Opinion: Success for Black, Brown Communities in Arizona Starts with Fair Credit Access

Devin Del Palacio
Vice President, Tolleson Union Governing Board

I have spent my life fighting to improve the lives of my community. As a community organizer, I knocked on doors and listened to families working hard, doing everything right, and still struggling to get ahead. As a school board member, I fought for children to have access to the education they need to build a better future. And as a former member of the Arizona State House, I worked to ensure families, workers, and small businesses had a real shot at economic success.

At the heart of each of these fights is one word: access.

For Black and Latino families, access is not an abstract policy debate. It is the difference between renting and owning, surviving and building, being overlooked and being given a fair chance. For generations, communities of color have faced barriers to banking, credit, housing, capital, and opportunity. Those barriers have not disappeared.

That is why the current proposal from the Federal Reserve, Office of the Comptroller of the Currency, and Federal Deposit Insurance Corporation matters. These agencies are considering changes to bank capital requirements, the amount of money banks must hold in reserve. While strong safeguards are important, unnecessarily high requirements can keep capital sitting idle instead of flowing into communities that need affordable credit.

This proposal would help expand access to credit for Black and Latino families and minority-owned businesses while maintaining financial stability.

The impact could be felt across Arizona. Greater flexibility for banks can help more families access affordable mortgage products and take steps toward homeownership, one of the most important tools for building generational wealth. Too often, families are delayed not because they lack responsibility or work ethic, but because credit is too expensive or too difficult to reach.

Minority-owned businesses would also benefit. Small businesses create jobs, support local events, mentor young people, and keep dollars circulating in neighborhoods. But without fair and affordable capital, many entrepreneurs are forced to grow slower, take on more risk, or miss opportunities altogether.

This rule can help level the playing field. It can make credit more accessible, support homeownership, strengthen small businesses, and help Black and Latino families build lasting opportunity.

For communities of color in Arizona, affordable credit is not just banking policy. It is a pathway to stability, ownership, and generational wealth. I thank the Federal Reserve, OCC, and FDIC for their work and urge them to finalize this proposal without delay.