Overview
Title
Agency Information Collection Activities: Proposed Collection Renewal; Comment Request
Agencies
ELI5 AI
The FDIC wants to hear people's thoughts about a survey that checks how many people in the U.S. don't use banks and why, so they can help more people use banks safely.
Summary AI
The Federal Deposit Insurance Corporation (FDIC) is seeking public comments on the renewal of an information collection called the National Survey of Unbanked and Underbanked Households. This survey aims to understand how many U.S. households do not use traditional banking services and the reasons why. It's part of the FDIC's efforts to help more people access safe and affordable banking options. Interested parties can submit their comments by February 12, 2025, through various channels like email or the FDIC website.
Abstract
The FDIC, as part of its obligations under the Paperwork Reduction Act of 1995, invites the public and other Federal agencies to take this opportunity to comment on the request to renew the existing information collections described below (OMB Control No. 3064-0215). The notice of proposed renewal for this information collection was previously published in the Federal Register on October 25, 2024, allowing for a 60-day comment period.
Keywords AI
Sources
AnalysisAI
The Federal Deposit Insurance Corporation (FDIC) has announced an invitation for public commentary on the renewal of a significant information collection initiative, known as the National Survey of Unbanked and Underbanked Households. This survey, crucial in scope, seeks to gauge how many U.S. households lack access to traditional banking services and delves into the underlying reasons for this lack of access. Ultimately, it is part of a larger effort by the FDIC to expand access to safe, secure, and affordable banking for all Americans—a mission aligned with maintaining public confidence in the financial system.
Summary and Broader Impact
The document outlines the FDIC's intent to continue this survey, which has been conducted biennially since 2009, in collaboration with the U.S. Census Bureau. One of its primary purposes is to gather reliable data on banking habits at both the national and state levels, identifying factors that limit the banking participation of U.S. households.
Broadly speaking, the survey's results play a pivotal role in shaping policies and initiatives aimed at reducing the number of unbanked households. This initiative can positively influence not only individual families, making banking more inclusive and accessible but can also guide financial institutions in assessing and improving their services to better meet the needs of all consumers.
Significant Issues and Concerns
While the project's objectives are commendable, the document presents several concerns. One notable issue is the absence of information on the effectiveness or results of previous survey iterations. Without this context, stakeholders may find it challenging to assess the value and necessity of renewing this information collection effort. Additionally, there is a lack of clarity regarding how collected data will directly address the challenges faced by unbanked households or how feedback from the public will be integrated to make impactful changes.
Furthermore, the document's technical language and legislative references, such as the Paperwork Reduction Act and the Reform Act, may pose comprehension barriers to individuals unfamiliar with these legal frameworks. Such complexity may hinder broader public participation, crucial for garnering diverse input.
Potential Stakeholders and Accountability
Specific stakeholders like low-income families, minority groups, and financial institutions have the potential to be significantly impacted by the survey. These groups can benefit from targeted policies stemming from the survey's findings. However, the document does not explicitly identify potential beneficiaries of the data, raising concerns about transparency regarding who stands to gain from this initiative.
Moreover, clarity is lacking in delineating the roles of both the FDIC and the U.S. Census Bureau in the survey administration and result analysis. Enhanced transparency and clear accountability could help stakeholders understand who is responsible for various phases of the project and ensure that accurate and useful information is disseminated.
Conclusion
In conclusion, while the FDIC's effort to understand and lower the rate of unbanked households is admirable, the document would greatly benefit from a more detailed explanation of past survey results' effectiveness and a clearer portrayal of stakeholder benefits. Addressing these concerns, alongside simplifying complex terminology, could enhance public understanding and engagement with the survey process. Ultimately, these improvements would facilitate more robust participation and effective utilization of gathered data, ensuring the FDIC's goals are met efficiently and inclusively.
Issues
• The document provides a comprehensive overview of the information collection and renewal process but lacks detailed discussion on the effectiveness or results of previous surveys, which could help justify the need for the renewal.
• There is no clear explanation of how the collected data will be utilized specifically to address issues identified, such as reducing the number of unbanked households.
• Potential stakeholders or beneficiaries of the survey results are not explicitly identified, which could suggest a lack of transparency in who benefits from this data collection.
• The document could benefit from a clearer breakdown of costs associated with conducting the survey, considering it involves partnership with the U.S. Census Bureau, which could address concerns about potential wasteful spending.
• Some technical terms and legislative references (e.g., Paperwork Reduction Act, Reform Act) might be complex for lay readers without prior knowledge of these laws, thus making it inaccessible for the broader public.
• The document lacks specific information on how feedback from the public will influence any changes to the survey, leading to questions about public participation impact.
• The responsibilities of both the FDIC and the U.S. Census Bureau in administering and analyzing the survey results are not clearly delineated, leading to potential ambiguity in accountability.