This working paper presents findings from an experimental study conducted in urban South India to examine the barriers faced by customers in purchasing a low-cost savings product. The authors found that banks have a high ability to influence financial access outcomes, even when product availability and eligibility rules are non-discretionary. Nearly all banks refused to market the regulator-mandated basic accounts, despite the customers being atypically persistent in asking for “basic accounts.”
Barriers to Basic Banking: Results from an Audit Study in South India
Amy Jensen Mowl, Camille Boudot
2014