More Americans now have access to bank accounts
NEW YORK >> More Americans have access to a checking or savings account, according to a survey released Thursday by federal regulators, a sign that the improving economy is helping lift the nation’s poorest households.
Having a checking or savings account is considered a cornerstone of financial stability in the U.S. Without one, households must rely on check-cashing services, prepaid debit cards and other costly ways to pay bills and make routine transactions.
The portion of Americans who do not have a bank account, known in industry jargon as the “unbanked,” declined to 7 percent in 2015 from 7.7 percent in 2013, according to the survey from the Federal Deposit Insurance Corp. The improvements came mostly from households making less than $15,000 a year and among minority populations, particularly black and Hispanic households.
Another way of looking at it: For every 10 households that were unbanked in 2013, one of those households is now banked.
“The improving economy no doubt impacted these numbers in a positive way,” FDIC Chairman Martin Gruenberg said in an interview.
The Census Department reported last month that median household income rose 5.2 percent from 2014 to 2015 , the first annual increase in that metric since before the Great Recession.