was making $50,000 or living way below my means to pay off debt.”

payments, which aren’t eligible for income-based repayment plans.

Borrowers collectively shoulder $128 billion in private student loans, which make up 7.3 percent of the $1.76 trillion student loan market. Private loans are rarely forgiven. That only happens when you are permanently disabled or dead.

Kemp graduated from New York University in 2009 as a theatre major with $75,000 in student loan debt. He wanted to be an actor, but he soon realized how difficult achieving that goal would be. He didn’t have any jobs lined up and even though his parents supported his dream, they couldn’t help him financially. So he applied to multiple temp jobs and stomped the pavements, handing resume copies to employers.

Kayla’s three

until recently.

“Those conversations are happening, and there may be some shifts,” she says. “I can’t say they ever said they felt like we were taking money out of their pocket — not verbatim, at least — but I definitely feel like there’s starting to be a bit of financial strain because we’re all grown.”

On the flip side, that same 2021 study noted Black young adults fare better in terms of income and net worth when they have assistance from their parents. This has been the case for Kayla. She says thanks to her parents, she’s been able to “grow up slowly” and prepare for her 30s by learning how to budget, save and invest.

“I think that’s a really undervalued thing in our society because everyone’s so quick to grow up fast and jump right into the world,” she says. “Being home has allowed me to mature slowly. I feel like I’m much wiser about things like how I view money. I’m better prepared to kind of go out there, and when I’m ready because I’ve been able to save up, I can purchase my own place.”

Here are the action steps to consider when paying off student debt:

Pay more than the minimum due

Interest and fees make up most of the minimum payment for student loans. That implies that the principal—the total amount you borrowed—will only receive a small portion of your funds. Furthermore, interest and fees will accrue over an extended period if the principal is unpaid. Without significantly reducing your actual debt, you can end up paying hundreds of dollars in interest over time.

Keep expenses as low as possible

Continue living on a budget, even if you have an increase in income. Lifestyle inflation can have significant impacts on your finances and expenses over time. It might lead you to prioritize immediate gratification over long-term financial security. If you lose income, such as from a layoff, you might find yourself without savings to fall back on.

Get a side hustle

Getting a second job to supplement your income can help if you’re having trouble paying off debt or want to pay off your balances more quickly.

Make biweekly payments

Change the payment schedule from automatic monthly to automatic biweekly. Paying every two weeks results in 13 payments annually as opposed to 12. This makes it easier to pay down your student loan burden quickly without realizing it.

This article was originally published by Word In Black.

Many young adults rely on parents for financial support, but the racial wealth gap makes Black families less able to help.

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Black millennials share how they pay off thousands in student loan debt.

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Festina Manly-Spain speaks on inspiring the next generation of youth and finance professionals

By Layla Eason Special to the AFRO

In honor of National Financial Literacy Month, the AFRO explored how to build positive, healthy financial habits in youth and how to improve Black representation in the finance world.

Festina Manly-Spain has made it her mission to aid children in understanding financial literacy. She works to

foster generational wealth by exposing youth to finance topics and careers in the finance industry. As a certified public accountant, she spoke with the AFRO about representation in her field and the mentors who put her on the path to success.

Financial literacy in the Black community

Q: Where do challenges with money and financial literacy in the Black community stem from?

A: It’s a conversation that is not being had in the household–and especially in Black households. This is not something we’re sitting down and actively talking about. I think that is the biggest gap: we see money as something passive. In reality, money is something that we should be actively seeking and actively talking about–especially for Black and minorities.

Financial literacy for students

Q: You have a program called “Little Finances,” what inspired you to strike out and start this?

A: My daughter was a source of inspiration for me. The program “Little Finances” was born to break that taboo mindset of not talking about money with younger children. Studies have even shown that teaching kids about money empowers them. In the program, I try to subconsciously put financial literacy vernacular in their world, which aids them in grasping the concepts of basic finance. This eventually inspired the financial literacy alphabet flash cards.

My daughter was curious about money. She would ask me what the dollar bill was. When we were in the grocery store, she’d be curious about my debit card. So that’s when we created, together with my daughter, the ABC’s of money flash cards. We’re taught that “A is for apple.” We’re never taught that “A is for assets.” Why is that? Because we don’t have the conversation.

My number one goal is to empower my daughter and little ones by letting them know that money is a positive thing. I found that talking with business owners and adults in general, they speak about money in a negative emotion at times. I aim to change

that narrative and reflect a positive emotion towards it because money should be used as a tool that helps us reach our goals.

Q: How does learning about money at an early age set children up for the future?

A: Fostering financial literacy begins at home, where parents play a pivotal role in modeling responsible money management behaviors and discussing financial concepts with their children from an early age. This includes teaching the basics of budgeting, saving, and the importance of investing for long-term financial security.

Q: We know that schools teach math- but what can they do to help students build financial literacy?

A: Integrating financial literacy into schools equips students with essential life skills that extend beyond the classroom. Incorporating practical lessons on topics such as banking, credit, taxes, and entrepreneurship helps prepare students to navigate the complexities of personal finance in adulthood. Some companies are targeting Black youth to teach them how to handle their finances and work within financial industries due to there being such a low number of us in it.

Tips for teaching children about financial literacy

- Start early and introduce the basic concepts of finance through activities and programs, similar to Little Finances, that model good financial behaviors

- Teach budgeting/saving through real-life scenarios. You can even allow them to financially manage their allowances

- Be honest with your children about how money works so they understand the reality of what money is

- Don’t speak about money in a negative tone. Your children should not be in fear of money and understanding it

Festina Manly-Spain is a certified public accountant that works to empower the Black community by helping people make informed business decisions.

She also has a passion for teaching youth the importance of healthy money habits through her program, “Little Finances.”

Entrepreneurship and Black finance professionals

Q: How many Black people are in the finance space? And how often do you come across women who are of color in this area of work?

A: There aren’t a lot of us. I believe the statistics say less than 5 percent are Black. I believe that number is even smaller when it comes to females because finance has been a maledominated space. You don’t see a lot of females in this space. You don’t see so you don’t see a lot of females in this space.

