Home / Current Issue / Paper 1706287
The Impact of Fintech on Financial Inclusion
Subject area: Management and Commerce · Area of research: Finance
Abstract
This paper explores the transformative role of fintech in expanding financial access to underserved populations in the United States. It examines the impact of fintech innovations on key financial inclusion metrics, such as account ownership, credit access, and digital payments. Fintech companies like Chime have contributed to a measurable increase in new bank accounts, significantly enhancing financial inclusion efforts. SoFi has also greatly expanded credit access, particularly among younger consumers, by using technology to offer competitive loan products. Through case studies and quantitative analysis, this paper details these successes while also addressing the challenges and opportunities faced by financial institutions in integrating fintech solutions. The analysis emphasizes the need for supportive regulatory frameworks and technological advancements to fully realize the potential of fintech in promoting financial inclusion. The paper concludes with recommendations for policymakers, financial institutions, and fintech companies to utilize technology further to ensure equitable access to financial services.
Keywords
Fintech, Financial Inclusion, Account Ownership, Credit Access, Digital Payments, United States, Regulatory Challenges, Financial Institutions, Technological Innovation, Underserved Populations
How to cite this paper
@article{1706287,
author = {Adeyemi Daramola},
title = {The Impact of Fintech on Financial Inclusion},
journal = {Iconic Research And Engineering Journals},
year = {2024},
volume = {8},
number = {3},
pages = {312-319},
issn = {2456-8880},
url = {https://www.irejournals.com/formatedpaper/1706287.pdf},
abstract = {This paper explores the transformative role of fintech in expanding financial access to underserved populations in the United States. It examines the impact of fintech innovations on key financial inclusion metrics, such as account ownership, credit access, and digital payments. Fintech companies like Chime have contributed to a measurable increase in new bank accounts, significantly enhancing financial inclusion efforts. SoFi has also greatly expanded credit access, particularly among younger consumers, by using technology to offer competitive loan products. Through case studies and quantitative analysis, this paper details these successes while also addressing the challenges and opportunities faced by financial institutions in integrating fintech solutions. The analysis emphasizes the need for supportive regulatory frameworks and technological advancements to fully realize the potential of fintech in promoting financial inclusion. The paper concludes with recommendations for policymakers, financial institutions, and fintech companies to utilize technology further to ensure equitable access to financial services.},
keywords = {Fintech, Financial Inclusion, Account Ownership, Credit Access, Digital Payments, United States, Regulatory Challenges, Financial Institutions, Technological Innovation, Underserved Populations},
month = {September},
}