Basic Banking for Massachusetts
Basic Banking for Massachusetts was launched in 1994 to expand access to bank products and services and to encourage those with modest incomes to establish banking relationships. Banks participating in Basic Banking for Massachusetts voluntarily provide low-cost checking and savings accounts that meet the guidelines below.
Interested in learning more about Basic Banking for Massachusetts? The Massachusetts Division of Banks and MCBC co-hosted a webinar in May 2019 on the connection between Basic Banking for Massachusetts and the state Community Reinvestment Act (CRA). Watch the recording to learn the benefits of program participation and CRA consideration.
To learn more about Basic Banking for Massachusetts or to become a participating Financial Institution, contact 800-982-8268 or firstname.lastname@example.org.
Basic Banking Committee
Jason Andrade, Director of Financial Services, Compass Working Capital.
MCBC is currently looking for a Community Partner to co-chair the Basic Banking Committee.
MCBC is forming a Basic Banking Committee in 2021, currently in the planning stages. Watch this space for further announcements.
Basic Checking Account Guidelines
- Requires no more than $25.00 to open the account
- Charges a monthly fee of no more than $3.00
- Provides at least 15 free withdrawals, including at least eight (8) checks, per month
- Charges no more than $1.00 for each withdrawal over the allowable number of free withdrawals
Basic Savings Account Guidelines
- Requires no more than 10.00 to open the account
- Charges no monthly fee on account balances of 10.00 or more
- Charges a monthly fee of no more than $1.00
- Pays interest on all account balances of 10.00 or more
Basic Banking accounts cannot be conditional, e.g. limited to those who open both a checking and savings account or to those with Direct Deposit.
To help meet the goals of Basic Banking for Massachusetts, MCBC also recommends that participating banks adopt the following procedures:
- Under Basic Banking for Massachusetts, it is expected that participating banks will use their customary account opening guidelines. However, banks are strongly encouraged to exercise flexibility by accepting alternative forms of identification.
- Banks should fully disclose all services counted as a checking account withdrawal.
- It is expected that participating banks will use controls to assure that an applicant has not had prior difficulties with deposit account(s).
- Both the basic checking and savings accounts should only be closed for the same reasons that other accounts are closed.
Persons with a basic checking or savings account should not be limited exclusively to ATMs or any form of non-teller related services.
To view a list of current Participating Financial Institutions, click here.