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Not sure how Amex fits into this - but I'm sure we'll find out.

Maybe I'm uninformed here, but are they saying they're not able to open a debit account? Surely that's a zero risk proposition for any bank (if overdraws are restricted), it's just pure interest for them on anything you keep in there (minus any interest you receive).

Or is it different in the US with your reliance on checks? Even if that's the case, surely checking could just be restricted, leaving you with either cash withdraws or paying by card, with instant electronic verification.

As to transaction fees. Over here in Oz, most transaction and saving accounts are monthly fee free. This is pretty new (as recently as several years ago you'd have a $5-10 monthly fee). Wonder if it's different in the states.

If they're not able to secure a loan, that's a different issue entirely. I don't see how an alternative banking system would help there.

I'm confused. Amex may not be the worst of the bunch, but aren't they also somewhat guilty of predatory loaning through their credit card business?

Banks are few and far between outside the middle / upper class areas of the states (spent 2 and a bit months driving around it over new years with some mates), its not like here in aus.

For some, it means driving for a few hours just to get to a bank branch. They have to rely instead on cheques, because they cant give their employers a bank account number to pay into....and to cash those cheques costs money...its such a sad state.

So very confused . . .

@charliem

But so even EFTPOS (debit) machines are few and far between?! I guess that makes sense then. Still amazing that a country with the likes of Wallmart falls behind in banking like this.

I get annoyed here when some small vendors don't have a card machine and I have to pay with cash, guess I need perspective ...

Comment hidden because you are ignoring dag.(show it anyway)

I think there might be a few cases with debit type credit cards where your balance isn't checked immediately to validate the transaction, though I'd say these days that it must be pretty uncommon. I'm thinking of those old-fashioned imprint readers that you have to ratchet across the the card. Some taxis still use those here in Australia. Although my latest PayWave® Visa™ Debit card© doesn't even have raised numbers - so that wouldn't work.

Stop banking in the 19th century people. I can honestly count the number of times I've used cash in the last year on one hand.

I constantly see credit card companies attempt to prey on people in malls or with mailouts. Hell, they did it to me when I was young and stupid. When I started work, I got a credit card with a $500 limit on it for travel and expenses, etc. Less than 6 months later the bank had increased the limit 4 times to over $3000. If I was smart I should have refused each increase, but like an idiot I basically looked on it as free money. Suddenly I was paying a fortune in interest and struggling to clear the card. Every penny I earned went on it, and then I'd rack up the bills over the next month again just to live.

But credit cards are great if you know how to use them. Eventually I paid mine off and now I live completely off it; fuel, groceries, the works. I pay for everything on it, and I get reward points that easily cover the cost of the annual card fee. I make sure it's cleared every month. Meanwhile, my salary sits in my bank account offsetting my mortgage. Now it literally is free money.

I actually feel kinda bad, because essentially people who are bad with money and run up credit card bills at 20% interest are basically subsidising my card for me.

Moving this video to dag's personal queue. It failed to receive enough votes to get sifted up to the front page within 2 days.

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Promoting this video and sending it back into the queue for one more try; last queued - promote requested by RedSky.