Massett: Merger would expand credit access for charter families

Kendall Massett is the executive director of the Delaware Charter School Network.

Access to credit is a cornerstone for economic empowerment and community growth. As the executive director of the Delaware Charter Schools Network, I understand the impact financial stability has on our families’ success and, by extension, our students’. I believe the proposed merger between Capital One and Discover holds significant promise for expanding credit access, particularly in minority communities that have historically been underserved — the very communities that our charter schools were built to serve.

One of the fundamental tenets of our charter schools is that competition fosters an environment where everyone benefits. We’ve seen this principle in action in the education space, where our schools continually strive to improve and innovate. Now, with this merger, we have an opportunity to bring the same spirit of competition to the financial services sector.

Capital One has been a leader in providing financial services to low- and moderate-income communities. Its track record speaks volumes, with one-third of its branches in these neighborhoods. Additionally, a substantial portion of Capital One’s $4.75 billion in community development loans in 2023 supported affordable housing initiatives. By merging with Discover, these efforts will be magnified, allowing even more families — including charter families — to benefit from financial tools and programs that can help them build and maintain good credit and financial support.

In many of the communities we serve every day, access to credit remains a significant barrier to achieving economic stability and growth. This merger represents a bridge across that gap. Through no-fee banking, free overdraft protection and credit-building programs, we can empower our communities with essential financial resources. Just as our schools work tirelessly to bridge educational gaps, we are grateful for the benefits the merger will bring our neighborhoods.

Further, this merger aligns with President Joe Biden’s economic goals of ensuring equal access to financial opportunities. By supporting underserved areas and providing essential financial services, we can work toward a more equitable economy, where everyone has the chance to succeed financially.

I urge regulators to approve this merger. The merger represents a crucial step toward financial inclusion and equity for all — a vision that resonates deeply with the mission of our network.

Reader reactions, pro or con, are welcomed at civiltalk@iniusa.org .