Just how can individuals deal with no banking account?

Current research reports have unearthed that near to two million grownups in Britain have the ability to make do with no banking account. But while residing “off the economic grid” might be appealing to those who mistrust modern finance and online banking, devoid of a banking account might have major implications because of their economic wellness.

Firstly, there’s the price. Research by the Financial Inclusion Commission discovered that devoid of a banking account can cost significantly more than £1,300 per year a lot more than an individual who conducts their economic affairs through a account that is current.

The study unearthed that a lot more than half (60%) of these without a banking account utilized to possess one nonetheless it ended up being closed against their might as a result of financial obligation dilemmas or other issues with their bank. As soon as deprived of a banking account, the individuals then destroyed usage of making regular debit that is direct for things such as for instance electricity, phone or broadband fees – bills are often at the mercy of some type of discount should you consent to spend by direct debit.

Percentage without any banking account dropping

Although the headline numbers on those without a banking account are alarming, there are several good signs if you dig just a little deeper:

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