Avoiding Banks

According to a Federal Deposit Insurance Corporation, nearly 30 million households have no bank account or have one but also use alternative financial services at least occasionally. 53% of African-American households and 43% of Hispanic households use check cashers or similar services instead of or in addition to banks. Those using check cashers and other services say they are faster, cheaper, and more convenient than banks—even though they pay a fee to cash a check they could deposit in a bank account for free. The FDIC avoids the real reason why these groups avoid banks—to hide income. If you have income, either legal or illegal, that you wish to hide so you may avoid taxes and qualify for welfare programs, then you only deal in cash.