When we’re in college, we’re groomed to get internships and go into the workforce of the world. These are great places to learn but they don’t teach you about entrepreneurship.

Q: Can you talk about some of the people who helped you get on this path to entrepreneurship? Who were some of your mentors? Who were some of the people who you look up to in this line of work?

A: Within my own family, my mom is an entrepreneur. She had her own business and I saw that growing up. I was in awe of that. This was when I was very little and it left a lasting impression on me. I never thought I was going to be an entrepreneur, but she left that imprint in my head like “this is what you’re going to do.”

There are also mentors in my field, people that I’ve worked with as well. Although they didn’t take the entrepreneurship path, they really helped me sharpen up my skills in order to do what I’m doing now.

Q: Can you go back to the business that your mom had? What kind of business was that?

A: We are from Sierra Leone, West Africa, where being an entrepreneur is not an outlier. It is very common for people to venture out into business for themselves, and that’s one of the most common jobs you will see. I think in that context, it wasn’t anything special, but when you flip it and you’re in the United States–and we’ve been here for most of my life–looking back she was doing something great.

“Historically, Black communities have faced systemic barriers to accessing financial education and opportunities in finance-related career fields. To address this disparity, concerted efforts are needed to increase representation and diversity within the finance sector.”

She was a female and she had her own business. She had staff! She was doing something incredible that most people here are not. They may be scared of doing that, they may not be empowered to do that.

In that context , she was very much empowered, and our family supported her. My dad supported her, her parents supported her. I think that a support system is necessary when you are in the entrepreneurship field.

Q:What can be done to steer Black people toward finance careers?

A: Historically, Black communities have faced systemic barriers to accessing financial education and opportunities in financerelated career fields. To address this disparity, concerted efforts are needed to increase representation and diversity within the finance sector.

One approach is establishing mentorship programs and networking opportunities specifically tailored to aspiring Black professionals interested in finance careers. These initiatives help bridge the gap between ambition and opportunity by connecting aspiring talent with seasoned professionals who can provide guidance and support.

Q: Diversity, equity and inclusion (DEI) programs across the country are being cut. Why is it important to keep these programs in the finance industry?

A: Promoting diversity and inclusion within financial institutions is essential for fostering an environment where all individuals feel valued and empowered to succeed. By implementing inclusive hiring practices, offering professional development opportunities and creating supportive workplace cultures, organizations can attract and retain diverse talent.

Cultivating financial literacy in youth and promoting diversity within finance careers are integral steps toward building a more inclusive and equitable financial landscape. Collaborative efforts between families, schools, communities and organizations empower future generations to achieve financial success and create a more diverse, vibrant finance industry.

Tips for increasing the number of Black finance professionals

- Establish mentorship programs and networking opportunities specifically tailored to aspiring Black professionals interested in finance careers

- Connect aspiring finance talent with seasoned professionals to gain more insight into the finance industry and how to navigate their way through

- Promote diversity and inclusion within financial institutions to foster an environment where all individuals feel empowered to succeed

- Offer internships/fellowships that increase financial education amongst Black people to better develop their skills

Photo courtesy of fmsadvisory.com

The Little Finances program includes a unique twist on the traditional ABC flash cards Photo courtesy of Littlefinances.com

Inside look: How funds to help Black businesses are coming under attack

By Dayvon Love

The Fearless Fund is a venture capital fund that targets investments in Black and Brown women-owned businesses. This fund was founded by three Black women who recognized the disparities in access to venture capital for Black women-owned businesses and have been working to address this issue.

A White conservative activist named Edward Blum, through his organization called American Alliance for Equal Rights, has led litigation efforts against the consideration of race in college admissions which resulted in the recent Students for Fair Admissions Supreme Court ruling that significantly reduced the consideration of race in college admissions. His organization sued the Fearless Fund, claiming that its focus on grantmaking for Black women was discriminatory.

Those of us with a radical political worldview would engage initiatives like the Fearless Fund as an example of Black capitalist approaches to problems that do not fundamentally change the existing social and political order. While this effort will help individual Black people get access to resources that might allow them to be in a position to do some social good, these efforts are limited in bringing

the revolutionary change needed to truly empower working-class Black people. But, there are important political issues at stake for those of us interested in building revolutionary alternatives to the status quo as it relates to the case against the Fearless Fund.

If we are interested in a radical economic redistribution of resources that we can get into the hands of the masses of Black people, it will require targeted investments of public dollars into entities that have the institutional and administrative infrastructure to receive those investments. Additionally, it will require these entities to have governance structures that ensure democratic community control of these resources.

The Fearless Fund lawsuit is important in this regard because

a ruling against the Fearless Fund could be weaponized against more revolutionary investments in Black people leaving only universalist, class-based policies that do not address the investments needed to build independent Black infrastructure for workingclass people to practice selfdetermination.

Investing resources in a community is not as simple as just giving people money. This society is structured on White and European colonial domination of every aspect of human endeavor; Black people need to change our relationship to global finance capital. Currently, when resources are invested into our community, the institutions that decide which Black people and communities get resources are

not controlled by working-class Black people. These institutions are usually controlled by a White-dominated but multiracial class of gatekeepers who are ultimately accountable to institutions outside of our community. The result of the Fearless Fund is that it is developing institutions that can receive and distribute large sums of resources to people in our community who traditionally would not have access to it.

Getting more Black women entrepreneurs access to venture capital can have a positive impact on those Black women who would not have access to those resources otherwise. However, from my perspective, something larger is at stake, and that is, a ruling that would create additional hurdles to advancing policies that target resources specifically to Black people. The people who are believers in the notion that this system of White monopoly capital can be reformed to serve Black people will pay attention to the Fearless Fund proceedings to assess the potential challenges this poses to other similar efforts. For those of us who are looking for more revolutionary economic alternatives, the Fearless Fund lawsuit is important for us to address the ways this gets weaponized against specific investments in the Black masses.

Dayvon Love is director of public policy for the Baltimorebased think tank, Leaders of a Beautiful Struggle.

