Banking and Financial Exclusion of Disabled Adults

Author: National Disability Institute
Published: 28 Apr 2017 - Updated: 2 Sep 2026
Publication Type: Informative

Table of Contents:
Synopsis - Definition - Overview - FAQs - Insights, Updates - Related Content

Synopsis

This report analyzes data from the FDIC National Survey of Unbanked and Underbanked Households to examine the banking behaviors and financial challenges facing adults with disabilities. Published by the National Disability Institute, the findings demonstrate that nearly three decades after the Americans with Disabilities Act, people with disabilities still encounter substantial barriers to financial inclusion. The research is particularly valuable for policymakers, financial institutions, and advocacy organizations because it quantifies specific disparities: 40% of disabled households use alternative financial services versus 25% of non-disabled households, half lack home internet access or smartphones, and nearly half have no credit history. These documented gaps help identify targeted interventions to address economic inequality affecting millions of Americans with disabilities and their families.*

At a Glance

• 1 - Forty percent of disabled households use alternative financial services, versus 25 percent of households without a disability. This gap points to reduced access to mainstream banking.
• 2 - Only half of disabled households have home internet or a smartphone, compared with three-quarters of other households. This digital divide limits online and mobile banking use.
• 3 - Among banked disabled adults, more than 40 percent hold a checking account but no savings account. Many keep savings at home or with family rather than in a bank.
• 4 - The report draws on the 2015 FDIC National Survey of Unbanked and Underbanked Households. It marks the second study the National Disability Institute produced from FDIC data in two years.

Topic Definition

Financial Inclusion for People With Disabilities

Financial inclusion for people with disabilities refers to the equal ability of disabled individuals to access, use, and benefit from mainstream financial products and services, including checking and savings accounts, credit, and secure digital banking tools. It rests on the idea that participation in the economy should not depend on a person's disability status, an aim written into the Americans with Disabilities Act through its goal of economic self-sufficiency. In practice, true inclusion means more than opening a bank account. It calls for removing the layered barriers that push many disabled households toward costly alternative financial services, leave them without credit histories, and cut them off from the internet access that modern banking increasingly assumes. Reaching it depends on deliberate design across banking systems, technology platforms, and consumer protection policy so that access is built in for disabled customers from the outset rather than treated as an afterthought.

Overview

The National Disability Institute (NDI) has just released a new report titled Banking Status and Financial Behaviors of Adults with Disabilities: Findings from the 2015 FDIC National Survey of Unbanked and Underbanked Households. The report finds that, in the 27 years since the landmark Americans with Disabilities Act (ADA) was signed into law, ensuring all individuals with disabilities the opportunity to achieve "economic self-sufficiency," this population still faces numerous financial hurdles and roadblocks to financial inclusion.

Based on data mined from the 2015 FDIC National Survey on Unbanked and Underbanked Households, this insightful report highlights the financial choices and banking habits of adults with disabilities. This is the second report, based on FDIC data, that NDI has released in two years.

"Americans with disabilities face unique financial obstacles and challenges that separate them from their peers without disabilities," National Disability Institute Executive Director, Michael Morris, said. "With the release of this report, we now have a clearer picture of the challenges they face, but also the significant opportunities to design solutions." Continued Mr. Morris, "It is essential that policymakers, financial institutions and community organizations rally around the report's findings and recommendations, and begin to work together to ensure equal access and financial inclusion for people across the spectrum of disabilities."

The report findings provide an important lens on the financial choices and decision-making of Americans with disabilities. Report highlights include:

• Among those who are banked, more than 40 percent have a checking account, but do not have a savings account.
• Only 40 percent of households with a disability save for unexpected expenses, compared with 61 percent of other households. In addition, savings are more likely to be kept at home or with family and/or friends rather than in a savings account.
• Almost half of households with disabilities have no credit and are twice as likely to lack credit as households with no disability.
• Households with disabilities face a digital divide; only half of households with a disability have internet access at home or a smart phone, compared with three-quarters of households without disability. Even among those who have access to technology, those with a disability are much less likely to use internet or mobile banking.
• Forty percent of households with a disability use alternative financial services (AFS), compared with 25 percent of those without a disability.

