It is Increasingly Difficult for Banks to Serve the Poor In Changing Market
Things are changing in the world of banking today. These changes are making it more and more difficult to make the lower income households. Not only that, but these changes could cause the lower income households to have to pay more for the same banking privileges they have now.
Technology is huge in our culture that is no secret. It is also not a secret that more and more companies are marking what they have to offer available through this technology. It is this technology that could end up forcing some lower income households out of the banking industry all together.
Mobile phones are almost everywhere and almost everyone uses them. The days are past where we use these phones to simply make phone calls and text our friends. We use them for just about everything we would use a computer for. This includes bill paying and banking in general.
Not everyone has these smart phones that they can do this on however. This poses a bit of an issue. More and more banks and credit unions are moving toward using these technology and communication platforms. One problem this does seem to be causing right away is that some of the credit unions and banks that are doing this are finding that they need to assign fees to the various services that they did not charge for previously.
With this technology on the rise it is easy to see that it will be going nowhere soon. Many people vary rarely have the need to even visit a branch of their bank or credit union anymore, as most of what they need to do can be done online and on their phones.
Not only is this technology keeping people out of the doors, but it also poses somewhat of a security risk. Now the banks and credit unions need to make sure that all online activity is completely safe. This keeps their customers happy and content knowing they can go about functioning in this way and not have to worry about whether or not it is risky.
This keeps costs up for the different banks and credit unions, to constantly stay on top of online security. This is one reason that they are starting to charge for things they have not charged for in the past. The other reason has to do with man power. They cannot risk not having enough employees at work on any given day, in the even that that is the day everyone wants to make one of their trips into the branch or through drive through. Banks and credit unions are realizing that more and more people are visiting them less and less frequently, but when those people do come, they want to make sure they will be helped in a timely manner.
Whether you prefer to bank online or in person, things may change at your local branch in the future. You may find that you are paying higher fees than you were before and even that you are paying fees for things that you did not have to pay for in the past.This all comes with the move to technology that we as a culture are going through. They may surprise us at first, but as with all things, it will not be long before we do not even notice anymore.