Often regarded as predatory, the check cashing industry is booming. Lisa Servon wondered why people that are lower-income had been struggling would cash checks in place of finding a banking account, therefore she took employment being a cashier to discover. just just What she discovered — itвЂ™s frequently cheaper — may be the topic of her book that is new,The Unbanking of America.» Economics correspondent Paul Solman reports.
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Next: some cash is needed by you real fast?
Economics correspondent Paul Solman explores why, for a few clients, the most useful bet is probably not the financial institution.
It is element of their series that is weekly making of financial news.
JOE COLEMAN, President, RiteCheck:
And also this is East 138th Street, which in a variety of ways may be the Wall Street regarding the Bronx. You’ve got a complete great deal of monetary service providers over the street, bodegas. You have got little cash remitters.
And there is a pawn store, perhaps maybe perhaps not the type of financier you’ll find in the Wall that is actual Street. But, hey, this is actually the Southern Bronx, poorest district that is congressional America, where some 40 per cent of residents reside underneath the poverty line.
The primary supplier from the road is RiteCheck, where we now have our monetary solution center.
Joe Coleman is president for this chain of 14 shops within the South Bronx and Harlem. They’ll cash your checks, spend your bills, transfer money twenty four hours a time, 365 times per year.