Courtesy photo

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T-Mobile just unraveled its Price Lock guarantee for new customers. Avoid the Un-carrier. Stick with X nity.

For us, by us: Five finance books to read by Black authors

By Gene Lambey Special to the AFRO

April is a National Financial Literacy Month, making it the perfect time to read up on all things related to money. Check out the list below and see which book is the perfect fit for you and your home library.

“Cashing Out: Win the Wealth Game by Walking Away” is a book written for Black people looking to improve their lot in life on their own terms. The book is written by Julien Saunders and Kiersten Saunders, and focuses on how to break free from corporate America.

Cashing Out: Win the Wealth Game by Walking Away (June 2022)

Written by Julien and Kiersten Saunders

Number of pages: 272

The AFRO recommends “Cashing Out: Win the Wealth Game by Walking Away” for avid readers looking to reach financial freedom. The authors, Julien Saunders and Kiersten Saunders, address spending habits, saving, earning and investing from the Black perspective. The book teaches readers how to break the mold from the ties of corporate America and build their finance.

The pair has a podcast, titled “The Rich and Regular,” along with a Youtube channel called “Money on the Table.” For more information, please visit https:// richandregular.com/

young adults to teach them about healthy spending habits, how to budget your money and many more important lessons. Check out this book if you have teens or young adults in your home.

The Guide to Black Wealth (February 2021)

Written by Sheldon Campbell

Number of pages: 118

Written by Sheldon Campbell,“The Guide to Black Wealth” helps readers with ways to build their wealth. The author addresses how to budget your money, cut expenses, save money, invest in the stock market and much more with a focus on finances for men.

The Battle of Finance and Fame (March 2023)

Written by Lisa McCorkle

Number of pages: 156

“The Battle of Finance and Fame” is a novel about a young hip-hop lyricist named “Chat” who enters the music industry. Teens and young adults alike are taken on a journey with Chad as his star rises to fame. Will he manage his spending habits and avoid debt? Being a hip-hop lyricist earns money, but what comes after? The author, Lisa McCorkle, wrote this novel for teens and

Get Good with Money (March 2021)

Written by Tiffany Aliche

Number of pages: 368

“Get Good with Money,” is the perfect book to help the average American understand and use money effectively. The author, Tiffany Aliche, presents a 10-step plan for obtaining financial security and a calm mind around your finances. Pick up this book today if you are looking to build generational wealth through financial wholeness.

Financial Freedom for Black Women (May 2022)

Written by Brandy Brooks

Number of pages: 188

“Financial Freedom for Black Women” is about seeking financial freedom and winning it in wealth, career, business and other avenues. The AFRO chose this book because the author delivers financial information based on current trends.The author, Brandy Brooks, focuses not only on how to manage finances but lesser known topics in finance such as cryptocurrency, real estate and the stock market.

Sheldon Campbell is author of “The Guide to Black Wealth,” a book aimed at helping men learn to budget, cut expenses and save money.

Photo courtesy of Amazon

than

book, “The Battle of Finance and Fame,” a book written by Lisa McCorkle.

book explores the intersection of fame and finances as readers follow the story of Chad, a hip-hop artist with some major financial decisions to make.

Photo courtesy of Amazon

Tiffany Aliche’s 368- page book, “Get Good with Money,” is a ten step plan for moving towards financial security.

Photo courtesy of budgetnista.com

Brandy Brooks talks directly to the ladies with her book, “Financial Freedom for Black Women.”

Photo courtesy of Amazon

Photo courtesy of RichandRegular.com

Black Gen Z investors on the rise, yet racial wealth gap grows

By Tiasia Saunders Howard University News Service

There has been a rise of Gen Z Black investors in the stock market, which has increased overall Black American wealth.

According to the Federal Reserve, Black Americans primarily accumulate wealth through non-retirement government funds, whereas White families predominantly rely on wages and salaries for their wealth accumulation.

Taryn Young, a sophomore honors finance major from Alexandria, Va. who started investing last summer, discussed the importance of learning how the market works as early as high school.

“Having [an] education on stocks is crucial because our counterparts learn about investing and the stock market at such a young age, and by the time we learn and begin to invest, everyone else is already two steps ahead,” she said.

“I would recommend for Black students to learn about investing as early as high school,” Young continued.

Resources such as technology advances and increased accessibility play a role in why Black Gen Z’s start to invest.

According to the Financial Industry Regulatory Authority ‘Investors of Color in the US’ report, young investors are embracing higher-risk investments, pursuing motives beyond solely long-term profitability, and depending on social media for investment guidance.

In addition, Black American investors often prioritize investing in Black-owned businesses and enterprises as a means to boost the representation of Black businesses within the economy.

Dr. Maru Etta-Nkwelle, an associate professor and interim chair in the Department

Black Americans are learning how to use the stock market to invest at younger ages these days, but reports show that the racial wealth gap is continuing to grow.

of Finance and International Business at Howard University, believes that more Black Americans investing in the stock market would benefit the community.

communities, more investment experience gained and shared with families and friends, and more Black investment mentors for Black kids,” she said.

“Having [an] education on stocks is crucial because our counterparts learn about investing and the stock market at such a young age, and by the time we learn and begin to invest, everyone else is already two steps ahead.”

“As more Black Americans invest in the stock market, we should see more capital flowing into Black-owned businesses and

Despite an increase in the number of Black American investors, the racial wealth gap is continuing to grow. According to a Brookings

report, in 2022, for every $100 White households had, Black families had $15.

There is also a disparity between White Americans and Black Americans in financial literacy.. Black Americans are more prone to rely on things such as bill payment services, money orders, and check-cashing services, which contributes to financial insecurity.

“The biggest thing that obstructs Black Americans from the stock market is knowledge and access,” said Caleb Smith, a senior marketing major and president of Howard University’s Investment Group from Dallas. “If we’re able to reverse this stigma, young Black Americans could start investing at a much earlier age and be many steps ahead when it comes to developing wealth at an early age.”

Investopedia suggests that starting investments at a younger age enables greater compounding of money over time, resulting in a reduced need for contributions during later stages of life.

