Holladay, Utah — Redemption Bank, one of the few Black-owned banks in the United States, is set to introduce a new debit card program specifically designed to empower single mothers residing in government-subsidized housing. The initiative, launching this Friday in observance of Juneteenth, aims to facilitate their escape from poverty through direct financial assistance.
Named the Bank King Card, this debit product will underpin a novel regenerative banking model, according to Ashley Bell, chair and Chief Executive of Redemption Holding Co. “Bank King Card represents a new regenerative banking model that starts with investing in mothers who are a few hopeful dollars away from breaking out of poverty, and opening up America’s vaults of opportunity that have been closed to too many for too long,” Bell stated.
Targeting Economic Hardship with Direct Support
The program directly addresses the widespread economic and caregiving hardship experienced by households led by single mothers, a challenge highlighted in a 2026 report by the Urban Institute and the Jeremiah Program. Redemption Bank, based in Holladay, Utah, will make fixed-amount donations for every new Bank King Card account opened. The specific donation amount will be determined annually by the bank’s board of directors and will not be tied to the volume of card purchases.
These funds will be channeled through a dedicated foundation, which will then issue grants to nonprofits specializing in direct-cash services. This mechanism ensures that the financial aid reaches those most in need. Bell emphasized the proven efficacy of such interventions, noting, “What we’ve seen is these guaranteed income programs have been a jolt out of poverty for women around the country, including many women of color.”
Chastity Lord, president and chief executive of the Jeremiah Program, which focuses on improving economic mobility for single mothers, underscored the multifaceted benefits of direct financial aid. While the money is predominantly spent on essential goods and services, Lord explained, “It provides dignity. It ensures summer learning, not leaving kids at home. It increases nutrition. It allows the mom to make powerful decisions that benefit their children and their families instead of making decisions to just get by.”
Demonstrated Impact of Cash Programs
The effectiveness of direct cash assistance has been demonstrated through various pilot initiatives. The Ohio Mother’s Trust, for instance, provided $500 monthly for a year to 32 single mothers in the Columbus, Ohio, area. Juanita Amakor, a 36-year-old mother with a 7-year-old daughter, shared her experience, stating the cash allowed her to catch up on bills and pay rent. “It’s the breathing room it gives you, knowing there is something extra coming in. It relieves a lot of anxiety,” Amakor said, adding, “This help goes a long way, even if it was for something as little as being able to take my child to the grocery store, to the clothing store.”
Another program, Rx Kids in Flint, Michigan, offers women a one-time allocation of $1,500 during pregnancy, followed by $500 per month throughout the child’s first months. These funds can cover critical needs such as food, prenatal care, rent, cribs, formula, diapers, or childcare. Kinea Wright, 46, a beneficiary of the Rx Kids program in Flint, found the funding crucial after her husband was injured in a forklift accident. “Initially, (the money) was put up for a rainy day,” Wright recounted. “I didn’t know the rainy day would come sooner than we thought. It was a blessing in disguise.”
Redemption Bank’s Vision and Future Plans
Redemption Holding Co. completed its acquisition of Utah-based Holladay Bank & Trust a year ago, marking a significant milestone as the first time a bank in the Western U.S. has been owned by a Black-led investment group. At the time of acquisition, Redemption Bank reported approximately $65 million in assets, with a primary focus on commercial lending and small business loans.
Bernice A. King, the youngest child of the Rev. Martin Luther King Jr. and a co-founder and senior vice president of Redemption Bank, emphasized the practical and accessible nature of the initiative. “Economic opportunity must be practical, accessible and rooted in the needs of families,” King stated. “Bank King Card is an innovative way to support that work. It creates a practical opportunity for people to align their financial choices with their values while supporting mothers, children and families working toward long-term stability.”
The introduction of the Bank King Card debit card coincides with Juneteenth, which also marks the one-year anniversary of Redemption’s acquisition of Holladay Bank & Trust. Juneteenth, observed annually on June 19th, commemorates the date in 1865 when enslaved people in Galveston, Texas, learned of their freedom, two years after President Abraham Lincoln’s Emancipation Proclamation. It was designated a federal holiday in 2021. Looking ahead, Redemption Bank plans to introduce a Bank King Card credit card, with interest rates capped at 12%, further expanding its commitment to accessible financial tools for its community.
