American Banker, June 23, 2021, FedAccounts billed as gift to bankers. Many are dubious.
Senate Banking Committee Chairman Sherrod Brown has spent months advocating for his legislation to offer all consumers free government-backed digital bank accounts available through bank branches and U.S. Postal Service offices.
The financial industry remains skeptical of Brown’s bill, which was introduced in the early months of the coronavirus pandemic when the government was struggling to get stimulus payments to unbanked consumers. More than 5% of Americans are unbanked, according to a 2019 survey by the Federal Deposit Insurance Corp.
Jesse Van Tol, CEO of the National Community Reinvestment Coalition, said that FedAccounts could help banks attract customers who don’t trust banks with their money.
