Over the past two years, regulators have focused attention on the the services offered by financial institutions to the less affluent segments of the US population. Under the direction of congress the FDIC conducted a study in 2009 and estimated that approximately 40 million households are either unbanked or underbanked. This segment was the primary target of high overdraft fees and questionable lending practices that resulted in legislation to curb abusive fee practices and establish better underwriting standards over the past two years. WalMart has been a leader in serving the underbanked with a range of low-cost services including check cashing, bill payment, prepaid cards, and money transfers and has attracted millions of customers. The solution offered by Chexar Networks and Nexxo Financial combines check cashing risk management and kiosk hardware to provide a automated solution that can be deployed at a wide range of merchant locations.
Chexar Networks, Inc. (“CHEXAR”), the nationwide leader in full service check cashing, check-to-card, and check guarantee solutions, and Nexxo Financial Corporation (“NEXXO”), the leader in self-service remittance, have launched the first full service check cashing kiosk in the market capable of cashing any type of check utilizing any type of consumer identification allowed by law.
Dave Alvarez, Founder and CEO of Nexxo commented “every retail and financial services partner we have wants one machine that can do it all: cash a check, pay a bill, send money, load a prepaid card, sell a phone card – and do it all in few seconds with a simple easy customer experience. We have been able to leverage our extensive experience in kiosk based money transfer and bill pay, and Chexar’s check cashing technology to finally provide the solution everyone has been asking for. Now as a retailer or financial service provider you no longer need a fully staffed money center to meet all the financial needs of the 100+ Million and growing under-banked market. You can now leverage technology to economically offer the best services available, open all of the hours your location is open, giving your customers a faster, easier and simpler experience.”
To read more about this solution read the press release:http://www.prweb.com/releases/Chexar_Nexxo_Launch/022811/prweb5113454.htm
To review the FDIC report on the underbanked market go to: http://www.fdic.gov/householdsurvey/full_report.pdf
To read Mercator’s report on marketing to the underbanked, click here.