Banking on the Margin in Canada

Abstract

This article analyzes the socioeconomic characteristics of the financially excluded in Canada using the 1999 Statistics Canada Survey of Financial Security and two surveys sponsored by the Financial Consumer Agency of Canada in 2001 and 2005. The authors find that financial exclusion is more concentrated among low-income Canadians; low-income, low-level of assets, and single-parent statuses are correlated with being unbanked. A review of banking preferences of low-income people indicates that economically disadvantaged households are more concerned about convenience and not as interested in new banking technologies.

Are Low-Income Canadians Financially Literate? Placing Financial Literacy in the Context of Personal and Structural Constraints

“…A more careful analysis of this relationship was previously undertaken with the 1999 SFS data. Using probit regression analysis of the 1999 SFS, Buckland and Dong (2008) investigated factors associated with financial exclusion and did consider household budget making. They found that "in terms of acquiring basic financial services, households that have a budget are not statistically different from those that do not" (Buckland & Dong, 2008, p. 258).…”

Financial inclusion in Colombia: A scoping literature review

“…Financial exclusion hinders social development (Amaeshi, Ezeoha, Adi & Nwafor, 2007;Buckland & Dong, 2008;Fuller & Mellor, 2008;Gómez-Barroso & Marban-Flores, 2013;Horska et al, 2013;Hudon, 2008;Leyshon et al, 2004;Myers et al, 2012;Solo, 2008).…”

“…Moreover, these types of programmes are mainly used by low-income, vulnerable, and formerly excluded populations. Therefore, it is not surprising that it is one of the most frequently used programmes in the UK, US, India, Indonesia, South Africa, Brazil, Uganda, and Canada (Buckland & Dong, 2008;Chibba, 2009;Cnaan et al, 2011;Duncombe, 2012;Ketkar et al, 2012;Marshall, 2004;McKillop et al, 2007;Mishra & Singh Bisht, 2013;Stapleton, 2013;Wentzelet al, 2013).…”

“…The number of agents increased significantly owing to the addition of more than 50,000 points of sale. Nevertheless, coverage in rural areas also grew 85 Superfinanciera, 2014) Moreover, as in Brazil, Canada, India, Indonesia, South Africa, Uganda, the UK, and the US, all of these countries which have strengthened the use of technology as a basic tool to generate greater financial inclusion, the Internet has proven to be one of the most dynamic transaction channels in Colombia (Buckland & Dong, 2008;Chibba, 2009;Cnaan et al, 2011;Duncombe, 2012;Ketkar et al, 2012;Marshall, 2004;McKillop et al, 2007;Mishra & Singh Bisht, 2013;Stapleton, 2013;Wentzel et al, 2013). The dynamism of the Internet is linked to the increase in its coverage, security in transactions, and mobile phones.…”

Enhancing community investment in Canada: what can be learned from the U.S.?

“…12 This sector is generally considered to include "payday lenders, cheque-cashers, rent-to-own shops, pawnshops, income-tax refund advancers and sub-prime lenders" (Buckland 2008 , 1) 13 For a wholesome discussion of the increase of fringe credit services in Canada and its impact on low income communities see Buckland and Dong 2008. Enhancing Community Investment in Canada Page 26 of segments of their population being economically excluded: British economic exclusion was a key motivator for the American Revolution, and the exclusion of black people from credit markets motivated community-based responses as early as 1693 (Immergluck 2004, 55). …”