Bank King Card Launched to Aid Single Mothers in Poverty

One of the few Black-owned banks in the United States launched a debit card on Friday aimed at helping single mothers living in government-subsidized housing escape poverty, marking a novel private-sector approach to guaranteed income programs.

Redemption Bank introduced the Bank King Card debit card on Juneteenth, committing to make a fixed-amount donation to the Redemption Foundation for every account opened. The donations will support nonprofits that provide direct cash assistance — guaranteed income programs — to single mothers with children in government-subsidized housing, according to AP News.

A New Model for Banking and Social Impact

“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,” said Ashley Bell, chairman and CEO of Redemption Holding Company.

The donation amount is determined annually by the bank’s board of directors and is not based on card purchase amounts, the bank said. A Bank King Card credit card is expected to be introduced later with interest rates capped at 12% — notably lower than industry averages.

“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,” Bell added.

A Crisis Documented by Data

The launch comes as new research underscores the severity of economic hardship facing single mothers in America. A June 2026 report by the Urban Institute and Jeremiah Program, titled “Elevating Their Voices: What Single Mothers Say They Need to Survive,” surveyed nearly 1,800 single mothers across 43 states and found that 97% experienced some form of housing hardship in the past year, 85% reported food insecurity, and 72% reported difficulty paying medical bills, according to the Jeremiah Program.

Chastity Lord, president and CEO of Jeremiah Program, said the program provides more than just financial relief. “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.”

Proven Impact of Guaranteed Income

Pilot programs have demonstrated the transformative potential of direct cash assistance. The Ohio Mother’s Trust program funneled $500 each month for a year to 32 single mothers in the Columbus, Ohio area. Juanita Amakor, a 36-year-old recipient with a 7-year-old daughter, described the impact: “It’s the breathing room it gives you, knowing there is something extra coming in. It relieves a lot of anxiety. 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.”

In Michigan, the Rx Kids program gives women a one-time allocation of $1,500 during pregnancy, followed by $500 per month throughout the child’s first months. Kinea Wright, a recipient in Flint, said the money helped after her husband was injured in a forklift accident. “Initially, (the money) was put up for a rainy day. I didn’t know the rainy day would come sooner than we thought. It was a blessing in disguise.”

Juneteenth and a Historic Milestone

The Juneteenth launch date carries deep symbolic weight. It marks both the emancipation of enslaved African Americans in 1865 and the one-year anniversary of Redemption Bank’s historic acquisition of Utah-based Holladay Bank & Trust in June 2025 — a deal that made it the first Black-owned bank in the Western U.S. and the 24th Black-owned bank in the nation, as reported by KUER.

Bernice A. King, the youngest child of Dr. Martin Luther King Jr. and a co-founder and senior vice president of Redemption Bank, framed the initiative within the broader struggle for economic justice. “Economic opportunity must be practical, accessible and rooted in the needs of families. 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.”

First Partner and Forward Look

The Redemption Foundation’s inaugural partner is the Georgia Resilience and Opportunity (GRO) Fund and its guaranteed income program “In Her Hands,” which serves women across urban, suburban, and rural communities in Georgia. Hope Wollensack, founding executive director of the GRO Fund, said: “We’ve seen firsthand how small amounts of cash can make a profound difference in a family’s life. For some mothers, it’s a buffer between jobs. For others, it’s the ability to avoid debt, pursue a promotion, return to school, or secure reliable childcare. What we’re really creating is space.”

The program arrives amid significant cuts to SNAP and Medicaid eligibility in 2026, as noted in the Urban Institute report, representing a private-sector approach to addressing poverty that has traditionally been the domain of government programs. Its impact will ultimately depend on how many consumers choose to open Bank King Card accounts — and whether the model can scale to meet the scale of the need.