Liberty Bank and Trust Company is a Black-owned bank based in New Orleans, Louisiana. The bank was founded in 1972 by Alden McDonald Jr., a prominent Black businessman and civic leader, in response to the lack of access to financial services for Black people in the region.
The bank’s origins can be traced back to 1964 when McDonald joined the staff of the Louisiana Savings and Loan Association. McDonald quickly rose through the ranks and became the first Black Senior Vice President of a Savings and Loan in the state. However, in 1969, he was forced to leave the institution due to racial discrimination.
» See List of 42 Black-owned Banks in America
Determined to create an institution that would serve the needs of the Black community, McDonald founded Liberty Bank and Trust Company in 1972 with the help of several community leaders and investors. The bank began operations with just $2 million in assets and a single location in New Orleans.
Liberty Bank Review – Types of Accounts
Our Liberty Bank review found several types of account option. All checking, savings and CD accounts are FDIC-insured up to $250,000 per depositor.
- First Account Checking
- Premium Checking
- Personal Checking
- Capital Asset Fund Savings
- Personal Savings
- CDs
- First Savings
- IRAs
First Account Checking
Features:
- Opening deposit $50.00
- No balance requirements
- Option for Liberty Bank debit card
Premium Checking
Features:
- $50 deposit to open
- Interest earned on a minimum average daily balance of $1,000.00 or more
- Check images with monthly statements
- Available combined statement
Personal Checking
Features:
- $50 deposit to open
- Unlimited check writing
- Check images with monthly statements
- Free combined statement (optional)
Capital Asset Fund Savings
Features:
- $2,500 to open
- Interest earned when a minimum balance of $2,500 is maintained
- Unlimited in-person transactions
- Limit of six checks or debit card transactions per statement cycle, thereafter $10 per excessive transaction.
- No service charge on a minimum average daily balance of $2,500 or more.
- If the balance in the account falls below $2,500 any day of the cycle and monthly statement is received electronically, there is a $12.00 service charge fee. If monthly statement is requested to be delivered by mail, there is a $18 service charge fee.
- Statement shows check images, can be combined with other statements
Personal Savings Account
Features:
- Interest earned on any size balance
- Only $50 to open
- Balances that fall below $200 will incur a $4 monthly service fee
- Two withdrawals per monthly statement cycle, thereafter $2 per withdrawal
Certificate of Deposit (CDs)
Features:
- Open a CD with a minimum deposit of just $1,000
- Maintain a minimum balance of $1,000 to accrue interest at a fixed rate
- Choose a term that suits your needs, with options ranging from three months to five years
- Interest can be paid monthly, quarterly, semiannually or annually at no charge
- Interest can be paid by check or credited to another Liberty Bank Account
First Savings Account
Features:
- Available to minors (17 years of age and younger)
- Only $50 to open
- No minimum balance required
- No monthly service charge, regardless of balance
- Two withdrawals per monthly statement cycle, thereafter $2 per withdrawal
IRAs
Features:
- Traditional, Roth, Education and Rollover IRA options
- Interest earnings are tax-deferred
- Minimum deposit of only $500 to open
- Contributions may be tax deductible, subject to income limits
- Penalty incurred with early withdrawal
Liberty Bank Lending Services
1. Home Mortgage Loans
2. Automobile Loans
3. Personal Loans
4. Home Equity Loans
5. Personal Line of Credit
6. Personal VISA® Credit Card
6. Home Equity Line of Credit
Liberty Bank Business Services
1. Business Checking Accounts
2. Business Savings Accounts
3. Business Line of Credit
4. Commercial, Real Estate and Equipment Lending
5. Business VISA® Credit Card
Liberty Bank Locations
Liberty Bank operates in several states:
- BATON ROUGE, LA
- DETROIT, MI
- FOREST PARK, IL
- JACKSON, MS
- KANSAS CITY, KS
- KANSAS CITY, MO
- LOUISVILLE, KY
- MEMPHIS, TN
- MONTGOMERY, AL
- NEW ORLEANS, LA
- TUSKEGEE, AL
Who Is Liberty Bank Best For?
Throughout its history, Liberty Bank and Trust Company has been committed to serving the needs of the Black community, providing access to financial services and supporting economic development initiatives. The bank has also been a strong advocate for civil rights and social justice, playing an active role in the fight for equality and justice for all.
Liberty Bank may be a good fit for customers who want one or more of the following:
- A variety of checking, savings accounts.
- Access to snmall business accounts and lending.
- Mortgage loan products.
- Fulll-service banking where customers can establish long-term banking relationship.
Liberty Bank Customer Service
Liberty Bank
Customer Support
Phone: (504) 240-5288 or 1 (800) 883-3943
WebSite: www.libertybank.net
Liberty Bank is a designated CDFI
Liberty Bank is certified as a community development financial institution (CDFI) by the United States Department of Treasury. As a Community Development Financial Institution (CDFI), Liberty Bank partners with cities and communities across the nation to give them access to economic opportunities such as affordable housing, business development and simply fair financial products.
Final take
Despite facing many challenges, including the economic downturn of the 1980s, Liberty Bank and Trust Company has grown over the years, expanding to other cities and states. Today, the bank has over $600 million in assets and operates branches in several cities throughout Louisiana, Mississippi, Kansas, Missouri, and Alabama.
In recognition of his leadership and contributions to the community, Alden McDonald Jr. was inducted into the Louisiana Business Hall of Fame in 2017. Today, Liberty Bank and Trust Company continues to be a leading institution in the Black community and a symbol of hope and progress for all.
