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> In some ways, making a card a requirement for consumption is analogous to making identification a requirement for voting. The effect is the same: It disempowe

by ng12 8y ago

> In some ways, making a card a requirement for consumption is analogous to making identification a requirement for voting. The effect is the same: It disempowers communities of color. This correct in the sense that we're solving the wrong problem. The problem is that many people from poor communities lack any form of government identification. It's also a problem that they are locked out of 21st century payment systems. We should focus our efforts on fixing those problems, not making sure they can continue to exist with sub-par services.

deleted 8y ago
[deleted]
mc32 8y ago
Is this true or an assumption? If you’re poor and getting public assistance, you need a gov id. Buying any restricted good or service requires gov id (cigs, beer, etc.) Young people who are dependents on the other hand may be affected.
rossdavidh 8y ago
While I think you have a point, I believe that it is probably out of the city government's control that the economy we have has a lot of people unable to access modern finance. However, they are able to pass regulations that require restaurants to do something which all restaurants were doing until very recently, and most still do.
fipple 8y ago
“Eliminate the unbanked in NYC” is a lot harder to achieve than “require businesses to accept cash.”
- hakfoo 8y ago
  I always imagined the solution was some sort of universal bank account. Every SSN/ITIN/EIN has a bank account with some basic defined features attached. The account might technically be operated by a state entity to solve some of the cost problems of many accounts with near-zero balances. Might fit well with the "turn post offices into banks" proposal that was big a year or two ago--let them be the point of service for the universal account. If this seems too Bolshevik, it could be a state-run "API only" product-- consumers have to associate the account with a private-enterprise bank to get typical consumer features (cash deposits and withdrawls, a debit card). Let consumers migrate the account to the "servicer bank" of choice the way you can port your phone number from T-mobile to Sprint, and it would spur a competitive market. You'd also get some huge knock-on benefits. Everyone has a bank account for direct deposit, so those predatory prepaid-debit cards for wages become obsolete. Distributing welfare and social security is a lot simpler. It provides a huge and uniform target for anyone wanting to do something new in the payment space-- talk to their API and you can reach every potential customer in the nation, rather than going bank by bank.
jake_morrison 8y ago
Giving everyone a basic bank account with a debit card would be a great solution. A lot of people don't have a fixed address or live somewhere that they don't have a utility bill in their name, therefore they can't get a bank account. One solution would be to allow the post office to operate as a bank, as is done in many countries. Right now the working poor are screwed by predatory banks and loan cashing services who work the system to stop alternative services.

by ng12 8y ago

deleted 8y ago

[deleted]

mc32 8y ago

Is this true or an assumption? If you’re poor and getting public assistance, you need a gov id. Buying any restricted good or service requires gov id (cigs, beer, etc.) Young people who are dependents on the other hand may be affected.

rossdavidh 8y ago

While I think you have a point, I believe that it is probably out of the city government's control that the economy we have has a lot of people unable to access modern finance. However, they are able to pass regulations that require restaurants to do something which all restaurants were doing until very recently, and most still do.

fipple 8y ago

“Eliminate the unbanked in NYC” is a lot harder to achieve than “require businesses to accept cash.”

hakfoo 8y ago
I always imagined the solution was some sort of universal bank account. Every SSN/ITIN/EIN has a bank account with some basic defined features attached. The account might technically be operated by a state entity to solve some of the cost problems of many accounts with near-zero balances. Might fit well with the "turn post offices into banks" proposal that was big a year or two ago--let them be the point of service for the universal account. If this seems too Bolshevik, it could be a state-run "API only" product-- consumers have to associate the account with a private-enterprise bank to get typical consumer features (cash deposits and withdrawls, a debit card). Let consumers migrate the account to the "servicer bank" of choice the way you can port your phone number from T-mobile to Sprint, and it would spur a competitive market. You'd also get some huge knock-on benefits. Everyone has a bank account for direct deposit, so those predatory prepaid-debit cards for wages become obsolete. Distributing welfare and social security is a lot simpler. It provides a huge and uniform target for anyone wanting to do something new in the payment space-- talk to their API and you can reach every potential customer in the nation, rather than going bank by bank.

jake_morrison 8y ago

Giving everyone a basic bank account with a debit card would be a great solution. A lot of people don't have a fixed address or live somewhere that they don't have a utility bill in their name, therefore they can't get a bank account. One solution would be to allow the post office to operate as a bank, as is done in many countries. Right now the working poor are screwed by predatory banks and loan cashing services who work the system to stop alternative services.