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Social Security: An Essential Asset and Insurance Protection for All

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The relationship between household banking status and AFS use is complex. A non-trivial share of unbanked households (29.5 percent) do not use any of the AFS providers asked about in the survey, suggesting they rely primarily on cash. However, overall, unbanked households are more active AFS users than underbanked households. Unbanked households are more likely to use multiple products and to have used AFS, particularly transaction products, more recently and more frequently than under- banked households. The use of AFS credit products does not differ markedly between unbanked and underbanked households, except for payday lending, which typically requires a bank account,.

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