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How many billions would a major bank loose in a lawsuit, if they did the sensible thing and refused to deal with 3% of the population?

kasey_junk 1y ago
4.2% of US _households_ are unbanked. Banks refuse customers for many less extreme reasons than “can’t verify identity” which is in fact a requirement for them with all of their federal and state regulators.
trelane 1y ago
Most do. For example: https://www.reddit.com/r/Banking/comments/1csl00q/any_banks_that_dont_require_id_verification/ https://www.reddit.com/r/Banking/comments/1csl00q/any_banks_...
nobody9999 1y ago
>How many billions would a major bank loose in a lawsuit, if they did the sensible thing and refused to deal with 3% of the population? Zero. Because FINCEN/KYC[0] laws in the US mandate identification for all customers. Which means that at least 3% of the populations is "unbanked"[1]: Some reasons a person might not have a bank account include: Lack of access via a nearby bank branch or mobile phone Minimum balance fees Distrust of the banking system, typically due to lack of transparency regarding fees and deposit timing[1] No access to government-issued ID, which is required to open a bank account To avoid delinquent debts, such as creditors seizing the account in judgements, or the government collecting back taxes or child support [0] https://www.investopedia.com/terms/k/knowyourclient.asp https://www.investopedia.com/terms/k/knowyourclient.asp [1] https://en.wikipedia.org/wiki/Unbanked https://en.wikipedia.org/wiki/Unbanked Edit: Fixed subject/verb agreement (laws/mandate)/fixed quote formatting.
- MrBrobot 1y ago
  Further reference for the ID requirements: https://www.bankhelp.gov/help-topics/bank-accounts/required-identification/id-types.html https://www.bankhelp.gov/help-topics/bank-accounts/required-...

kasey_junk 1y ago

4.2% of US _households_ are unbanked. Banks refuse customers for many less extreme reasons than “can’t verify identity” which is in fact a requirement for them with all of their federal and state regulators.

trelane 1y ago

Most do. For example: https://www.reddit.com/r/Banking/comments/1csl00q/any_banks_that_dont_require_id_verification/ https://www.reddit.com/r/Banking/comments/1csl00q/any_banks_...

nobody9999 1y ago

>How many billions would a major bank loose in a lawsuit, if they did the sensible thing and refused to deal with 3% of the population? Zero. Because FINCEN/KYC[0] laws in the US mandate identification for all customers. Which means that at least 3% of the populations is "unbanked"[1]: Some reasons a person might not have a bank account include: Lack of access via a nearby bank branch or mobile phone Minimum balance fees Distrust of the banking system, typically due to lack of transparency regarding fees and deposit timing[1] No access to government-issued ID, which is required to open a bank account To avoid delinquent debts, such as creditors seizing the account in judgements, or the government collecting back taxes or child support [0] https://www.investopedia.com/terms/k/knowyourclient.asp https://www.investopedia.com/terms/k/knowyourclient.asp [1] https://en.wikipedia.org/wiki/Unbanked https://en.wikipedia.org/wiki/Unbanked Edit: Fixed subject/verb agreement (laws/mandate)/fixed quote formatting.

MrBrobot 1y ago
Further reference for the ID requirements: https://www.bankhelp.gov/help-topics/bank-accounts/required-identification/id-types.html https://www.bankhelp.gov/help-topics/bank-accounts/required-...