Richmond, VA: A Modern Financial Hub

Richmond as a Financial Capital: Then & Now

Richmond, Virginia, has a deep-rooted financial heritage dating back to colonial times. The Federal Reserve Bank of Richmond, established in 1914, is one of the twelve regional Reserve Banks in the United States. It plays a pivotal role in formulating and implementing monetary policy, supervising and regulating financial institutions, and providing financial services. Its decisions influence not only the U.S. economy but also global financial markets. Historically, the city played a notable role in currency production, from printing Crown currency and dealing with the Stamp Act in colonial times to serving as the financial center of the Confederacy during the Civil War under Treasurer Robert Hunter.

Richmond has also been home to significant banking innovations and mergers. The prominent regional bank Crestar, for example, was acquired by SunTrust, eventually merging with BB&T to form Truist. Similarly, the local division of Signet Bank, spearheaded by Rich Fairbanks, evolved into Capital One, now a major national player. Richmond also saw the founding of Brinks Security by Mary Morton Parsons, further solidifying its role in finance and security services.

Banking Access & Equity

Richmond's financial landscape is marked by both historical achievements and challenges regarding equity and accessibility. Maggie L. Walker famously broke barriers by establishing St. Luke Penny Savings Bank in 1903, becoming the first African American woman to charter and operate a bank in the United States. Despite Walker’s groundbreaking work, many Richmond residents historically faced exclusion from mainstream banking services due to racial discrimination and economic barriers, creating lasting inequities.

As of 2023, approximately 0.9% of Virginia residents remain unbanked, significantly lower than the national average of 4.2%.^⊃1; However, challenges persist, particularly in underserved communities. The Richmond Fed has noted an increase in "banking deserts"—areas lacking adequate banking services—within the Fifth District, which includes Virginia. Between 2019 and 2023, these banking deserts grew by 50 census tracts, impacting approximately 170,000 individuals.^⊃2; Today, numerous initiatives and community-focused banks strive to close these gaps and provide greater financial inclusion throughout Richmond.

Regional Banks with Major Footprints

Truist, formed through the merger of SunTrust and BB&T, maintains a significant regional presence with approximately 18 branches in Richmond, known for extensive digital services and robust local economic support. Atlantic Union Bank, with roots dating back to 1902, is recognized for providing tailored financial products such as business loans, mortgages, and personalized banking services. TowneBank, headquartered nearby in Portsmouth, emphasizes community engagement and customer service across its Richmond locations.

Virginia National Bank and First Bank & Trust Company round out the regional banking landscape, offering specialized banking solutions particularly suited for small to medium-sized businesses, emphasizing strong local relationships and personalized customer service.

National Banks Operating Locally

Richmond hosts numerous branches of major national banks. Wells Fargo operates approximately 15 branches, providing extensive digital banking services. Bank of America, with around 10 branches, actively participates in local community initiatives while offering comprehensive personal and commercial banking services. First Citizens Bank, with two Richmond branches, is known for stability, innovation, and diverse financial solutions. Chase Bank also has a growing presence, currently operating seven branches within the region.

Credit Unions in the Richmond Metro

Credit unions provide valuable alternatives to traditional banks in Richmond. Virginia Credit Union (VACU) operates over 20 branches, offering personalized financial services. Call Federal Credit Union, Navy Federal Credit Union, Argent Credit Union, Henrico Federal Credit Union, Connects Federal Credit Union, Credit Union of Richmond, and Dominion Energy Credit Union each have multiple branches, serving diverse local communities with a strong focus on customer service, financial education, and community engagement.

Richmond's Fintech Landscape

Richmond has emerged as a burgeoning hub for financial technology (fintech) innovation. Notable fintech companies include WealthForge, specializing in private capital management; NeoSwap, providing AI-driven barter exchange platforms; Lend-Grow, connecting borrowers with local lenders; Pocket Properties App, allowing fractional real estate investments; Koalifi, offering digital lending solutions; and Complify, an AI-driven compliance platform. These companies contribute significantly to Richmond's dynamic fintech ecosystem, promoting innovation and expanding access to financial services.

The Future of Banking in Richmond

Looking forward, Richmond’s banking scene is poised for continued growth and innovation. Challenges remain in addressing financial equity and the needs of unbanked communities, yet opportunities for expansion in home lending, small business financing, commercial investments, and fintech innovations are abundant. With a rich financial history as its foundation and ongoing adaptations to new economic realities, Richmond remains a key financial hub in the mid-Atlantic United States, well-equipped to support the diverse financial needs of its residents and businesses for years to come.