Reaching out to the financially underserved.

Citi has joined Bank On Manhattan, a coalition of financial institutions and non-profits that are working together to make it easier for low-income people to open traditional bank accounts. To help achieve that goal, Citi and eight other participating banks are offering basic checking accounts that waive monthly minimum balance requirements, charge low maintenance fees and have features that minimize the potential for overdrafts.

The Bank on Manhattan initiative, led by Manhattan Borough President Scott Stringer, targets the estimated 95,000 "unbanked" households in the borough that rely on alternative financial service providers, such as check-cashing windows, to manage their money. Research by the Pew Safe Banking Opportunities Project at The Pew Charitable Trusts and the Office of the Manhattan Borough President found that these families spend an average of $530 per year at non-bank institutions to pay bills, cash payroll checks and buy money orders.

Rei Pérez, Citi Community Officer for Manhattan and North Queens, said, "On top of paying higher fees, people without accounts are basically living in a cash economy where there's less opportunity to save and build assets over time. Getting a bank account is an important step for moving up the economic ladder." Mr. Perez is spearheading Citi's involvement with the support of Citi's Manhattan Division Director Bill Brown.

In addition to providing the opportunity to establish low-cost accounts, Bank On Manhattan includes outreach to inform the unbanked community about the benefits of moving into the financial mainstream, which include lower transaction costs; decreased vulnerability to crime; remote access to one's money; and the availability of a variety of tools for saving and borrowing. Bank on Manhattan will also feature a financial education program covering basic account management skills, saving, budgeting and avoiding financial pitfalls.

The first Bank On program was introduced in San Francisco in 2006, with the support of the Pew Safe Banking Opportunities Project and the Brookings Institution. Today, similar initiatives are underway in more than 50 communities across the U.S. According to Borough President Stringer's office, the aim of the initiative is to open 10,000 accounts for the unbanked in Manhattan in the next year. His office has provided consultation to help Citi branch managers build the program's profile in low- and moderate-income (LMI) areas including those located in Lower Manhattan, Washington Heights, East Harlem and Harlem. Citi's non-profit community partners are helping to publicize the initiative, and Citi has placed signage in bank branches in and around LMI areas.

For an overview of Bank on Manhattan, visit BankonManhattan.com or for information on other Bank On initiatives, visit https://www.bankoncalifornia.ca.gov or bankonsf.org.