USPS News: Proposal to Bring Banking Services to the Post Office

The USPS could bring banking options to small communities

   

One proposal suggest that the United States Postal Service (USPS) could bring banking services to small communities.

NewLetters USPS News: Proposal to Bring Banking Services to the Post Office
Source: mailto:letters@investorplace.com

The USPS proposal has been backed by Sen. Elizabeth Warren as a way to provide safe banking services. According to Warren, banks in these small communities could lend money to people without giving them huge interest rates. This would protect the people from high-interest lenders that target small communities with few banking options and could also be a source of revenue for the USPS, reports ThinkProgress.

The average person spends $520 to get a $375 payday loan from high-interest lenders. However, USPS offices could offer those loans without the high-interest. Six out of 10 USPS locations area already in communities that could benefit from the change and it could also potentially bring $9 billion to the USPS, ThinkProgress notes.

The USPS has offered simple banking services in the past, but it discontinued those services after banks started offering higher interest rates.

The opinions contained in this column are solely those of the writer.
 
Want to share your own views on money and politics? Drop us a line at letters@investorplace.com and we might reprint your views in our InvestorPolitics blog! Please include your name, city and state of residence. All letters submitted to this address will be considered for publication.


Article printed from InvestorPlace Media, http://investorplace.com/investorpolitics/usps-post-office-payday-lenders-elizabeth-warren/.

©2014 InvestorPlace Media, LLC

Comments are currently unavailable. Please check back soon.