Will the growth in fintech innovation be the solution to tackling one of society’s big issues? Financial exclusion
Homeless, no address, unemployed and no bank account – the future is bleak
2 Million without a bank account. Between 10-14 million “near prime” adults have no access to credit, despite minor blemishes on credit history or can only access credit at high APR 29.9-39.9%
There is an urgent need to open access to financial services for those without an identity and are homeless. or on low-pay income. It isn’t just the homeless but families managing on low incomes where one bill too many pushes them into debt crisis …. into the hands of loan sharks or high APR pay day loans and a continuing spiral of debt. If wellness sits at the heart of Scottish Government policies and values – then we need to recognise the impact of debt, low income, lack of access to credit and insurance as key impact measures on mental wellbeing
Fintech Scotland range of innovative solutions, mobile payment systems, education, blockchain, crypto-currencies, wallets, tokenisation of voluntary work open the opportunity to create an equal and more inclusive society. Mobile friendly approach to Identity secured through biometrics, face recognition, top up payment cards/mobile payments are now able to provide evidence of credit worthiness. This is a modern pathway to a bank account, credit worthiness, access to insurance, credit and a verifiable credit rating.
March 2018 The Mexican Congress approved Fintech Law that aimed to regulate electronic payments, crypto currencies, crowdfunding and open banking. The fintech Law promotes innovation in the financial services industry, stimulates the growth of new business models and reduces entry barriers for Fintech firms. Fintech Law can significantly improve Financial inclusion. Fintech Scotland has taken a non-regulatory approach to supporting financial technology innovation. But the impact possibilities are with us now to work with traditional financial service to provide a integrated solution to financial exclusion. Scotland is on the brink of providing a “world-class” solution to inclusive growth through financial digital solutions creating the link between wellness and economic vitality
Blog written by (Prof) Christine Bamford, Founder/CEO Women’s Coin
Acknowledgement to PWC blog and report
www.womenscoin.com #MorePowertoHer @ChrisBamford12
