CFSI and Core Innovation Capital released new data about the 2010 underbanked market size. The results demonstrate that there is not only a substantial need for financial products and services to serve the underbanked population, but a significant revenue opportunity in providing them.
Specifically, the research found that:
• Underbanked consumers in the U.S. generated approximately $45 billion in fee and interest revenue for financial services providers in 2010.
• The total dollar volume of the underbanked marketplace in 2010 was approximately $455 billion in principal borrowed, dollars transacted, and deposits held.
• The market has shown strong growth in certain segments: payment services grew by 6% from 2009 to 2010; credit services grew by 2% in the same period.
• Several individual products witnessed very high revenue growth rates between 2009 and 2010: internet-based payday lending (35%), general purpose reloadable (GPR) prepaid cards (33%), and payroll cards (25%).
Click below for more information on methodology and to download the full knowledge brief.
Also see our knowledge deck summarizing the findings of the brief. We've created this for you to add the findings of the Market Size report to your presentations.