- PNC Bank, which offers fee-limited banking services across the US and is one of the only designated providers of such services, will launch a new account that charges just US$5 per month – with no overdraft fees.
- The new account will be focused around a prepaid debit card and will allow customers who are underbanked in some way to receive important coronavirus aid packages, such as stimulus payments and emergency aid grants from organisations.
- A leading figure at PNC Bank, which is approved by the prestigious Cities for Financial Empowerment (CFE) Fund, said that the company was pleased to be able to assist people in this situation through the use of a “safe and convenient” prepay system.
A bank account specifically aimed at those who are struggling to make or receive payments due to high fees has been launched in the US.
PNC Bank has been given the green light to operate the account from the Cities for Financial Empowerment (CFE) Fund.
The service is designed to enable those who are designated as ‘underbanked’, or on incomes that are listed as low or medium level, to receive cash without seeing chunks of it wiped out in fees.
During the remainder of the coronavirus pandemic, it will have a particularly important payments function.
It will allow people in this situation to receive stimulus payments from the US government, as well as other payments made as a result of the health situation – such as emergency online money transfers from charities.
Overall, the account will cost US$5 each month to hold.
However, according to press reports, there will be no charges in place for those who find themselves entering their overdrafts.
In a statement, a senior figure at PNC Bank explained that part of the new offer will focus on a prepaid debit card.
Bonnie Wikert, who serves as executive vice president at the bank and also as head of retail segments and deposit products there, said that the move will improve financial inclusivity for those who are finding it hard to bank at the moment.
“We are committed to providing inclusive banking services for customers who may not have access to traditional checking or savings accounts,” she said.
“Our Smart Access prepaid debit card product is designed to help those customers conduct their banking in a safe and convenient manner.”
This decision by PNC Bank leaves the bank as the only debt provider in the whole of the US to have that all-important CFE Fund ‘Bank On’ designation.
This designation is sought by those who are aiming to bring underbanked people further into the system and provide assistance.
According to figures, it is understood that a quarter of American adults are either underbanked or unbanked.
As the actions of PNC Bank show, online money transfers do not necessarily have to be expensive – if you’re looking for an affordable cross-border payments provider, just check out our reviews and find one that fits your price range.
