Skip to content
Catholic Online Logo

By Catholic Online (NEWS CONSORTIUM)

11/28/2011 (3 years ago)

Catholic Online (www.catholic.org)

Nation's largest retailer attracting more people disenchanted by banks

Americans are very nonplussed with their banks these days. There are lots of fees, both upfront and hidden - and they're only going up in price. The nation's largest retailer, Wal-Mart, has reflected that growing disenchantment with their MoneyCard, a prepaid debit card with a flat $3-a-month fee.

Wal-Mart MoneyCenters offer a range of financial services, including affordable check cashing, options for bill payments and overseas wire transfers, all in addition to prepaid debit cards.

Wal-Mart MoneyCenters offer a range of financial services, including affordable check cashing, options for bill payments and overseas wire transfers, all in addition to prepaid debit cards.

Highlights

By Catholic Online (NEWS CONSORTIUM)

Catholic Online (www.catholic.org)

11/28/2011 (3 years ago)

Published in Business & Economics

Keywords: Wal-Mart, MoneyCard, debit card, banks, fees


LOS ANGELES, CA (Catholic Online) - Customers are able to get a prepaid debit card that they can reload at their convenience. To encourage the use of the card, free direct deposit is also available, and comes with a $10 bonus. In addition, the card requires no credit check or bank account. There is also no chance of overdraft fees, as one enthusiastic user says, "You can't spend what you don't have, so you can't go over. You don't get in trouble with it."

The MoneyCard is part of Wal-Mart's push into the financial services sector. The company sees this as a rich, untapped field. There has been a recent outpouring of anger for big banks. Most noticeably, current consumer dissatisfaction was best expressed after Bank of America announced plans this fall to charge depositors a monthly fee to use their debit cards for purchases, in addition to the overdraft and other charges frequently incurred. Bank of America withdrew that strategy after high customer complaint.

The use of prepaid debit cards has already been on the rise for several years. In 2009, research firm IBISWorld estimated the value of the market to be between $50 billion and $160 billion. Consumers Union issued a report titled "Prepaid Cards: Second Tier Bank Account Substitutes" in September of 2010, in which researchers connected consumers' decisions to switch to such cards with recession-related uncertainty. The report also noted that prepaid debit cards were still high cost, often carried confusing fees and offered little or no protection for customers' funds.

Wal-Mart has since addressed the fee issue and is attracting significant numbers of the unbanked with its MoneyCard.

The Federal Reserve estimates that 60 million Americans, or one fifth of the nation deal primarily in cash. An expert on the debit card market told radio journalists that he thought there were at least two million active MoneyCards. While Wal-Mart did not succeed in obtaining a federal bank charter, its MoneyCenters offer a range of financial services, including affordable check cashing, options for bill payments and overseas wire transfers, all in addition to prepaid debit cards.

The market for these cards may have begun among low-income workers and the unemployed in the midst of a recession, but they could well prove popular enough to stay in widespread use even if the economy improves.

---


Pope Francis: end world hunger through 'Prayer and Action'


Copywriter 2015 - Distributed by THE NEWS CONSORTIUM

Pope Francis Prayer Intentions for March 2015
Universal:
Scientists: That those involved in scientific research may serve the well-being of the whole human person.
Evangelization: Contribution of women: That the unique contribution of women to the life of the Church may be recognized always.


Rosaries, Crosses, Prayer Cards and more... by Catholic Shopping .com


Comments


More Business & Economics

Australian father-and-son team raises $10 MILLION for beehive project Watch

Image of The beehive symbolizes productive activity, and for father and son Cedar and Stuart Anderson of Australia, their project was literally that.

By Catholic Online (NEWS CONSORTIUM)

The beehive symbolizes productive activity, and for father and son Cedar and Stuart Anderson of Australia, their project was literally that. Nearly 30,000 people have funded their "Flow Hive" project on Indiegogo for $10 million dollars. Not bad at all for such ... continue reading


'Slow ya roll' Obama. You spoke too soon? Job growth suddenly slows down Watch

Image of

By Catholic Online (NEWS CONSORTIUM)

Intent on rallying the nation on its improved economy, U.S. President Barack Obama appears increasingly aware that threats are gaining speed that could derail job growth. LOS ANGELES, CA (Catholic Online) - "Our economy has been growing, we've got momentum," ... continue reading


Federal taxes unbelievably through the roof for February Watch

Image of Uncle Sam took in a lot of cabbage for the first few months of 2015. Why is the U.S. still trailing a momentous deficit, then?

