Millennial Pocket
  • Home
  • About
  • Banking
  • Financial Banking
  • Forex
  • Contact Us
No Result
View All Result
  • Home
  • About
  • Banking
  • Financial Banking
  • Forex
  • Contact Us
No Result
View All Result
Millennial Pocket
No Result
View All Result
Home Forex

FDIC Survey Highlights Unbanked and Underbanked Populations

eoe86 by eoe86
July 12, 2023
in Forex
0
190
SHARES
1.5k
VIEWS
Share on FacebookShare on Twitter

Related articles

Bank Statements are Critical to Financial Livelihood

Bank Statements are Critical to Financial Livelihood

September 18, 2023
What is a Property Appraisal and Why is it Important?

What is a Property Appraisal and Why is it Important?

August 14, 2023

Since 2009, the Federal Deposit Insurance Corporation (FDIC) has produced a biennial report surveying the unbanked and underbanked population of the United States. Their most recent report, which tracks 2021 data, was recently released.

While the proportions of the population that are unbanked and underbanked declined since the last survey in 2019, an estimated 5.9 million households remain without access to a bank account. We can be encouraged by the decreasing rate of unbanked households, but the fact that millions of people in this country still lack a basic need should encourage us to continue our work. Postal banking, and simple financial services available at post offices, should remain a goal of everyone interested in reducing inequality and building a better society.

The FDIC survey also underscored that the provision of financial services across the country is still shaped by its social, economic, and racial divides. The survey found that “unbanked rates were higher among lower-income households, less-educated households, Black households, Hispanic households, working-age households with a disability, and single-mother households.”

The most common reason unbanked people cited for not having an account is that they “don’t have enough money to meet minimum balance requirements.” Others cited high fees, or a lack of trust in banks, as the main reasons for not holding an account.

We believe that expanded postal financial services could reach many of these people and bring them simple, trusted, low-cost financial services. Postal banking systems in other countries provide valuable financial services, with either much lower fees, or even without any fees at all. These services can be offered without minimum balance requirements because they are provided as a public service.

One interesting finding in the most recent study is that the COVID-19 stimulus funds may have helped move more households into “banked” status. Among those who were worried about fees or minimum balance requirements, the additional cash provided by COVID relief was sometimes enough to get them over their reservations about costly services. This, once again, underscores “the high cost of being poor” in American society.

Postal Banking and the New Political Landscape              

After the 2020 elections, this column reported on some of the priorities for our campaign heading into the 117th Congress. For much of the past two years, in addition to the work to get the Postal Service to independently move out on some pilots of modest financial services, we’ve spent much of our efforts focused on getting Congress and the Biden Administration to support these goals.

In both 2021 and 2022 House appropriators include language that would have compelled the Postal Service to roll out a robust pilot program of financial services, but our progress was stymied in the Senate both times.

Now, with a more conservative majority in the House of Representatives, we might expect that the appropriations landscape may be more challenging in the Congress ahead.

Nonetheless, we will continue to press the Biden administration to exercise all of its authority to advance postal banking forward in the next two years.

As we’ve reported before, the Postal Service is permitted to partner with federal agencies to provide necessary services to the American public. Such a partnership with either the Treasury or Federal Reserve could result in a postal-provided service to meet many of the needs of the unbanked and underbanked across the country.

The recently-passed Postal Service Reform Act also offers new opportunities for the Postal Service to partner with state and local governments. In the past few years, several states and cities have made advances in creating public banks. It’s possible that partnerships at these levels could also result in new types of financial services, offered in conjunction with the Postal Service, that meet the needs of local residents.

Share76Tweet48

Related Posts

Bank Statements are Critical to Financial Livelihood

Bank Statements are Critical to Financial Livelihood

by eoe86
September 18, 2023
0

Consistently reviewing bank statements can become a critical asset to your financial health. A bank statement is a very important...

What is a Property Appraisal and Why is it Important?

What is a Property Appraisal and Why is it Important?

by eoe86
August 14, 2023
0

If you are in the market for a new home, want to sell your current home, or have an interest...

When is My Money Covered by the FDIC?

When is My Money Covered by the FDIC?

by eoe86
July 17, 2023
0

The FDIC provides insurance coverage to your money under deposit insurance when your money is placed in a bank that...

Grand Alliance Ally Makes the Case for Postal Banking

by eoe86
July 14, 2023
0

A new report is out making the case for postal banking and calling on postal management to make the investments...

Whither the Postal Regulatory Commission?

by eoe86
July 12, 2023
0

In September 2021, we announced that the Postal Service and the APWU had partnered on a limited proof-of-concept test of...

Load More
  • Trending
  • Comments
  • Latest
Inclement Weather Update

Inclement Weather Update

September 26, 2022

Wire Fraud

September 7, 2022

Online Banking will be unavailable tonight from 8pm CT/9pm ET – 8:15pm CT/9:15pm ET for routine maintenance. We apologize for any inconvenience.

September 20, 2022
What is Deposit Insurance and What Does it Cover?

What is Deposit Insurance and What Does it Cover?

August 15, 2022

Core Code Ambassador Spotlight: Adam Emberton

0
Core Bank Breaks Ground on New Sarpy County Location

Core Bank Breaks Ground on New Sarpy County Location

0
How to be a Smart Holiday Shopper

How to be a Smart Holiday Shopper

0
Make Saving Part of Your Resolution

Make Saving Part of Your Resolution

0

Core Code Ambassador Spotlight: Adam Emberton

September 29, 2023
Preparing for End of Year, A Five Part Series: Reviewing Fee Schedules

Preparing for End of Year, A Five Part Series: Reviewing Fee Schedules

September 21, 2023
How Does Bankruptcy Work for Married Couples?  You Can File Together, or Separately.  A Lawyer Can Show You Which Is Best

How Does Bankruptcy Work for Married Couples? You Can File Together, or Separately. A Lawyer Can Show You Which Is Best

September 18, 2023
Bank Statements are Critical to Financial Livelihood

Bank Statements are Critical to Financial Livelihood

September 18, 2023

About

Investors aim to make money and build wealth over time through the practise of investing. There are a variety of ways to generate future income, and an investment can be defined as any of these methods.

Recent Post

Core Code Ambassador Spotlight: Adam Emberton

September 29, 2023
Preparing for End of Year, A Five Part Series: Reviewing Fee Schedules

Preparing for End of Year, A Five Part Series: Reviewing Fee Schedules

September 21, 2023

Categories

  • Banking
  • Financial Banking
  • Forex
  • Home
  • About
  • Forex
  • Banking
  • Financial Banking
  • Contact Us
  • Privacy Policy
  • Terms And Conditions

Copyright@2022 All rights reserved by Millennial Pocket

No Result
View All Result
  • Home
  • About
  • Banking
  • Financial Banking
  • Forex
  • Contact Us

Copyright@2022 All rights reserved by Millennial Pocket

Please wait...

Subscribe to our newsletter

Want to be notified when our article is published? Enter your email address and name below to be the first to know.
SIGN UP FOR NEWSLETTER NOW