Skip to content
Catholic Online Logo

By Catholic Online (NEWS CONSORTIUM)

11/28/2011 (4 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 (4 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'


Copyright 2015 - Distributed by THE CALIFORNIA NETWORK

Pope Francis Prayer Intentions for April 2016
Universal:
Small Farmers: That small farmers may receive a just reward for their precious labor.
Evangelization: African Christians: That Christians in Africa may give witness to love and faith in Jesus Christ amid political-religious conflicts.



Comments


More Business & Economics

Obama brags in face of economic failure Watch

Image of The Obama administration claims the economy is thriving - but what is REALLY going on (TPNN)?

By Kenya Sinclair (CALIFORNIA NETWORK)

We all know "that guy." You know the one - the guy who is obsessed with conspiracy theories and who swears the government is out to get us. Well, according to newly released economic data, "that guy" might be (partially) right. LOS ANGELES, CA (Catholic Online) - U.S. ... continue reading


Yes, there's definitely something wrong with millennials, and here's what it is! Watch

Image of As far as millennials are concerned, the American dream is just that -- you have to be asleep to believe it.

By Marshall Connolly (CALIFORNIA NETWORK)

Across the country, the news is shocking. Over half of the millennials think socialism might be a good thing. Most of them believe the American dream is a myth, and public perception is that something is wrong with them. Why do they just want "free stuff?" LOS ANGELES, ... continue reading


Billionaire Soros warns China is near economic collapse Watch

Image of China's economy may be heading for trouble.

By Marshall Connolly (CALIFORNIA NETWORK)

Billionaire George Soros is sounding the alarm, China is about to go down and the rest of the world could follow. According to Soros, there is a major resemblance between China now and the United States in 2007-2008 just before the U.S. economy entered the Great ... continue reading


IRS issues dire warning before Panama Papers crackdown begins Watch

Image of The Panama Papers detail the tax evasion schemes of thousands of wealthy people around the world.

By Marshall Connolly (CALIFORNIA NETWORK)

The IRS has issued a warning to the rich who have been hiding money offshore - come clean now, before we catch you ourselves. The warning follows the leak of over 11 million pages of documents that detail the private, often hidden financial moves of wealthy people ... continue reading


Obama's Saudi masters order him not to sign 9/11 bill Watch

Image of It's not about the victims, it's about the Saudis.

By David Drudge (CALIFORNIA NETWORK)

Saudi Arabia is about to escalate their economic war with the United States should Congress pass a law that will allow victims of the 9/11  terrorist attacks to sue foreign states. The Obama administration opposes the bill and is lobbying against it. LOS ANGELES, ... continue reading


You won't believe how California's rich spend their money! Watch

Image of Top 1 percent pays nearly half of all California taxes (istockphoto).

By Kenya Sinclair (CALIFORNIA NETWORK)

When you think of California, images of sandy beaches, sun-kissed skin and Hollywood stars flash through your mind - and you're not wrong! California's rich enjoy all the sunny state has to offer - but at what cost? LOS ANGELES, CA (Catholic Online) - According to ... continue reading


Tesla KILLS American car industry in just 3 days. GOOD! Watch

Image of The Tesla Model 3 will sell for an average price of $42,000. Subsequent competition and models will reduce future prices even further.

By Marshall Connolly (CALIFORNIA NETWORK)

Tesla has blown away all predictions, selling over 276,000 pre-orders of their affordable Model 3 electric car, within 72 hours of going live. The massive public interest reveals a major shift in public preferences and should send shockwaves through the auto industry. ... continue reading


You won't believe what JUST happened to Walmart! Watch

Image of What does Walmart's revenue drop mean (WalmartDid).

By Kenya Sinclair (CALIFORNIA NETWORK)

The discount giant has received its first dip in revenue since its inception in 1996. Can the drop signify the beginning of the end? LOS ANGELES, CA (Catholic Online) - The digital age has marked a permanent shift in the way humanity perceives the world.One smartphone ... continue reading


Why Democratic Socialism is coming to America, whether you like it or not, and what you can do about it (but won't) Watch

Image of Presidential hopeful Bernie Sanders is a self-described democratic socialist. His movement is popular with millennials who are coming of age.

By Marshall Connolly (CALIFORNIA NETWORK)

America is in more trouble than people realize and here's why. The middle class is becoming poor, and as the ranks of the poor grow, our national politics will change. LOS ANGELES, CA (California Network) - The United States is changing and many people are having a ... continue reading


You'll never believe what the U.S. government is doing with $917 billion Watch

Image of How much do YOU owe (Shutterstock)?

By Kenya Sinclair (CALIFORNIA NETWORK)

How often do you swipe your credit card without considering your credit limit? When you don't have funds in your checking account, do you turn to credit cards to cover groceries, outings or bills? Have you considered what that credit card debt can do on a larger scale? ... continue reading


All Business & Economics News

Newsletters

Newsletter Sign Up icon

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

Subscribe to Catholic OnlineYouTube Channel

the FEED
by Catholic Online

Daily Readings

Reading 1, Acts 16:11-15
11 Sailing from Troas we made a straight run for Samothrace; the next day ... Read More

Psalm, Psalms 149:1-2, 3-4, 5-6, 9
1 Alleluia! Sing a new song to Yahweh: his praise in the assembly of the ... Read More

Gospel, John 15:26--16:4
26 When the Paraclete comes, whom I shall send to you from the Father, ... Read More

Saint of the Day

Saint of the Day for May 2nd, 2016 Image

St. Athanasius
May 2: St. Athanasius, the great champion of the Faith ... Read More