Bank on Houston Nears 40,000 New Bank Users
Ronald Green
Begun in May 2008, Bank on Houston has been a huge success with nearly 40,000 Houstonians opening bank accounts-accounts where their money will be safe and where there are no exorbitant check cashing fees.
Bank on Houston was the first “Bank On” program in Texas, when it began under City Controller Annise Parker, with enthusiastic support from the FDIC, Federal Reserve Bank of Dallas-Houston Branch and the National League of Cities. Ronald C. Green, elected to the Controller’s position in December 2009, is pleased to now head up the program.
The financial institutions partnering with Bank on Houston offer free or low-cost checking, with no minimum balance requirement. An ATM or debit card is also available to new bank users. “Our office and the many supporters from area banks, credit unions and supporting corporations and agencies are excited about the opportunity to ‘re-up’ our commitment to this extraordinary program,” says Controller Green.
“There remains a sizeable population who do not bank, and they lose hundreds of dollars, maybe even thousands, annually through check cashing services and theft or loss. We intend to enroll thousands of non-banking Houstonians into Bank on Houston accounts during the next year. The success stories of participants reinforce our dedication to the program.”
Bank on Houston aids first-time bank users and “second chance checking” for those who’ve had trouble in the past with their banking. These past difficulties may have resulted from simply not knowing the nuances of banking. It is estimated that as much as 10% of Houston’s population is unbanked, nearly three points higher than that of the national average. Additionally, 24% of Houston is under-banked, or use alternative financial services. An in-depth analysis of five minority areas found that over 50% of households were unbanked.
Maria Perez, a staff member in the Controller’s Office, answers questions called in by Spanish speaking citizens as well as making presentations to community Hispanic groups; all collateral materials are available in English and Spanish.
Besides helping people begin to bank, Bank on Houston has a second mission: financial literacy. Financial literacy works on the premise of “knowledge is power.” Literacy partners include agencies and financial institutions that will offer free classes in basic money management and saving for retirement.
“Bank on Houston empowers people to take control of their finances,” says Controller Green. “That’s a tremendously important accomplishment. All the Bank on Houston partners, financial institutions and non-profits, are very excited about being part of this continuing effort.”
For more information about Bank on Houston, visit www.bankonhouston.org or contact Shannan Nobles at Shannan.nobles@houstontx.gov or 832-393-3403; Spanish speaking citizens may contact Maria Perez at 832-393-3406.
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