Underbanked

Underbanked refers to individuals or households who have limited access to traditional banking services offered by mainstream financial institutions. These individuals often lack basic financial services such as savings accounts, checking accounts, credit options, or loans. While they may have some access to financial services, they tend to rely heavily on alternative financial products or services outside of the traditional banking system.

The underbanked population can include low-income individuals, immigrants, young adults, and individuals with a limited credit history. They may face challenges such as high fees, limited access to credit, higher interest rates, or inadequate financial literacy resources. This lack of access can limit their ability to save, build credit, access affordable loans, or participate fully in the broader financial system. Understanding the needs and challenges of the underbanked population is crucial in developing inclusive financial solutions and promoting financial inclusion for all.