By Catholic Online (NEWS CONSORTIUM)

Uncle Sam took in a lot of cabbage for the first few months of 2015. Inflation-adjusted federal tax revenues hit a record $1,185,613,000,000 in the first five months of fiscal 2015. Why is it that the U.S. federal government still ran a $386,537,000,000 deficit ... continue reading


Top 10 most financially important cities in the world Watch

Image of

By Hannah Raissa Marfil (NEWS CONSORTIUM)

New York City is still the most important center in the financial world, according to the latest ranking made by the Long Finance in The Global Financial Index 17. In the latest rankings, it was observed that more cities in Asia are becoming important within the world ... continue reading


Apple topples AT&T from Dow Jones in reflection of iPhone's dominant position Watch

Image of The move by S&P Dow Jones Indices had been widely anticipated since a seven-for-one stock split in June 2014.

By Catholic Online (NEWS CONSORTIUM)

Largest company in the world, Apple will join the Dow Jones Industrial Average to replace AT&T. The change reflects the dominant position of the iPhone maker in the U.S. consumer economy today. The figures tell the tale: Apple has a market capitalization of ... continue reading


'Underage Red': Sephora shocks consumers with inappropriately named lipstick shades Watch

Image of

By Hannah Raissa Marfil (NEWS CONSORTIUM)

With lipstick shades called "Underage Red" and "Lolita," the cosmetic retailer brand Sephora is under fire once again. Using names that refer to young girls being described in a sexualized manner, the lipstick shades grabbed the attention of shoppers, eventually ... continue reading


Oprah Winfrey sadly shuts down Harpo Studios forever Watch

Image of 61-year-old, Oprah Winfrey continues to play an active role in Hollywood, despite the ending of her talk show and now Harpo Studios.

By Abigail James (NEWS CONSORTIUM)

Oprah Winfrey is set to shut down production at her Chicago-based Harpo Studios by the end of 2015. After much thought, the billionaire mogul has decided production for her personal network OWN will be better done in Hollywood. LOS ANGELES, CA (Catholic Online) - The ... continue reading


SHINY, RED APPLE: Computer giant is now twice as big as world's second largest firm, ExxonMobil Watch

Image of Strong sales of the larger-screened iPhones resulted in the largest quarterly profit reported by a company, with device sales rising 29.5 percent in the final three months of 2014 to $74.6 billion,

By Catholic Online (NEWS CONSORTIUM)

How big is Apple? The creator of the iPhone and tablets is SO BIG that it is now currently twice as big as its second-closest rival, ExxonMobil. This is being reflected in the stock market, where shares in Apple jumped 2.7 percent at the start of the week to ... continue reading


WHERE IS YOUR MONEY GOING? Government collects $1 trillion from taxpayers - and there's still a deficit! Watch

Image of Where is all of our hard-earned money going?

By Catholic Online (NEWS CONSORTIUM)

Where is all of our hard-earned money going? Real federal tax revenues for the first time ever topped $1 trillion in the first four months of the fiscal year, October through January, according to data released Wednesday by the U.S. Treasury. LOS ANGELES, CA ... continue reading


80 MILLION Americans have their privacy invaded in Anthem data breach Watch

Image of An internal investigation, days later verified that the company was a victim of a cyber-attack, the company said, and federal authorities were alerted.

By Catholic Online (NEWS CONSORTIUM)

Insurance giant Anthem suffered a massive security breach when hackers broached computer safeguards and mad a wild data grab. Up to 80 million Americans have had their privacy effectively invaded, although authorities say more sensitive information was not ... continue reading


All Business & Economics News

Newsletters

Newsletter Sign Up icon

Stay up to date with the latest news, information, and special offers

Daily Readings

Reading 1, Acts 5:34-42
34 One member of the Sanhedrin, however, a Pharisee ... Read More

Psalm, Psalms 33:1-2, 4-5, 18-19
1 [Of David] Yahweh is my light and my salvation, ... Read More

Gospel, John 6:1-15
1 After this, Jesus crossed the Sea of Galilee -- or ... Read More

Saint of the Day

Saint of the Day for April 17th, 2015 Image

St. Anicetus
April 17: Anicetus was a Syrian from Emesa. He became pope about 155 and ... Read More

Inform, Inspire & Ignite Logo

Find Catholic Online on Facebook and get updates right in your live feed.

Become a fan of Catholic Online on Facebook


Follow Catholic Online on Twitter and get News and Product updates.

Follow us on Twitter