Fringe Banking: Check-Cashing Outlets, Pawnshops, and the Poor by John P. Caskey
Outlets, In today's world of electronic 1998; cash 1974; transfers, 1968; automated teller Fringe machines, and Pawnshops, credit cards, the image 1979; of 1970; the 1979; musty, junk-laden 2007; pawnshop Pawnshops, seems Outlets, a by relic and of John the Pawnshops, past. But it is Pawnshops, not. 1987; The 1980s witnessed a tremendous John boom P. in Fringe pawnbroking. There are now more Check-Cashing pawnshops than ever by before in U.S. 2008; history, 1973; and they are found not 1978; only Pawnshops, in 1988; large cities but in towns and by suburbs 1979; throughout the nation. As 1963; John the Caskey Caskey demonstrates Check-Cashing in the Fringe 1987; Banking, 1967; the 2001; increased public patronage 1988; of both Fringe pawnshops and 1980; commercial check-cashing Caskey outlets signals Outlets, the growing number and of 1974; American households Check-Cashing now Caskey living John on 1991; a Poor cash-only basis, with 1971; no connection P. to any mainstream the credit facilities or Poor banking services. 2003; Fringe Banking 1972; is the 1987; first 1959; comprehensive study 1966; of 1999; pawnshops Pawnshops, and check-cashing outlets. Banking: It profiles their 1977; operations, their Banking: customers, Banking: and 1970; their 1982; recent Fringe growth 2003; from small family-owned Fringe shops Poor to the such P. successful outlet by chains as by Cash America 1972; and ACE America's Cash by Express. Further, 2001; it Caskey explains P. why, in spite of Fringe interest rates 1962; and 1978; fees 1997; that are substantially 1960; higher than 1968; those of banks, their use has 1998; so John dramatically increased. 1989; According 1981; to Caskey, Banking: declining family earnings, 1986; changing family Poor structures, Caskey a 1976; growing immigrant 1981; population, by and lack 1983; of household 1976; budgeting skills 1961; greatly reduced the 1983; demand Caskey for bank deposit services Check-Cashing among millions of Americans. In P. addition, 1975; banks responded 1979; to 1980s regulatory Fringe changes 2008; by 1965; increasing and fees on 1963; deposit 1962; accounts with Outlets, small John balances 1985; and 1979; closing Fringe branches in 1978; numerous poor urban 1957; areas. These factors combined Poor to Outlets, leave many Poor low- and moderate-income 1960; families without access to checking Outlets, privileges, 1961; credit Check-Cashing services, 1971; and bank 1991; loans. by Pawnshops 1985; and 1971; check-cashing 1964; outlets provide such families and with 1987; essentialfinancial Banking: services they cannot Pawnshops, obtain elsewhere, and often meet 1970; additional needs by Poor selling 1958; money 1987; orders, 1973; arranging wire 1962; transfers of by funds, and and 1961; handling 1971; utilities Fringe payments.