The US banking system is in crisis. Banks are not providing loans to the people who need them, and fees for services are skyrocketing. It’s no wonder that the unbanked population of America has doubled since 1980 – it’s getting harder and harder to stay afloat without a bank account. With many Americans underbanked or completely cut off from financial institutions, it’s also no wonder that post offices are increasingly seen as the best (or only) option for basic financial services.
Why Are Americans Having A Hard Time Accessing Banks?
A combination of factors has led to the banking crisis in America. From high fees and low-interest rates, banks are making it nearly impossible for the average American to keep money in their accounts. Even the minimum balance requirements are at an all-time high, and many Americans simply don’t have the money to meet them.
Other reasons could be the following
- The government has passed legislation that has made it more difficult for banks to loan money to the public.
- Banks are closing down branches throughout America, making access even harder.
- More Americans are living in low-income today than ever before, making it difficult to meet the minimum balance requirements.
This combination of factors is having huge implications on BIPOC people in the US. Mostly, they are the ones who are being penalized for not having enough money in their banks.
Why are Post Offices the best alternative for Banks?
Post Offices are federally insured, so you won’t have to worry about losing your money if the bank goes under. They have almost everything similar to a regular bank. They will accept deposits, they offer savings accounts and checking accounts.
In addition to this, post office branches are in almost every town in America, making the service more accessible than a bank. The US postal system has 32,000 post offices all across the country. You would be hard-pressed not to find one nearby your home or business.
Benefits of Post Offices:
1. Low or no minimum balance requirement
P.O.s don’t have a high minimum balance, meaning that you can deposit as little money as one dollar and still enjoy many of the benefits. With traditional banks, if your account is less than $100 in average daily deposits, they will charge fees every month until you meet their requirements.
2. Low fees
Post Offices charge very low or no fees. You can withdraw money for free, deposit cash without paying a fee. Also, transferring funds between accounts is simple and easy. If you want access to your money any time of day, there are many ATMs at post offices that allow 24/hrs to access your money.
You can find a post office right across almost every street in the USA. They are everywhere, so it’s easy to access your money wherever you go. There are 32000 post office branches around the country!
4. No complex rules
Post offices are very simple to use. You don’t need to be an expert in finance or know everything about the banking system, so there is no complex learning curve when it comes time to open up your post office account.
Since banking is becoming hard for average Americans, they are the best alternative for banks in America. They offer most of what traditional banks do – savings accounts, checking accounts, and low fees! You can get almost anything done at a post office, such as making deposits and withdrawals. Post offices are often more accessible than regular banks too.