The fight for greater financial inclusion and stability in America has begun for millions of consumers following the pandemic that has pervaded industries, neighborhoods, and families in fundamental ways.
According to Pew Research in March 2021, about 50 percent of all adults who are not retired claim the pandemic has made it harder for them to reach their financial goals. This percentage rises to 58 percent for lower-income individuals. About four in 10 Americans say they have had to take a pay cut, been laid off, or have lived with someone who has.
COVID in the last year and a half has tragically exposed the injustices in wealth generation and health care in marginalized communities – a social structure of inequality that has long existed in the United States. According to McKinsey Consulting, a lack of access to financial services and programs like affordable small dollar loans in so-called “banking deserts” is not merely a symptom of the racial wealth gap; it’s a cause. Fortunately, the mission of improved financial inclusion and access to financial services for the underbanked and low-income communities may have found its champion with the new guy in charge of the Consumer Financial Protection Bureau (CFPB), Acting Director Dave Uejio.
In this attached video, Director Uejio discusses his own family’s history experiencing systemic inequality and his commitment to taking bold action to overcome the challenges of racial injustice as well as the long-term economic effects of COVID on America’s consumers.
Credit unions are tailor-made for today’s American consumer in accessing the fundamentals of personal finance and stability, especially in light of the devastating effects brought on by COVID. In fact, the very nature of the credit union system of service offers specialized advantages like better, more personal member attention, competitive interest rates, and superior financial education initiatives; products and services like the QCash mobile small dollar loan platform.
Implementing the QCash small dollar lending platform into your credit union’s digital app negates “banking deserts” from your members’ lives while enabling them to acquire the funds they need when life happens and emergencies need solving. Think Director Oejio’s family would approve? We think so, too.
If you’re considering offering your members more affordable and improved access to small dollar loans, please go to our website for details and a demo.