tag:blogger.com,1999:blog-7252614447842952366.post6969553956685784984..comments2023-04-28T08:19:46.135-07:00Comments on Banking on the Poor: Anti-poverty infrastructure at Wal-Mart?Daniel Krepshttp://www.blogger.com/profile/13514419660099247252noreply@blogger.comBlogger4125tag:blogger.com,1999:blog-7252614447842952366.post-48870521048799644232010-03-22T10:35:16.495-07:002010-03-22T10:35:16.495-07:00Hey 20/10 Sales Dog!
Thanks for the comment. You ...Hey 20/10 Sales Dog!<br />Thanks for the comment. You are absolutely correct. While I have been aware of the pre-paid card product for some time, I had no idea how big it is and had given little thought as to how it could be used to more effective help the poor. Probably what's needed now is an effective educational campaign to help the poor understand how these cards can (and should) be used as budgeting and access tools.Daniel Krepshttps://www.blogger.com/profile/13514419660099247252noreply@blogger.comtag:blogger.com,1999:blog-7252614447842952366.post-77154180032844956282010-03-22T10:30:45.151-07:002010-03-22T10:30:45.151-07:00Hedera,
Thanks for the comment. Not to defend the...Hedera,<br />Thanks for the comment. Not to defend the banks (because I believe there is much they could and should be doing to help the poor) but they have a heavy bias for "cross-selling" financial products and there isn't much they can cross-sell to the poor at a profit. Wal-Mart on the other hand welcomes the poor to shop in their stores. Providing this minimal, though important financial service, no doubt increases sales in their stores. Making money on the financial services is icing on the cake. Nevertheless, they have build a good service for the poor and perhaps this infrastructure could be put to wider use by other entities trying to more directly impact the lives of the poor.Daniel Krepshttps://www.blogger.com/profile/13514419660099247252noreply@blogger.comtag:blogger.com,1999:blog-7252614447842952366.post-22027612467058850112010-03-22T08:11:13.821-07:002010-03-22T08:11:13.821-07:00What you have found is the PrePaid Card Industry. ...What you have found is the PrePaid Card Industry. There is a lot going on here besides gift cards hanging on end-cap aisles and in-store card malls. $200 billion in preload in 2009. The financial services play here for Wal-Mart is not evil. These prepaid cards can be useful as budgeting tools and as access tools. The "banklike" services are minimal, but the reload factor makes it a fundable debit card. Simple. Effective.TwentyTen SalesDogshttps://www.blogger.com/profile/08503738653596844870noreply@blogger.comtag:blogger.com,1999:blog-7252614447842952366.post-73221338467580149612010-03-21T11:07:14.351-07:002010-03-21T11:07:14.351-07:00Well, it beats payday lenders hands down. I worke...Well, it beats payday lenders hands down. I worked for a major bank for 19 years (as a computer tech) and I never did understand why the majors aren't interested in providing this service, or something like it, themselves. If Walmart is doing it, it means it's possible to make money off it. I think the difference is that Walmart is comfortable with a 1-2% profit margin and the banks want to make more than that.hederahttps://www.blogger.com/profile/01696592301686568456noreply@blogger.com