Underbanked Strategies – The New Faces
They're not who you expect. Thanks to the recession and regulatory changes, the underbanked American now almost certainly has a high school degree and makes $50,000 a year. Financial services companies want them – but should they? And do the underbanked really need traditional banks?
Demographics Shift, and Some Firms Shift Tactics
Traditional banks have shut out the lower income individuals who live paycheck to paycheck, focusing instead on middle-class and affluent consumers. But experts say some of the underbanked's vital statistics have changed dramatically in the past few years.
When Banks Aren't Really What Underserved Consumers Need
Two assumptions have underpinned the conversation: one, that underbanked consumers would be drastically better off if they were served by federally insured financial institutions; and two, that such for-profit financial institutions can make money by serving them.
COMMENTARY
Banks Can't Afford to Lose Unbanked Generation Y
When looking at Gen Y as part of the unbanked/underbanked sector, it is important to remember that, although Gen Y consumers today do not represent the majority of financial assets in the U.S., someday they will.
