Union Bank offers banking to poor neighborhoods by means of check cashing and payday advances.
Its efforts usually do not win universal admiration.
Driving through Bayview Hunter's aim, an unhealthy, mostly African-American community near bay area's 3Com Park, Union Bank of California Vice Chairman
views one of many bank's branches and sighs: "I am able to state without doubt it really is never ever made cash." Why not near the branch? Due to the fact authorities, as a cost for approving Union Bank's merger with Ca First Bank, compelled it to discover branches in low-income areas.
Farther south when you look at the rough Southern Central part of l . a ., it really is a picture that is far different the $36 billion (assets) bank. Standing call at their grey suit and red tie in a dusty Hispanic community, Hartnack enthuses in regards to the organization's bustling 15-unit Cash & Save check-cashing chain, which Union has run since 1993, and its own more modern venture with Carson, Calif.-based Nix Check Cashing.
"It is this kind of underserved market," he beams, as Hispanic and African-American customers make to cash checks as you're watching dense, green bulletproof glass of the Nix socket.
This is basically the flip part to the debate about check-cashing and payday-loan outfits. In states such as for instance Florida, Ca and Illinois, politicians and customer activists are attempting to rein within the trade that is thriving capping interest levels and restricting the capability to remove consecutive loans to repay current people.