“[I ] learned about the economy mainly through reading and talking to people who are knowledgeable in this subject,” said Desmond Daisey, a Howard sophomore finance major from Louisville, Ky. “One of the best things that a person can do to learn about the economy is to put themselves into an environment where the economy is constantly talked about.”

The increase of Black investors allows the growth of Black businesses and representation in the economy.

“Rising Black investments provide financial security, create opportunities to build wealth, increase participation in the democratic process and contribute to a reduction in the demographic wealth gap,” said Dr. EttaNkwelle.

This article was originally published by the Howard University News Service.

Unsplash / Joshua Mayo

Spotlight on finances: Tips and tricks from the AFRO team

By AFRO Staff

Knowledge is power- but the process of learning how to properly deal with money is often a hard lesson. In honor of National Financial Literacy Month, members of the AFRO team weighed in on how they have navigated their finances over the years and tips they have used along the way. Read below and send your finance tips in to the AFRO at editor@afro.com

Question 1: What is the best financial advice you have ever received? Who gave it to you?

“The best financial advice you ever got was in reference to stocks: hold your investment until you make a 10-15 percent profit and reinvest all the profits you make. That came from a friend who is a successful portfolio manager.”

“The best financial advice I have ever received is “save, save, save.” My pastor, Rev. Willie B. Tripp of Bibleway Community Church of God, gave me this advice.”

“The best financial advice I ever received came from Michael Shacklette. He was the president of a multimillion dollar construction company. He told me ‘If your business isn’t paying your bills– it’s not a business, it’s a hobby.” He told me I needed to “get a job.” I learned that there was no shame in going back to work when my business wasn’t turning a profit or paying my bills. I’m proud to say that I’ve not had to go back to work for anyone since 2018!”

“My grandfather [said] save your money.”

“The best financial advice I ever got was to only spend what I have to spend and to be realistic when it comes to memberships and subscriptions.”

“Use payroll deductions! When you don’t see it, that makes you not want to touch it so fast. This was advice from a co-worker.”

Question 2: Have you ever been in a tight financial situation? How did you get through it?

“‘Pay yourself first - add to your savings and retirement plans,’” [was] told to me by my dad.”

“I’ve been in a tight financial situation. I got through it by cutting my day-to-day costs as much as possible and paying off the debts that were accruing the most interest first.”

“I have been in tight financial situations before and to get through them I used my pastor’s advice. I leaned on loved ones for support, advice and encouragement while I kept working and researching ways to save money and make more.”

“I once got out of a financial bind by selling four pairs of designer shoes and three handbags. I keep my high ticket items in great condition just in case I’ve got to cash them in, in the future. That crisis was to pay my daughter’s student loans off, she’s debt free.”

“I have been in a tight financial situation. I’ve cried, prayed and used resourcefulness to find solutions. Otherwise, I borrowed.”

“When in a tight financial situation I usually fall back on credit cards. I try to only use it for emergencies because it is easy to be dependent on them. And, of course, I bug my parents when I need some help, especially as a college student.”

“I took money from my stocks to get ahead.”

Yes, several times. My support was from a Black bank –“my family.” Even now, [with] my parents passed on, my mom instilled in her children to support each other and I can always count on my siblings.”

“When I got my first job in high school, my father told me I needed to put 20 percent of each paycheck into a savings account. Being 15 at the time, I didn’t really understand why it was necessary. I was just excited to have my own money to spend. But, the practice became routine, and it’s benefited me ever since.”

“To support myself during college, I worked at a local wedding venue during the summers. When the semester started, I would work sporadically, but I made the bulk of my money in the summer. When the COVID-19 pandemic hit, my hours were cut significantly the summer before my senior year. This meant I went into the school year with a lot less money compared to prior years. To offset the hit to my bank account, I became a delivery driver for Postmates and Instacart. When school started and events picked back up again at my job, I spent my weekends working at the venue. This combined with a strict budget helped me get through the year with a modest amount of money to spare.”

-Yahya Abdelhamid AFRO Media Sales Consultant

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-Edward Robinson AFRO Contributor, Sports –Ayriana Griffin AFRO Freelancer

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-Megan Styles AFRO Business Writer

Why now is a crucial time to pay off credit card debt

By Cora Lewis The Associated Press

For Americans who lacked savings prior to the pandemic, financial stress is rising. A combination of inflation, increased interest rates, and the end of pandemic-tied relief, such as the moratorium on student loan payments, has led to record credit card debt, experts say.

In the fourth quarter of 2023, Americans held $1.13 trillion on their credit cards, and aggregate household debt balances increased by $212 billion, a 1.2 percent rise, according to the latest data from the New York Federal Reserve.

Delinquencies are also on the rise. As of December, 3.1 percent of outstanding debt was in some stage of delinquency, up by 0.1 percentage point from the third quarter. The New York Fed’s report found that 6.4 percent of credit card debt was delinquent by 90 days or more, up from 4 percent in the last quarter of 2022.

“Credit

card and auto loan transitions into delinquency are still rising above prepandemic levels. This signals increased financial stress, especially among younger and lower-income households.” health.

If you’re facing increased credit card debt, while feeling the ongoing effects of inflation, here’s what to consider:

Ask for a rate cut

One of the first things you should do is ask your credit card company to lower your rates.

While the Federal Reserve signaled Wednesday that its first interest rate cut is likely months away, the average credit card interest rate is already far and away higher than the rate set by the Fed. Most companies offer promotional rates and ways to move your balances to low or zero-interest cards, at least for the first year. These promotions can help keep debt from accumulating.

most financially sound method of debt management.

Another way, known as the “snowball approach,” considers the psychological rewards of paying off small debts first, which can boost morale, before tackling larger debts. Some financial counselors see this method as more motivating.

Nonprofit credit counseling can be found through the National Foundation for Credit Counseling at nfcc.org.

Consolidate loans and lower your student loan payment

Wherever possible, counselors also encourage consumers to consolidate loans, at fixed rates when available. The Federal Trade Commission’s Consumer Advice guide for Getting Out of Debt can help you make a plan.

