Improving the Knowledge and Attitudes of Low-Income Families about Banking and Predatory Financial Practices

Abstract

Research has found that low-income families often do not access the mainstream banking services used by financially better-off families, and that they correspondingly are subject to predatory financial practices. This article evaluates a training program intended to improve the banking and related financial practices of low-income persons. Pretraining surveys found low initial knowledge about banking and predatory practices, and trainees were skeptical about the costs and difficulties associated with bank use. Post-training surveys found significant knowledge improvements in these respects, as well as attitude changes favorable to the use of mainstream financial institutions. The implications of these findings for social work involvement in financial training development are discussed.