Faithin Omaha eBook Collection

Download or read book Fringe Banking in the Community written by Michael S. Marfiak and published by . This book was released on 2018 with total page 102 pages. Available in PDF, EPUB and Kindle. Book excerpt: This research investigates the role that fringe banking establishments, also referred to as payday lenders and cash stores, take in the financial livelihood and well-being of the unbanked and underbanked in the Las Cruces, NM region. The potential for exploitation of this vulnerable population will be examined to determine who the clients of these establishments are, the reasons why they choose fringe banks rather than major banking institutions, and how Las Cruces consumers of fringe banking services compare to national statistics. Previous research has shown that approximately 9.5 million Americans are consumers of fringe banking services and that minorities are the primary consumers of these services. While there is the potential for negative impact upon these individuals and their families financially, the proliferation of fringe banking establishments indicates that there is a significant demand for their services, particularly in the Las Cruces region. A survey of Las Cruces fringe banking clients conducted during the Spring of 2018 reveals how use of these services in the Borderlands compares to national usage trends. While the reasons for usage of fringe banking by Las Cruces participants are comparable to national trends, several marked reasons differ. These differences will be explored in the analysis of the data collected through convenience and snowball sampling.