When it comes to student loan payments, also make sure all of those debts are consolidated, and that you’re taking advantage of every way to lower that monthly cost.

The Public Service Loan Forgiveness program is one of several avenues for relief still available to many with student debt. Other sources for borrowers include: false certification, borrower defense, closed school, total/permanent disability discharges, and alternate repayment programs like incomedriven repayment.

Budget for inflation

Inflation is down from its peak, but the cost of many goods and services remains elevated: A loaf of bread that cost $1.54 in December 2020 cost $2.02 at the end of last year, according to the Bureau of Labor Statistics. The median rent for a property with up to two bedrooms is up from $1,424 at the end of 2020 to $1,713 at the end of last year, according to realtor.com.

“Credit card and auto loan transitions into delinquency are still rising above pre-pandemic levels,” said Wilbert van der Klaauw, economic research advisor at the New York Fed. “This signals increased financial stress, especially among younger and lower-income households.”

The average interest rate on a given credit card is now roughly 21.5 percent, the highest it’s been since the Federal Reserve started tracking rates in 1994.

Silvio Tavares, president and CEO of VantageScore, one of the country’s two major credit scoring systems, said, “the reality is that there are starting to be some significant signs of stress,” despite consumers generally being in good financial

That said, you may have to pay a balance transfer fee and pay the balance off before a given promotion window ends, or face additional interest.

What’s more, reports on bank industry sentiment show banks are becoming increasingly conservative in which loans they give out, which means refinancing may be becoming more difficult.

Pay off higher-interest debt first

Known as the “avalanche approach,” paying off debt that accumulates interest more quickly will always be more efficient than paying off lower-interest debt first. This is the

America Saves, a non-profit campaign by the Consumer Federation of America, offers guidance here.

Since the pandemic, some providers of monthly services have become more open to negotiating bills — whether utilities, phone service, cable, internet, or auto insurance. Making these calls can lead to meaningful savings, according to Kia McCallister-Young, director of America Saves. Call to ask for the lowest rate, available rebates and coupons, she advises. If a provider is competitive with other companies, there’s an increased chance of getting a discount.

Why experts say keep land in your family if you can

By Bria Overs Word in Black

Will Edmond, vegan chef and travel content creator, had had enough. After spending 13 years living in Atlanta and a couple of years in Louisiana, he decided it was time for a change. It was time to return to his roots.

“Cities are becoming more stressful,”said Edmond, 39, to Word In Black. The appeal of urban living has declined for some due to the traffic, crime and the rising cost of living.

But this experience, where Black folks keep land in the family, is rare.

Financial experts frequently laud homeownership as the key to wealth building. Yet, the Black homeownership rate has never been above 50 percent — a level other ethnic and racial groups have reached and surpassed. For the Black community, the loss of land and property contributes to the widening

“If people want to have any type of wealth or to hold on to land that’s been passed down from generation to generation, they need to come back to their grandfather’s and uncle’s land…”

homeownership gap and the even wider racial wealth gap.

“I know my family has land back in East Texas. I can go back, clean it up, get it together, and build some unique structures on it. And that’s what led me here,” he said.

In 2022, Edmond and his partner, Austyn Rich, moved back to Edmond’s ancestral hometown in East Texas, also known as Piney Woods. It’s a rural area known for its beauty, pine trees, lakes, and nature trails. And it’s here that Edmond’s family land — a whole 45-acres passed down through generations — is located.

“The immediate cause of home loss is the lack of estate planning,” says Nketiah “Ink” Berko, an Equal Justice Works fellow at the National Consumer Law Center. “Either someone didn’t write a will, or maybe they did, but in the will, they left the home to five or six people. And by doing that, they’ve fractured the homeownership interests in the property.”

According to a 2022 Consumer Reports survey, one in three Americans has a will, but 77 percent of Black Americans lack one.

Estimates vary on the

exact amount of Blackowned land lost. The Land Trust Alliance, a land conservation advocacy organization, estimates that between 1865 and 1919, Black folks in the South owned 15 million acres of land. By 2015, Black Americans had lost 97 percent of their land.

The American Bar Association offers a similar statistic: between 1910 and 1997, Black farmers and families lost more than 90 percent of the 16 million acres they owned — and the organization considers that to be a conservative estimate.

Splitting land between family

Berko says that land initially divided by a few children can become further divided by several grandchildren and even more so by subsequent generations. This division, known as “heirs property” or “tangled title,” creates challenges and difficulties in maintaining and keeping the property within the family.

This phenomenon also affected Edmond’s family.

“My family, we own about six acres, and then my cousins up the street own some of the land as well,” he says. “We have all of the land still in our family to this day.”

On his father’s side of the family — which also owns a lot of land — a relative sold off their portion. Selling is one way to lose land, but other ways are incredibly burdensome to families.

A National Consumer Law Center report coauthored by Berko highlights laws and policies that could protect, resolve, or prevent heirs property. According to the report, heirs property owners are at greater risk of property tax lien foreclosure and frequently miss out on benefits or disaster relief. Or, mortgage companies may refuse payments from “people who are not the borrower, refuse to provide information about how much is owed, and refuse to consider heirs for loan modifications or other foreclosure avoidance options,” according to the report.

“A lot of people lose their land for $4,000 because nobody in the family can

agree to even pay anything on it, and then they lose it,” Edmond says. “Well, you only owe that much on it, and the land was worth $100,000. Now somebody else has it. I see that a lot around here.”

Tax and mortgage foreclosures leave families vulnerable to investors who offer to purchase the property for much less than it is worth, adding to the racial wealth gap.

Keeping it in the Family

In 2023, Edmond, Rich, and their family members turned the abandoned land into a homestead and “glamping” destination called Glamping Remote. When the project was complete, they shared their story publicly.

Edmond says it was important for him to share his journey and his family’s story because it can serve as an example of what’s possible for Black people. With it being unlikely that houses and property will get cheaper, Edmond believes if people can work with the property in their family or help pay the property taxes, they should.

