Alpha Kappa Alpha Sorority Inc. (AKA) has launched its own credit union, making them the first Greek letter organization to accomplish such a feat. For Members Only, also known as FMO, credit union is the first Black-owned, women-led, sorority-based digital banking financial institution in the history of the United States.
AKA International President, Danette Anthony Reed, shared the exciting news in a letter to their members.
“As the first Black-owned, woman-led, sorority-based (and) 100% digital financial institution, we are poised to deliver innovative financial solutions that drive economic growth for our members, chapters, families, and employees of Alpha Kappa Alpha Sorority,” she wrote.
The grand opening took place in Chicago on July 13 and coincided with the 115-year-old sorority’s leadership conference. FMO is chartered, regulated and insured by the National Credit Union Administration, and will offer primary savings, loans and other banking services.
“Everyone doesn’t understand the impact we make financially, so you have to start doing things so folks know we know how to control our money,” said Danette Anthony Reed, international president and CEO of AKA Sorority.
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FMO was created with the idea to create economic health and financial stability for women of color.
“We want to invest in what we own,” FMO board member Deardra Hayes-Whigham told ABC 7. FMO is open to members of AKA, their immediate families, AKA staff and credit union employees.
According to finder.com, there are 42 Black-owned banks in the U.S. OneUnited is the largest Black-owned bank in the U.S., Forbes reports. It manages around $625 million in assets. Black fraternities are also in the financial institution space. Omega Psi Phi Fraternity,Inc. has the Omega Psi Phi Credit Union in Lawrenceville, Georgia and Phi Beta Sigma Fraternity, Inc. has the Phi Beta Sigma Federal Credit Union in Washington, DC.
