Research

Through research, FiSCA and its members are able to educate the public (legislators, regulators, opinion elites etc.) about the vital role financial service centers play in communities throughout the country.

Over the past few years, researchers have shown an increasing level of interest in the Financial Service Centers industry which has resulted in more industry-specific, independent research than ever before.

In addition, FiSCA has commissioned its own studies which include customer satisfaction surveys which validate why millions of consumers visit our members' stores each year.

A repository of industry related research is available in this section.

FiSCA-Commissioned Studies

The FDIC Small Dollar Loan Pilot Program: A Case Study of a Misguided Approach to Satisfying Consumers' Need for Small Dollar Credit

FiSCA, October 2009

FiSCA has prepared an extensive analysis and critique of the FDIC's two-year Small Dollar Loan Pilot Program based on the agency's mid-term report which was issued earlier this year. The FiSCA report: "The FDIC Small Dollar Loan Pilot Program: A Case Study of a Misguided Approach to Satisfying Consumers' Need for Small Dollar Credit," identifies a number of shortcomings with the pilot program and reasons why the program is likely to be unsuccessful.

Read press release here.

The Cost of Providing Payday Loans in a U.S.Multi-line Operator Environment

Ernst & Young, September 2009

In order to address unsubstantiated claims regarding the cost of small, short-term loans, also known as payday advance (PDA) loans, Financial Service Centers of America, Inc. (FiSCA) engaged the firm of Ernst & Young LLP to perform an economic survey analysis of the cost to provide consumers with this form of credit through stores that offer many other financial products as well (also known as multi-line operators). The data obtained through this nationwide survey of FiSCA members clearly illustrates that payday loans are priced fairly and equitably for consumers seeking small dollar loans to address unexpected financial shortfalls.

FiSCA "Economic Inclusion" Advocacy Program

On October 24, 2007, at the invitation of FDIC Chairman Sheila Bair, FiSCA representatives Chairman Joe Coleman and Patricia Cirillo, PhD, of Cypress Research Group, appeared before the FDIC Committee on Economic Inclusion (comE-IN), to speak on the topic "Money Services Businesses - Access to the Banking System."

In preparation for this meeting FiSCA created a powerful and comprehensive document for the Committee members detailing the Financial Service Center industry; history, business model, customers and their activity with us, and more.

Highlights of this document (download below), "Economic Inclusion: Meeting the Financial Needs of Low-and Moderate-Income Consumers Through Financial Service Centers," include:

A statistical overview of the Financial Service Center industry, its size, volume and scope as well as its customers and their satisfaction ratings of the industry, based on statistics, never before available;
A discussion of the differences between the bank and FSC business models;
An overview of FiSCA's Consumer Empowerment Program;
A discussion addressing bank discontinuance issues;
Ten proposals made by FiSCA to comE-IN;
Three studies referenced within the presentation.

Click below to download presentations or documents by section

Economic Inclusion Presentation to FDIC: (13 pages; 173 KB)
Economic Inclusion Attachment 1: Survey of Key FiSCA Member Organizations on Transaction Volumes (9 pages; 49 KB)
Economic Inclusion Attachment 2: Survey of Customers of FiSCA Member Organizations (53 pages; 341 KB)
Economic Inclusion Attachment 3: Making Dollars and Sense: The State of the Market (15 pages; 212 KB)