According to a new study published by Finance Watch on Tuesday, 7 July, the EU should help citizens to access a “minimum basket of basic financial products” in order to reduce financial exclusion.
The EU’s Payment Accounts Directive already aims to ensure access to a basic payments account. The organisation explains that there is, however, no equivalent framework for other essential financial services and products, such as savings and insurance.
Therefore, with several partners, Finance Watch conducted surveys and interviews to establish a list of simple, basic financial products that, while not mandatory, should be accessible to all citizens.
This list includes a payment account, access to cash, a savings account, a safe third pillar pension product, motor insurance, health insurance, home (fire) insurance, and personal liability insurance.
It should be noted that the study concludes that household credit should not be considered an essential basic financial service but that it stresses that policymakers should do more to ensure that consumer credit is fair and is not exploited.
Among the barriers to financial inclusion that were identified by Finance Watch are legal requirements for access to financial products, financial requirements, or lack of required skills or means.
See the report: https://bit.ly/3f7nJd3 (Original version in French by Marion Fontana)