Earned wage access can provide a solution to an underserved population in need of cash, but fee structures may need clarification.
Savings are the foundation for building wealth, but millions of underserved Americans struggle to take the first step towards establishing financial security through an emergency savings account.
The report is titled “Do Fintech Lenders Penetrate Areas That Are Underserved by Traditional Banks”; the report used account-level data from LendingClub and other US Banks with assets over $50 billion; according to the paper’s abstract: “We find that LendingClub’s consumer lending activities have penetrated areas that may be underserved by traditional banks, such as in highly concentrated markets and in areas that have fewer bank branches per capita. We also find that the portion of LendingClub loans increases in areas where the local economy is not performing well.” Source
Being “credit visible” presents life-changing benefits for consumers across all life stages.
The fintech industry has come a long way in a short period of time. While financial technology has been around...