The Role of Fintech in Reducing the Unbanked Population in the United States

Abstract

FinTech financial technology operates as a revolutionary sector that implements critical changes to service delivery mechanisms for unbanked and underbanked groups throughout the United States. The research evaluates FinTech advancement as a method to enhance financial technology while assessing its ability to remove obstacles faced by disadvantaged groups. The research examines recent FinTech solutions through case studies and statistical data and theoretical frameworks while evaluating mobile banking and peer-to-peer lending in their role to extend financial access across the United States. The research analyses quantitative banking and payment and lending data to demonstrate how FinTech tools reduce financial exclusivity. The evaluation of digital wallet success and online lender market growth along with mobile payment adoption establishes critical relationships illustrating these technological approaches to financial accessibility enhancement. The study demonstrates how FinTech solutions make banking products more accessible and affordable to low-income groups and rural dwellers and diverse communities for superior financial services delivery. The innovations demonstrated dual benefits by reducing transaction costs at the same time they raised credit availability and improved reading skills so new groups entered traditional financial networks. The research indicates that government financial regulation works alongside FinTech service growth to protect the consumer while the expansion occurs. The research findings demonstrate how FinTech brings transformative changes to financial technology making sure that all groups with past financial service barriers become part of the formal financial system. The need exists to continuously enhance FinTech solutions while guaranteeing they can be used safely and equally by people from all walks of society.