Netflix

Netflix Plans to shift $100 Million into Black-Owned Banks

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Netflix is an American media-services provider as well as a production company that is based in Los Gatos, California. It was founded by Marc Randolph and Reed Hastings in Scotts Valey, California in the year 1997.

Netflix

It is a streaming service. And it enables members to watch different kinds of award-winning TV shows, documentaries, movies.

And so many more on plenty of internet-connected devices. While accessing Netflix, you are entitled to enjoy a non-stop ad-free viewing of their content.

Netflix plans to shift $100 million into Black-owned Banks

Netflix is planning to shift as much as $100 million to lenders who are serving the black community. Thereby making it the largest and biggest company that is yet to pledge cash to financial institutions (Banks) that are underfunded.

Netflix is doing this so as to stop the systemic racism which led to the death of George Floyd.

In the company’s latest movie, it mentioned that it will transfer 2 percent of its cash (that is, $100 million) to banks and organizations.

So as to support Black communities and to stop racism. Netflix added: “We believe bringing more capital to these communities can make a meaningful difference for the people and businesses in them, helping more families buy their first home or save for college, and more small businesses get started or grow”.

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Netflix CFO, Spence Neumann also mentioned that sending cash to banks and assisting the Black communities. Would put an end to the “capital isolation”.

Neumann’s comment

Neumann argued, he said that: “Moving some of the Netflix’s cash deposits into Black institutions as well as the organization in the U.S. can put more capital to work for the people and businesses in these communities and narrow the gap”.

Netflix’s blog report

Netflix’s blog also reported that the Black-owned or led banks only comprise 1 percent compared to the commercial banking assets in the U.S.

Thereby explaining the reason why 19 percent of Black families battle with negative wealth. And why they have no assets for support in their hard times.

The blog added, he said: “Black banks have been fighting to better their communities for decades but they’re disadvantaged by their lack of access to capital”.

Aside from the $100 million cash given to Black institutions.  Netflix will also put in $25 million in the Black Economic Development Initiative. (a newly established fund).

In order to invest in Black Banks while serving low and even moderate-income communities. As well as Black community development corporations in the U.S.

Furthermore, there will be a deposit of $10 million in the Hope Credit Union. So as to “fuel economic opportunity in underserved communities across the Deep South”.

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Netflix argued, he said: “This capital will fuel social mobility and prosperity in the low- and moderate-income communities these groups serve. We plan to redirect even more of our cash to Black-led and focused institutions. As we grow, and we hope others will do the same”.