ICBA: Postal banking designed to fail

Postal banking is a risky venture for which the U.S. Postal Service is ill suited, ICBA told Congress in its latest issue brief.

Issue Brief: In the second issue brief on postal banking in a three-part series, ICBA said:

• USPS does not have the know-how to succeed in the inherently complex world of consumer banking.
• Legislative mandates would undermine revenues.
• USPS would likely fail at increasing access for the unbanked and generating revenues to support postal operations.

Previous Brief: In its first brief delivered to Congress last month, ICBA said postal banking is not the solution to reaching more unbanked Americans and would merely jeopardize the USPS’s core mission.

Pushing Back: ICBA has consistently opposed postal banking, including in an open letter to Congress earlier this year.

Next: ICBA’s next postal banking brief will focus on more realistic and viable alternatives to postal banking to reach the unbanked.