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The bottom line: Mechanics & Farmers Bank is the only Black-owned bank in North Carolina. It's a top pick in our best banks and credit unions in North Carolina because it has a great free high-yield checking account and it's certified as a community development financial institution. However, bear in mind its savings and money market accounts have monthly service fees (unless you qualify to waive them).

Mechanics & Farmers Bank: Overall Bank Rating

Mechanics & Farmers Bank: Pros and Cons

Mechanics & Farmers Bank Statement Savings Account

You may like the Mechanics & Farmers Bank Statement Savings Account if you can maintain a $200 balance, because then you'll qualify to waive the monthly service fee. You'll earn a significantly higher rate with the best high-yield savings accounts at online banks, though.

Mechanics & Farmers Bank Dash Checking Account

This is a good checking account if you can meet all of the following criteria each month:

• Make at least 15 debit card transactions that total $350
• Log into mobile or online banking at least once
• Get an e-statement
• Receive at least $500 in direct deposits

When you meet all these qualifications, you will earn a high interest rate and get up to $15 in out-of-network ATM refunds.

Mechanics & Farmers Bank CD

Mechanics & Farmers Bank has CD terms from three to five years, but it pays low interest rates. You can find the best CD rates at online banks, though.

Mechanics & Farmers Bank Money Market Account

The Mechanics & Farmers Bank Money Market Account is probably the bank's weakest product. You need $1,000 to get started, and you'll pay a $12 or $14 monthly service fee unless you can maintain a $5,000 balance. On the plus side, you can order paper checks to access your savings more easily than you could with the regular savings account.

How Mechanics & Farmers Bank Works

Mechanics & Farmers Bank is a Black-owned bank in North Carolina, with eight branches across Charlotte, Durham, Greensboro, Raleigh, and Winston-Salem. There's a free ATM at each branch, and you can use any ATM in the Wells Fargo network for free.

The bank's mobile app has 4.7 out of 5 stars in the Apple store, and 4.4 out of 5 stars in the Google Play store.

To contact customer service, call a branch Monday through Thursday from 9 a.m. to 5 p.m. ET, or Friday from 9 a.m. to 6 p.m. ET. You can also send a message online and wait for a response.

Your deposits are FDIC-insured for up to $250,000, or up to $500,000 for joint accounts.

The Role of Black-led Financial Institutions

There is a history of racial prejudice in banking and lending that has significantly impacted Black Americans and contributed to a racial wealth gap in the US. Black-led financial institutions serve an integral role in providing services and products to Black communities.

Mechanics & Farmers Bank is certificated as a CDFI. CDFIs serve low-income and disadvantaged communities. Banks and credit unions have to undergo certification by the US Department of Treasury's Community Development Financial Institutions Fund and meet specific requirements to address banking barriers.

Mechanics & Farmers Bank gave over 171 PPP loans to small business owners during the COVID-19 pandemic, and 75% of the loans were given to minority-owned businesses.

The bank also hosts financial literacy workshops in each city with a branch, and employees and management attend around 80 community events each year.

Mechanics & Farmers Bank Trustworthiness and BBB Rating

Mechanics & Farmers Bank doesn't have any public controversies.

The Better Business Bureau gives Mechanics & Farmers Bank an A+ rating. The BBB measures trustworthiness by looking at a company's responses to customer complaints, honesty in advertising, and transparency about business practices.

Mechanics & Farmers Bank Review vs. OneUnited Bank Review

You'll prefer Mechanics & Farmers Bank if you want to bank in person, but you may like OneUnited Bank for banking digitally.

Both banks pay relatively low rates on savings and CDs, but Mechanics & Farmers has a high-yield checking account. You might like OneUnited for its early direct deposit feature, which processes your direct deposits up to two days early.

Mechanics & Farmers Bank Review vs. Liberty Bank and Trust Review

Liberty Bank and Trust is a good option for online banking, but it doesn't have brick-and-mortar branches in North Carolina like Mechanics & Farmers does.

Your choice between the two could come down to which accounts you prioritize. Mechanics & Farmers pays high rates on checking, while Liberty pays higher rates on CDs.

Mechanics & Farmers Bank: Frequently Asked Questions