National Disability Institute released the report findings during a press conference at the National Press Club in Washington, D.C. Mr. Morris, and researcher and co-author, Nanette Goodman, presented the report highlights. FDIC Senior Financial Economist, Division of Depositor and Consumer Protection, Ryan Goodstein, provided an overview and historical perspective of the agency's 2015 National Survey.

Two panels discussed the findings of the report and gave recommendations.

The first panel, of federal agency representatives, discussed various strategies and policy recommendations to reverse the report's findings, as well as their work to advance the financial capability of people with disabilities.

Panelists included Janet Gordon, Associate Director, Community Affairs, FDIC; Don Dill, Senior Tax Analyst, Stakeholder Partnerships, Education and Communication (SPEC), IRS; and Jennifer Kemp, Director, Division of Youth Services, Employment & Training Administration (ETA), U.S. Department of Labor.

The second panel, of individuals with disabilities, provided context for the findings of the report from their own personal experiences.

Panelists included Oscar Jimenez-Solomon, Research Coordinator, Columbia University; Donna Walton, Founder and CEO, LEGGTalk, Inc.; and Howard Rosenblum, Chief Executive Officer, National Association of the Deaf.

Frequently Asked Questions

NOTE: Researched FAQs by Disabled World (DW)

What is an unbanked household

An unbanked household is one where no member has a checking or savings account at a bank or credit union, so the household relies entirely on cash or alternative financial services.

What are alternative financial services

Alternative financial services are money products offered outside traditional banks, such as check cashing, payday loans, pawnshop loans, money orders, and prepaid cards, which often carry higher fees.

How does the Americans with Disabilities Act relate to financial access

The Americans with Disabilities Act aims to give disabled people the chance to reach economic self-sufficiency, and financial access is a core part of that goal even though the law does not directly regulate banks.

Why do many disabled adults lack a credit history

Limited income, lower rates of borrowing, and reduced use of mainstream credit products mean many disabled adults never build a credit file, which then makes future loans and housing harder to obtain.

What is the difference between unbanked and underbanked

Unbanked households have no bank account at all, while underbanked households have an account but still use alternative financial services to meet some of their money needs.

How can banks improve financial inclusion for disabled customers

Banks can improve inclusion by designing accessible websites and apps, lowering fees, offering low balance accounts, training staff on disability needs, and building assistive features in from the start.

Does a lack of internet access affect banking for disabled people

Yes, without home internet or a smartphone many disabled people cannot use online or mobile banking, which limits convenience, raises costs, and increases dependence on in person or alternative services.

Who published the report on banking and disability

The report was published by the National Disability Institute, using data from the 2015 FDIC National Survey of Unbanked and Underbanked Households.

Insights, Analysis, and Developments

Editorial Note: The persistence of financial exclusion among disabled adults, despite legal protections established decades ago, reveals how economic inequality operates through multiple interconnected systems - from banking infrastructure to digital access to savings opportunities. What makes these findings particularly significant is their specificity: they move beyond general awareness that disabled people face economic hardship to identify exactly where the financial system fails them. When 40% of banked disabled households lack even a basic savings account, or when credit histories remain nonexistent for nearly half of disabled households, we're seeing the practical mechanics of how poverty becomes entrenched. The data suggests that closing these gaps requires more than goodwill - it demands deliberate redesign of financial services, technology platforms, and consumer protection policies with disability access built in from the start, not added as an afterthought.*

Attribution/Source(s): This quality-reviewed publication was selected for publishing by the editors of Disabled World (DW) due to its relevance to the disability community. Originally authored by National Disability Institute and published on 28 Apr 2017, this content may have been edited for style, clarity, or brevity.

* Editorial additions by Ian C. Langtree.