Who are unbankable customers?

Unbankable customers are individuals or businesses that are deemed too high-risk for traditional financial institutions to offer banking services, such as loans or credit. This can be due to factors like poor credit history, lack of a stable income, or being unbanked altogether, meaning they do not have any bank account. Often, these customers may turn to alternative financial services, which can include payday loans or check-cashing services, typically at higher costs. The term highlights the challenges faced by underserved populations in accessing financial resources.