How to find a bank with LGBT-friendly policies and values
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- Research has found that LGBT people often experience prejudice or discrimination in relation to financial services.
- Few banks have developed policies or initiatives that reflect the needs of the LGBT community or support LGBT rights.
- We have listed banks and credit unions with LGBT-friendly services.
As the banking sector shifts to better meet customer needs, LGBTQ customers still often face systemic barriers in banking.
If you’re looking for a financial institution that closely aligns with your values and supports LGBT people, here’s how to identify a bank that truly supports LGBT people.
Why is LGBT friendly banking important?
Research from the National Endowment for Financial Education found that two out of five LGBT adults felt prevented or discouraged from accessing financial services and products due to barriers or discrimination in how those services were designed. Furthermore, transgender respondents were twice as likely to say they experienced discrimination and prejudice in the financial system than gay men and women.
One area in which LGBTQ couples experience discrimination is mortgage lending. According to a 2019 study published in the Proceeding of the National Academy of Sciences of the United States of America, same-sex couples were 73.1% more likely to be denied a mortgage than heterosexual couples.
The process of changing your debit or credit card name to reflect the name you chose can be time-consuming and time-consuming. Only a few financial institutions allow you to customize debit or credit cards regardless of what your legal identity says.
LGBT-friendly banking is important because it understands the banking challenges faced by LGBT people, and provides solutions to these dilemmas through products or services.
“It’s about making sure that everyone in the community has a place to go where they know they are accepted and are cared for, listened to and treated as an equal,” explains Scott Stanley, CFP and founder of Pharos Wealth.
How do you determine if a bank is truly LGBT-friendly?
When looking for an LGBT-friendly financial institution, Yvonne Bradshaw, a financial advisor and coach, recommends looking at the bank’s mission statement and practices.
“You want to look at who they support and what is in their banking policy. Are they inclusive? Does this policy only extend to their workers? Or does this also go a little further? Are they gradually looking to help and support the LGBTQ community?” Bradshaw advises. .
Stanley also says that you can review a financial institution’s corporate governance board and look for its online presence. If the leader of a financial institution has a history of bias, you may consider other banking options.
LGBT-friendly financial institutions with banking services
Few financial institutions have products and services that recognize banking barriers and advocate for LGBT rights. Here is a quick overview of a few of the financial institutions that offer LGBT-friendly banking.
- Consolidated Bank: An incorporated bank is a socially responsible bank with branches open in Washington, D.C. and the New York City area. It also offers online checking and savings accounts only if you don’t live in these places. The merged bank demonstrated its support for LGBT rights by joining Friend Briefs that opposed discrimination against LGBT people. It also allows transgender people living in New York to open bank accounts in their chosen name through IDNYC.
- BMO Harris: If you hold a BMO Harris credit card, debit card, or ATM card, you are allowed to display your chosen name if it does not match your legal name.
- Citi: In 2020, Citi announced that it will begin offering True Name. You can get any Citi credit card with the name of your choice.
- Daylight: Daylight is a mobile banking platform that specifically serves and supports LGBTQ+. Daylight allows you to customize your debit card with your chosen name. If you’re planning to have sex-confirmation surgery in the future, the Daylight account also has a Guided Aim feature, which has a virtual assistant that can help you understand more about the process.
- Republic Bank: Republic Bank is a true financial institution with branches in Kentucky, Indiana, Tennessee, Florida and Ohio. Republic Bank offers True Name feature for its debit cards.
Determining which LGBTQ-friendly financial institution is right for you may require systematic research. To determine if a bank aligns with your values, you can check to see if it has LGBTQ+ social initiatives or offers products that address banking challenges LGBTQ individuals face. You can also review our list of organizations that provide LGBT-friendly services as a resource.