The FDIC estimates there are 10 million people living in the U.S. who do not have a bank account — that’s one out of every 13 households. Nearly 33 percent of people living in Starr County, TX can’t write a check. In one census district in Savannah, GA, over 42 percent of residents are unbanked. The unbanked are usually poor, often minorities, and find themselves shunned by banks that can’t make money off them. Typically, they end up turning to predatory check cashers and payday lenders. Many also feel a great sense of social division between themselves and those who have bank accounts.
Democrats in tight races have found a new villain this election cycle: student debt.
“It totally limits your options of what you can do,” said one student in an ad from Kentucky U.S. Senate candidate Alison Lundergan Grimes, who accuses Senate Minority Leader Mitch McConnell of having “turned his back on the students” for blocking Sen. Elizabeth Warren’s student loan refinancing bill.
By offering low-fee checking accounts, Walmart dares to go where most big banks won't. Few major financial institutions are willing to give lower-income Americans checking accounts these days -- without exorbitant fees.
But, unlike the big banks, Walmart really needs low-income customers.
While the de Blasio administration and the City Council work through the details of a bill that would prohibit employers from reviewing the credit histories of potential hires, liberal advocates are pushing for passage of the strongest possible version of the legislation.
Fewer American high school students are working summer jobs and part-time jobs than a decade ago, and that will likely mean lower wage-earning capacity in their futures, research indicates. In 2000, about 34 percent of high school students age 16 and older held jobs, but that share had fallen to 18 percent by 2012, data from the National Center for Education Statistics indicate.
It’s the classic Catch-22 of the doomed job search: How do you get a job? You need experience. And how do you get experience? Get a job. But for many, the unemployment cycle gets further twisted when it intersects with the debt cycle. When prospective employers run credit checks, a bad report becomes a financial scarlet letter. ...
A bill that aims to “prohibit discrimination based on one’s consumer credit history” by banning employers from doing credit checks on job applicants will be the subject of a City Council hearing set for 10 a.m. Sept. 12 at City Hall. [...]
According to an article by Amy Traub titled “Discredited: How Employment Credit Checks Keep Qualified Workers Out of a Job,” the practice of checking credit on prospective employees is legal under federal law.
There's little debate that college costs have risen over the past decade and that the increase has hit the wallets of families hard — especially those in the greatest need.
In May 2013, low-wage workers in federal buildings in Washington began walking off the job in a series of one-day strikes. Employed by concessionaires and janitorial contractors at places like the Smithsonian and the Ronald Reagan Building, the workers said their rock-bottom wages weren't enough to survive on. Like the Walmart and fast-food workers also going on strike, they asked for better working conditions and a greater share of the spoils.
Reformers in Washington are looking for a few good scandals.
Watergate led to the biggest overhaul of campaign finance law in the past century. Outrage over donors sleeping in the Lincoln Bedroom and Enron influence peddling helped spur the 2002 McCain-Feingold overhaul. And the Jack Abramoff affair got Congress to act quickly on lobbying and ethics reform.
When Walmart pays its workers so little that they need food stamps to survive, they're also investing in a steady profit stream. Even though their prices are roughly the same or even more than their local competition, Walmart's excessive marketing of "low prices" makes them a first-choice supermarket for people living in poverty, including their employees.
Once upon a time, America invested in its young people so that they could enter the world without debt. College was meant to provide opportunity and strengthen the overall economy by creating a better- educated workforce. Looking at the numbers today, I can only think that our current system has failed this generation.
Nate Silver has already dubbed the 2014 election as "the least important in years." But this year's midterms are still breaking records for at least one thing: Secret political spending.
Eliminating poverty seems like an impossibly utopian goal, but it's actually pretty easy: we can just give people enough money that they're above the poverty line. That idea, known as a basic income, has been around forever, but it's made a comeback in recent years.