How big is the check cashing industry?
A study by a Swarthmore College economics professor (Caskey, 2003), reports that the number of check-cashing outlets grew from 1,202 in 1986 to 16,689 in 1993. Research shows that the number of payday lending stores grew from a few hundred outlets in the mid-1990s to more than 11,600 in 2003. According to industry figures, check-cashing outlets now process nearly 180 million checks per year, with an estimated face value totaling $55 billion. According to Visa, the un-banked and under-banked population earns approximately $1 trillion in annual income but pays $1.5 billion of that annually in check-cashing fees. By using direct deposit to their Accepta card, our cardholders can eliminate these fees.
