As an experiment, an AP reporter tried to live for a month without using a bank so she could get a taste of how people who can’t get an account, or choose not to, live. She discovered fees and confusion galore, and found that it would end up costing her $1,100 a year just to spend her own money. That’s not even counting the cost of standing in “Soviet-style” lines in grungy check-cashing places to cash her paycheck alongside the great unwashed, and unbanked. Overall, depressing, anxious, and time-consuming experience [More]
If you’re saving up to buy an iPad, don’t do it by sticking your spare cash into an envelope. (Or a sock, for that matter.) As a woman in Palo Alto, Calif. learned, the same “credit or debit cards only” policy that Apple put in place to prevent rampant reselling of iPhones exists for iPads, and no stack of bills can be exchanged for the shiny gadget. [More]
With credit cards harder to come by and more annoying to use, the prepaid debit card market is projected to explode from $8.7 billion loaded on the cards to $119 billion in 2012, but a good chunk of that is going to be eaten up by hidden fees and gotchas. This sexy graphic visualization shows how.
Walmart, our nation’s largest employer, has eliminated paper paychecks. Now employees can choose to sign up for direct deposit or have their wages added to a pre-paid debit card. ABCNews says that only about half of Walmart’s employees use direct deposit — the rest either prefer a paper paycheck or, in some cases, don’t have a bank account.
There are three types of unbanked or underbanked people:
“At Chase we are committed to serving the Hispanic community by providing products and services tailored to their specific needs,” said Rebeca Vargas, head of multicultural marketing at Chase. “When customers told us that they wanted an affordable, safe and convenient way to send their hard-earned money back to loved ones in Mexico, we created Rapid Cash. Now, we are bringing it to customers in New York.”
Chase will offer 3 free transfer per month, for up to $1,500 each. The money can be picked up at any Banorte bank, for no fee.
“Would you like to load your check onto a Wal-Mart MoneyCard?”