A new research project to examine access to financial services in the State began today.
Financial services watchdog Ifsra and the Combat Poverty Agency have joined forces to fund the research, which will seek to establish who is affected by problems of access to financial services and why.
Ifsra has met a number of voluntary groups whose members appear to be experiencing difficulties accessing financial services. Mary O'Dea, Ifsra's consumer director, said that these meetings were invaluable and helped build up a picture of the problems that were being encountered.
"There appears no single reason why people have difficulties accessing financial services," she added, "Rather a number of contributory factors including low income, low literacy skills, cultural and ethnic barriers, disability and geographical isolation."
She said there has been little formal research in this area in the State and that this project will produce the facts that will enable issues surrounding financial access to be addressed.
Helen Johnston, Director of the Combat Poverty Agency, said: "Access to financial services are crucial in helping people manage their low incomes. A bank account to build up small savings for emergencies or access to affordable credit for household items can help prevent a family falling into poverty."
She added: "Without this access people are at greater risk of having to use the unregulated sector such as illegal moneylending."
The study builds on previous Combat Poverty research on moneylending and indebtedness, which led to the development of the Money Advice and Budgeting Services.
The results of the research are due to be published in September of this year and Ms O'Dea said the Ifsra intends to work closely with the financial services industry, consumers and their representatives' groups, government departments and other agencies to address the findings.
