Basic Bank Accounts Failing the Basic Needs of Consumers
The lists of bank and savings accounts which are confusing for most people. A quick look at a comparison site Moneyfacts show as MoneyNet or thousands of different products. Unfortunately, many of these accounts are not accessible to anyone, either with low or no credit history. Research National Consumer Council (NCC) conducted revealed “that the poor pay more or receive less of the essential goods and services … have a bank account can be a gateway to other products and services, such as affordable credit and insurance. To counter this problem of financial exclusion, the government sought to introduce basic bank accounts up to the bad start. The NCC has, however, warned that “the current model of basic bank accounts, introduced by the government in 2000, so that all low-income users access to banking services, to deliver it. “
The new basic bank accounts were submitted as part of a broader effort towards “universal banking” and corresponded with the introduction of direct payment of social security benefits, bank accounts and post office card account (POCA) . The plan was that these accounts would also help users by setting up direct debits to pay their electricity bills, and better control of their finances from week to week. The accounts were originally developed to help people save and withdraw money, but in an effort to prevent the expansion of existing debt and allow the accounts are covered, not books offer checks, overdrafts and other credit institutions. The accounts are for people who have no credit history, do not meet the criteria for opening a bank account may have been created. The account will typically include the ability to pay as pensions and benefits directly to the account will be credited to the payment of amortization of equipment for plastic cards and cash accounts automatically by direct debit.
The problems seem to be in part because the accounts do not always help, people with a small weekly income to deal with unpredictable gaps appear to comply with the wages, benefits or expenses. The monthly automatic debit payments for goods and services may be of little use for a week of many low-income countries. Who pays on a weekly basis, has a preference for cash every week in office, instead of monthly taxes, budget options expressed and found that bank accounts with direct debit facilities, offers all the benefits . Through the use of cash instead of a bank account, they found they could juggle payments easier, and avoid high bank charges, if they have the means at its disposal to cover a payment stream.
