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Digiday, February 14, 2017: How banks and startups are reaching the poorest Americans

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“’Many of the banking products available to lower-income customers, including prepaid debit cards, are too expensive or impractical to use, Baradaran said. “Banks have a monopoly on clearing, and that’s a chain that needs to be broken,’ she said.

Major brands, however, note that affordable, full-service accounts meet the market demand from lower-income customers. For example, the Citi Access Account ($10 monthly fee, waived if customers meet certain conditions) and Bank of America’s Safe Balance Account ($4.95 a month) are conventional accounts at lower price points. To them, the slow uptake among lower-income customers comes down to a lack of trust.”

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