“If people want to have any type of wealth or to hold on to land that’s been passed down from generation to generation, they need to come back to their grandfather’s and uncle’s land,” he says. “Land is something that’s only made one time.”

Experts say now is the time to pay down credit debt, as interest rates rise and special programs implemented during the COVID-19 pandemic come to an end.

AP Photo / Dylan Gillis

Will Edmond (left) and Austyn Rich left Atlanta to move back to Edmond’s ancestral land in East Texas with the goal of creating a homestead and “glamping” destination.

Photo courtesy of Will Edmond

Expert advice: Michelle Singletary gives top tips for financial success

By Karyn Cook Special to the AFRO

As April is National Financial Literacy Month, this week’s edition includes tips from finance experts in all walks of life, looking to help people improve finances and build generational wealth. One expert who spoke with the AFRO was Michelle Singletary, a personal finance advisor and journalist.

A graduate of the University of Maryland at College Park and Johns Hopkins University, Singletary has been honored by the National Association of Black Journalists with the Legacy Award in 2023.

Q: What are your top three money tips for Black children, young adults and people over 35.

A: One, have a budget. It’s so important that you understand what’s coming in and going out. A lot of people are afraid of a budget, they feel like it limits them–but it allows you to do things important to you.

Two, invest for your older self. It’s hard to do for younger people since you’re living in the present and it seems far away, but the best time to do it is when you’re young and have time on your side.

Three, limit the amount of debt you take on for everything–make sure a lot of your money doesn’t serve debt because that’s less money to invest.

Q: What do you consider the top thing to do in preparation for retirement?

A: The most important thing when you’re younger is to save as much as you can. You have decades to get there. Comb your budget and see what is extra. If you have a workplace retirement plan, put it in there. If you don’t, contact your financial institution and tell them

you want to save for retirement and they can put [your money] towards mutual funds. Low-cost index mutual funds are a way to invest as a young adult.

Q: When it comes to technology, what are things you must pay attention to?

A: You just need to be careful about technology. I do my budget on pen and paper, you don’t need fancy apps. Make sure when you use technology, that you slow down the payment process, because the quicker it is the more likely you’ll overspend.

“...limit the amount of debt you take on for everything, make sure a lot of your money doesn’t serve as debt because that’s less money to invest.”

Q: How did you get into finance?

A: I started at the Baltimore Evening Sun, the business editor there suggested I come work with the business section. She wanted to expand to more young people, women and people of color. It was a turning point for my career because it was an area that I was new to. Business, in the sense of personal finance, wasn’t as popular as it was today. It really opened a door in an area that was great for my career.

Q: Who are your mentors or inspirations for your work in the finance industry?

A: First of all my grandmother Big Mama, was my mentor. She was great with her money– she didn’t make a lot of money, but she handled it well.

I like this investing group called ‘Bogleheads.’ They follow the investment advice of John Bogle, founder of Vanguard, a group of people who believe in building wealth through low cost index funds. I just love that group because it’s just regular people putting away money over a lifetime to build wealth.

The responses above have been edited for length and clarity.

Michelle Singletary is a personal finance advisor with a passion for teaching financial literacy in the community.

Photo courtesy of The Park School of Baltimore

Learning to navigate and manage medical debt

By Mylika Scatliffe AFRO Women’s Health Writer mscatliffe@afro.com

Medical debt is a looming crisis for millions of families. While Congress has passed the No Surprises Act to protect Americans from certain unexpected medical bills, including unexpected bills for emergency services from out of network providers, there are steps consumers can take to manage and perhaps reduce or eliminate medical debt.

Medical debt is the leading cause of bankruptcy in the United States.

According to the Consumer Financial Protection Bureau, nearly 20 percent of U.S households have some form of past due medical invoice. “It’s often the $300 medical bill that drives people into bankruptcy, not necessarily bills from a catastrophic accident or

Obituary

Jim Brown

health event, “ said Mark Fuller, strategic business consultant and managing member of Manager of Wealth LLC.

Late fees, penalties and collections can cause a modest medical bill to become unmanageable quite quickly if the recipient is unprepared to make an immediate payment.

Medical bills can have a snowball effect on the personal finances when the choice has to be made between paying rent or buying food or medication and paying a past due bill.

Mounting medical debt can be daunting, causing additional stress for an individual already dealing with a medical crisis or that of a family member for whom they are financially responsible. Knowing the rules that pertain to credit reporting and navigating medical debt is an excellent way to minimize negative

May 9, 1940 - February 23, 2024

Jim Brown transitioned from this world on February 23, 2024, in Burlington, NC.

Celebration of Life service for Jim Brown will be on Saturday, April 27, 2024, at the Howard University Law School in Washington, D.C.

In lieu of flowers, please consider donating in Jim’s name to the Lewy Body Dementia Association @ lbda.org

For more information: jbmemorialinfo@gmail.com

Obituary

Constance “Connie” Master

November 29, 1949 - March 27, 2024

Constance “Connie” Marie Master was born on November 29th, 1949 in Baltimore, MD to Samuel and Hazel Turner. She transitioned into an ancestor on March 27, 2024, after a lengthy battle with heart failure. Connie was proudly educated in Baltimore City’s Public Schools. She followed her older sisters Vivian and Veronica to the illustrious Western High School where she graduated in 1967. She went on to receive another Bachelor’s degree— this time in Communications from American University and then a Master's of Science in Taxation from Florida State University.

During that journey, she found her call-

Medical debt is a burden to millions of families across the country, and according to experts, the leading cause of bankruptcy in America.

effects on creditworthiness.

Berneta Haynes is a staff attorney at the National Consumer Law Center (NCLC), where she focuses on medical debt and leads the medical debt team. She recently authored NCLC’s “The Racial Health and Wealth Gap: Impact of Medical Debt on Black Families.”

ing as a professional writer. Connie worked as a speechwriter for the U.S. Post Office, a communications specialist for the Internal Revenue Service, and would complete 42 years of public service—including more than 30 years in the U.S. Department of Treasury—before retiring in 2007.

