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Chances are you have a co-worker or an acquaintance that does not have a
credit card, ATM card or checking account. If they have had prior problems with
banks, those individuals cannot open an account at any bank. This growing
percentage of the population has been referred to as the “unbankable” because
previous problems with overdrafts have ruined their ability to do business with a
bank. Many consumers living on a fixed or limited income have no transportation,
so they have difficulty paying their bills in person, or going to the bank to cash a
check or purchase money orders. The closing of many local banks and branch
offices has complicated this further. Many “unbankable” individuals have difficulty
cashing their paycheck unless it is drawn on a local bank. Fees charged by check
cashing stores can be expensive. Also, carrying a large amount of cash poses
obvious risks. In some cases, credit unions can be a good alternative, but most
are not available to the general public. Also, these institutions look at the same
banking history before welcoming the new account holder. This can be a
frustrating scenario for someone who is attempting to reestablish his or her credit.
Now there is an alternative; several companies offer a checkless checking account
for such individuals. Skylight Co. of Atlanta, GA, is one that issues an ATM card
called the Stratus Card through U.S. BANK. The card is associated with a FDIC-
insured, checkless bank account and is targeted to the “unbankable”. Consumers
cannot overdraw an account with the ATM card because of the authorization
process. Information on Skylight Co., can be found at their website at
www.skylight.net. The account holder’s paycheck is directly deposited into the
U.S. Bank account. The Skylight website provides a list of surcharge free ATM
machines. These can make such accounts more cost-effective and easier than
going to the bank, post office, or check cashing store to cash a check and/or
purchase money orders.
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