Santander plans to use a third party vendor to screen applicants for prior fraudulent behavior.
The bank expects to implement the new policy in September, making banking accessible to several ‘unbanked’ poor and low-income people in the US.
According to Reuters, the bank will verify basic checking account applicants as part of its new process using a scoring product that screens for the risk of loss and fraud.
Santander Bank retail banking managing director Maria Tedesco said: "We believe this change to the screening process for new account openings will make it easier for consumers who might have been denied services based on their banking history the ability to open checking or savings accounts at Santander."
Lower-income consumers have been finding it difficult to open accounts under the existing screening process, compelling them to depend on expensive alternatives such as check-cashing outlets.
Santander is the third bank after Capital One and Citibank in the US to agree to take steps towards making bank accounts more accesible, reported the Associated Press.
Image: Santander Bank office in Bostonn. Photo: courtesy of Hectr.
