In a Fresh Air interview, historian Justene Hill Edwards explores the Freedman's Savings and Trust Company, a bank founded in 1865 to serve newly freed Black Americans. Although it started off strong, the bank suffered from mismanagement by its white trustees, who made risky loans to white businessmen while neglecting the needs of Black depositors. This mismanagement ultimately led to the bank's collapse in 1874, resulting in the loss of millions in savings for Black Americans and underscoring the economic violence and systemic racism of the time. Even the late appointment of Frederick Douglass as president couldn't save the institution, revealing a deep betrayal of trust and its lasting effects on Black wealth accumulation.
