Empowering Underbanked Consumers in the Mobile Era: Identifying Bank Needs and Ranking Top Prepaid Providers
- Date:May 27, 2014
- Mary Monahan
- Report Details: 32 pages, 19 graphics
- PAID CONTENT
The underserved, underbanked, and unbanked population is large and diverse: At present just over one in four Americans fall into this category. Because of the underbanked market’s clout, alternative financial providers are stepping up to provide products and services expressly tailored to meet the needs of this increasingly influential group. Prepaid accounts, coupled with mobile access, FDIC insurance, and bill pay, are one of the better ways that alternative providers are serving high‐tech, underserved consumers. The report ranks 13 prepaid providers on their underbanked consumer offerings and examines five second‐chance providers. This report not only looks at the financial behaviors and habits of this highly mobile, younger group of consumers but also examines its preferences for omnichannel banking interactions, and makes recommendations for best practices.
- How many Americans are underbanked and unbanked, and what is their general profile?
- What devices (e.g., computers, laptops, tablets, feature phones, or smartphones) do the underbanked favor for various transactions?
- Do underbanked customers prefer the branch, ATM, call center, or online or mobile banking for different financial actvities?
- What payment methods — debit, checks, prepaid, etc. — do the underbanked use most?
- What are the best prepaid products on the market?
- What are the best pracices for serving the underbanked?
|City Bank Texas
|Commonwealth One FCU
|Duane Reade Family Dollar
|Bill Me Later
|Heritage Community CU
- A random-sample panel of 3,213 respondents in an October 2013 online survey.
- A random-sample panel of 5,641respondents in an March 2013 online survey.
- A random-sample panel of 3,285 respondents in an July 2013 online survey.
- A random-sample panel of 3,509 respondents in an November 2013 online survey.
Learn More About This Report & Javelin
Over the past five years, Javelin Strategy & Research has persistently raised the alarm about the escalating influence of three dominant fintech platforms—Intuit, Block, and PayPal...
Small FIs don’t have the resources to compete with the largest banks in developing mobile banking features. Instead, community banks and credit unions outside the top 20 must count...
The PFM space has always been FIs’ game to lose. However, the longstanding success of the app Mint and the reaction to its demise underscore that an opportunity for FIs to win rema...