She is survived by her daughter, Samantha Master (partner Amber Phelps); sisters Vivian (Turner) Bruce (late husband Herbert) and Veronica (Turner) Stokes (late husband Vance); brothers Gerald Turner (late wife Loretta) and Ricardo "Ricci" Turner (wife Doris); sisters-in-love Diane Turner, Cheryl Turner, and Belinda Green and a host of nieces, nephews and cousins.

She previously served as director at Georgia Watch, a state-based consumer advocacy organization in Atlanta, where she was instrumental in the passage of crucial medical billing legislation and authored the Georgia Consumer Guide for Medical Bills and Debt. Haynes told the AFRO how she once worked with a woman who received over $30,000 in medical bills after she suffered a stroke. After paying approximately $2000 toward the debt she went to the financial assistance checklist in the guide and was able to get the remaining $29,000 of the debt canceled.

“As soon as you receive a medical bill, request an itemized bill from the provider and review it with careful attention to detail. Billing errors frequently contribute to the total that is included in the bottom line of what you are being invoiced,” said Haynes.

The explanation of benefits, or EOB , provided to you by your insurance company is also a valuable piece of information.

“Always hold onto your EOB from your insurance company and compare it to your bill. Make sure you actually received all the services for which you’ve been charged,” continued Haynes.

There are steps you can take to ensure you are being fairly charged for medical services, and/or your bill is not correct.

Experts say that consumers should request an

itemized bill.

“The benefit of an itemized bill is being able to note and challenge discrepancies,” said Rahwa Yehdego, policy research associate at Georgia Watch.

There are also stps you can take if you notice inaccuracies on paperwork related to a debt. Yehdego says an appeal should be made to adress inaccuracies.

“Patients frequently receive upcharges for medical services, and you can begin with an internal appeal with the provider,” Yehdego said. If an internal appeal is not successful, an external appeal with a local insurance commissioner

“It’s often the $300 medical bill that drives people into bankruptcy, not necessarily bills from a catastrophic accident or health event.”

should be filed.

If reviewing the bill and making an appeal does not work individuals can check to see if they qualify for financial assistance, particularly if your bill is from a hospital. It is a federal requirement that all nonprofit hospitals have a financial assistance policy that is easily accessible and widely publicized to the public.

“It’s important to know that these options exist. If people are unaware financial assistance exists, they often feel like they don’t have much agency in that situation to advocate for themselves,” said Yehdego. “This is especially true when you’re in the midst of a crisis and just focused on getting through the medical emergency and thinking ‘let me worry about that bill when it comes in the mail in a few months.”

not reasonable, the hospital or health care provider may opt to settle with you for less rather than try and prove the charges are reasonable,” said Haynes.

“It’s important to try and fight a medical bill if you’re sued because the type of judgements these bill collectors can receive can wreak havoc in the patient’s life. We’re talking about things like liens on homes, wage garnishment, property seizure, etc.”

Fuller wants patients to understand the consumer law and make sure it works toward their advantage. He agrees asking for an itemized bill is a crucial first step and most medical bills are negotiable.

“The United States is the only industrialized nation with no universal health care…that provides services up front and tells patients later how much they will be charged,” said Fuller.

Even when a medical debt is sent to collections, Fuller says there are steps you can take to resolve the financial problems at hand.

“You never borrowed any money from them or got any services from them, so they have no legal right to collect anything from you,” said Fuller. She advises consumers to remember the following tips and options, if contacted by a collection agency regarding outstanding medical debt:

• Do not strike a deal with a collection agency.

• If a collection agency attempts to collect a debt, the response should be to request– in writing– the original contract between the consumer and collection agency with an original signature. If they are unable to provide that information, request they stop contacting you and not report to any agency that they are owed money by you.

Haynes also wants patients to be reminded that there is the option to negotiate your medical bill.

“The provider may be willing to accept a lower amount to settle the bill,” said Haynes.

If you decide on a payment plan with a provider, it is imperative to get the terms of the agreed plan in writing and to be sure to set it up with payments you can afford.

If you are sued over an outstanding medical debt, you can make an argument that the bill is not reasonable and try to fight it.

“If you raise the argument in a lawsuit that the amount billed is

• Collection agencies are playing the law of percentages knowing that a small percentage of people will not pay because they are savvy about consumer law and that some people will not pay because they simply are unable.

• The final percentage of people will fall into the trap where they enter into agreement with the collection agency, at which point the consumer has now entered into contract with that collection agency and now owes them a debt.

“We can be victimized by what we don’t know,” Fuller concluded. “We have to become savvy and not be a victim of acquiescence to an unfair system.”

Unsplash / Alexander Grey

Ask a lawyer: What to do before and after confronting bankruptcy

By Megan Sayles AFRO Business Writer msayles@afro.com

The idea of bankruptcy is scary for most people. Many may associate it with utter financial ruin, irreparable damage to credit scores and denied loans in the future. They may also experience shame and fear judgment from their friends, family and colleagues.

But, bankruptcy is not an evil word. In fact, it’s designed to relieve people from the pressures of insurmountable debt.

The AFRO recently connected with attorney Ebele Ebonwu, an associate in Gordon Feinblatt’s Financial Service Group, to discuss what to do in the face of bankruptcy.

Q: How can people avoid bankruptcy?

A: Live beneath your means, take credit counseling and make good financial decisions. You should ensure you know the state of your

credit at all times. I know some people cannot avoid borrowing, but make sure you aren’t borrowing at every turn.

Bankruptcy can take a toll on your life. You can lose your hard-earned property and home, depending on the type of bankruptcy you’re filing for. You have to mind your finances and pay particular attention to how you’re borrowing because creditors will come after you to the extent that they are secured.

Q: What are the primary influences that drive people toward bankruptcy?

A: I think a lot of people don’t have a good understanding of savings. All kinds of people are in bankruptcy, and there are even millionaires in bankruptcy. I don’t think a lot of people are taught how to manage their finances and put money away for themselves at a young age. They don’t

know how to live below their means and how to avoid relying on credit society. If people start to learn those skills earlier in life, they will be in a better position.

