Why Banking in the postoffice could possibly be a Better Option Than Payday Loans — and Wall Street

New York City postoffice. Picture by John Donges.

The U.S. postoffice on Martin Luther King, Jr. Blvd. is a bastion on its Harlem block. Entrenched beside a pawnshop, a business that is cash-for-gold and a commercial bank numerous into the neighbor hood are not able to utilize, the center is basically a fortress. Filled with heavy stone walls, metal screens, vaults, ATMs, and armored vehicles, the premises evoke one word: protection. They also suggest a second word: Bank if you’ve followed recent news.

Post workplaces are designed like banking institutions.

And that is only one reasons why banking that is postal a hot concept in financial policy debates, is viable. Real and functional structures already occur which could assist USPS provide basic monetary solutions: prepaid debit cards, mobile deals, brand brand new check cashing solutions, cost cost cost savings reports, as well as simple, small-dollar loans.

“There’s a post office every five obstructs in Manhattan — there’s accessibility in almost every zip rule,” explained Frankie Wright, 32, a USPS Supervisor of Customer Services in East Harlem. “On a level that is operational we’re already capable.”

The concept, popularized by journalist David Dayen and legislation teacher Mehrsa Baradaran, would produce a general general general public selection for credit which help insulate Main Street into the most likely occasion of some other crisis that is financial.