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Diane Publishing Books
And Banking for All?
Michael S. Barr (au); Jane K. Dokko (au); Benjamin J. Keys (au)
Presents data from a survey of low- and moderate-income households in Detroit to examine bank account usage and alternative financial service products. For the majority of households, annual outlays on financial services for transactional and credit products are small, around 1% of annual income. Households with bank accounts are more economically active and have access to more forms of credit than un-banked households, resulting in greater use of financial services and higher total outlays. Policies designed to expand bank account access alone are unlikely to improve financial outcomes among LMI households unless accompanied by changes in the functionality of mainstream banking products. Charts and tables.
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