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Key Provides Bank Access for Those Without Accounts
CLEVELAND -- Beginning this week, KeyBank will offer a simple and alternative to those individuals who do not qualify for a traditional checking account. Key Checkless Access was designed to provide immediate access to direct deposit paychecks via Key's nationwide ATM network.This electronic account is an alternative to costly check cashing facilities, providing customers with the convenience of a regular checking account without the hassles of writing checks and balancing a checkbook.Nationally, at least 10% of U.S. households don't have a relationship with a bank, according to the Federal Deposit Insurance Corp. A large proportion of these households fall within the low- and moderate-income range. In the 12 states where Key has a retail presence, up to 40% of these households do not have checking accounts, according to Bruce Murphy, president of Key Community Development Banking. "We recognize that one of the most immediate needs is convenient, safe access to money -- particularly paychecks," he says. While Key offers a full range of checking accounts, a traditional account may not always be the best answer."Many individuals without bank accounts have a record on ChexSystems, indicating that the individual has defaulted on previous accounts. Rather than wait the five years required to re-enter the banking system, Key Checkless Access provides an opportunity to those on ChexSystems, due to non-fraudulent account mismanagement, to re-enter earlier and avoid more costly check-cashing options. "Key Checkless Access provides a viable option to such individuals to enter or re-enter the banking system," says Murphy. "Individuals who may have mismanaged their accounts in the past are looking for guidance and a second chance to have a banking relationship."Key Checkless Access accepts deposits of non-government payroll checks from employers who offer direct deposit. Other features include:No monthly maintenance service charge.No minimum balance requirement.Free, unlimited use of Key's ATM network for withdrawals of up to $1,000 per day.Free online banking to check balances, transactions.Monthly statements itemizing transaction details.In addition, safeguards have been built into the account to help ensure the account is not mismanaged. All of these services are provided to the client for a small percentage of each deposit.Over the past few years, KeyBank has been conducting extensive research and developing products and services for markets that historically have been underserved by the banking industry, Murphy notes. Specially designed products and financial literacy services were introduced last year in Cleveland, and future plans call for expansion to select markets throughout Key's urban communities.KeyCorp is one of the nation's largest bank-based financial services companies, with assets of approximately $84 billion.Visit KeyCorp: www.key.com"