This article reports on a research and teaching project that brought the theory of racial literacy into practice in teacher education. Three teacher educators collaborated to develop and implement racial literacy curriculum in their courses and to analyze the responses of teacher candidates. Through qualitative analysis of course assignments and interviews, the article explores how teacher candidates noticed and engaged with racialized dynamics in their own educational experiences and in their field placements. Candidates also began to envision themselves as racially literate teachers who can integrate themes of race and (in)justice into their work. The article explores racial literacy development as an ongoing and non-linear process that requires repeated engagement, differentiation, and support. It discusses how teacher educators can respond to the needs and racial stresses (Stevenson, 2014) of both white and racially minoritized teacher candidates and generates recommendations for faculty and institutions concerned with preparing racially literate educators.