There are other factors that can throw you into bankruptcy too. It’s not just about money habits. Unfortunately, we’re in a country where a lack of quality healthcare can upend your life. You could be in an accident while you’re two paychecks away from bankruptcy. A loss of a job can also send you into bankruptcy. It’s good to prepare for the possibility of these catastrophic events.

Q: If you’ve already filed for bankruptcy, what are some immediate steps you can take to manage the situation?

A: I find that some people file bankruptcy when they owe very minimal amounts of money. Don’t do that.

There are ways you can reorganize your finances. You may be able to talk to your lenders and make workarounds or sign other agreements to manage your debts better. If you decide to file for bankruptcy, you should get a good attorney. Bankruptcy is technically supposed to make your life better. It should lift the burden off your shoulders, and, in some cases, it helps you save your home. Picking an attorney who is going to understand this and can bring you to the lighter side of debt relief is really important. You should look for someone who’s primarily practiced bankruptcy law for a long time. You don’t want someone who does it part time and doesn’t have a genuine interest in it.

The responses above have been edited for length and clarity.

Ebele

Securing your financial future: The importance of saving for retirement

By Megan Sayles AFRO Business Writer msayles@afro.com

For some, retirement means freedom— freedom to travel, freedom to spend more time with friends and family, freedom to pursue hobbies and freedom to essentially do anything you didn’t have time for while working. But, without the requisite savings, these freedoms might not be possible.

According to ShellyAnn Eweka, senior director at the TIAA Institute, forty percent of U.S. households risk running short on cash in retirement. The risk is heightened for Black and Brown people, who are less likely to have retirement accounts.

“You do see a significant difference between different races and ethnicities,” said Eweka. “About half of Hispanics and Blacks have retirement accounts, 52 percent for Hispanics and 49 percent for Blacks. That’s compared to 76 percent for Whites and 71 percent for Asian Americans/Pacific Islanders.”

retirement plan with a match, consider taking advantage of this,” said Stephens. “If you can, contribute at least the maximum amount that your employer will match. You don’t want to leave any money on the table.”

According to Stephens, one of the biggest obstacles to investing in retirement is that it requires a lot of money to get started. This, along with believing retirement is in the distant future, is a misconception.

Contributions to retirement accounts vary between people and are dependent on their current financial situation. However, consistency is key, according to Stephens. Whether big or small investments, it’s important to make them regularly.

There are also gaps between genders. Sixtyfour percent of women have retirement accounts compared to 70 percent of men. For Black and Brown women, that number is 48 percent and 45 percent respectively. Eweka said a number of factors contribute to these disparities.

means we have less to save toward retirement.”

“Many Black Americans face great challenges from the moment they graduate from college,” said Eweka. “Student loans impact our cash flow, which then

According to the Education Data Initiative, Black borrowers owe $25,000 more than White borrowers for undergraduate degrees on average. Forty-eight percent of Black borrowers also owe more than they initially borrowed four years after graduation compared to 17 percent of White borrowers.

people should start saving for retirement as soon as possible.

“When it comes to investing for retirement, the sooner the better. The amount of time you are invested is one of the most important factors in growing your wealth,” said Stephens. “I like to say it’s about time in the market, not timing the market.”

Two common retirement plans are Roth IRAs and

“When it comes to investing for retirement, the sooner the better.”

Salary gaps are also a contributor to the deficits. “Women roughly earn about 85 cents for every dollar earned by men. For Black women, it’s 63 cents, and for Hispanic women, it’s 53 cents,” said Eweka. “Women, if they can afford it, are also much more likely to take time off of work to care for their children or elderly parents, which can also impact their savings and salary and promotion opportunities.”

As life expectancy rises in the U.S., retirement plans become even more critical. Joy Stephens, D.C. market director at J.P. Morgan Wealth Management, said

IRAs. The accounts differ based on how they are taxed. Investments in Roth IRAs are made with after-tax dollars, meaning they grow tax-free and withdrawals in retirement are also tax-free after age 59.5. IRA contributions grow tax-deferred and then they’re taxed when money is withdrawn after age 59.5.

Certain workplaces also offer employer-sponsored plans, like 401(k) and 403(b) plans.

“Many employers match a portion of their employees’ workplace retirement plan contributions. If your company offers a

“Consider contributing as much as you can to your retirement accounts. If you can increase your contribution rate automatically every year that might be a good idea,” said Stephens. “It can be easier to contribute more when the increases occur automatically.”

When forming a retirement plan, Stephens encouraged people to think about the lifestyle they want to live when they retire, where they’d like to live and what their expenses will look like. This can help them set goals to personalize their plan.

It can also be helpful to employ the help of a financial advisor.

“For some people, working with an advisor can be beneficial. An advisor can sit down with you to outline your goals and help you create a customized plan to work toward them,” said Stephens. “You should check in on your plan with your advisor on a regular basis to see how you’re tracking toward your goals and to adjust your strategy when your life or priorities change.”

Megan Sayles is a Report for America corps member.

Photo courtesy of TIAA Institute Shelly-Ann Eweka is senior director of research and strategic program initiatives for TIAA Institute, which conducts research on issues connected to financial security.

Photo courtesy of J.P. Morgan Wealth Management Joy Stephens serves as the D.C. market manager for J.P. Morgan Wealth Management.

The

FY2025 Financial Plan includes the proposed budget and BTID special assessments to be levied on any “Hotel” as defined in City Code Article 28, §21-1(c). The FY2025 Financial Plan will also outline proposed services to be provided by the BTID. If approved, the FY2025 Financial Plan will be submitted to Baltimore City Board of Estimates for final approval. The public hearing will allow for public comment on the FY2025 Financial Plan.

For more information and registration link contact: Mia Blom, Visit Baltimore’s Sr. Director of Government & Community Affairs at 410-659-8373 or mblom@baltimore.org

Finance tools you can use

By AFRO Staff

National Financial Literacy Month, recognized annually during the month of April, is a time to focus on finances and all things related to money. Do you have a budget? Do you keep track of your debts, how much has been paid and how much is still owed? Use the tools on this page to budget, save and track spending habits.