Lifeline account

Lifeline Account

A checking account with no minimum balance and no monthly fees. A lifeline account may have certain limitations; for example one may only be able to write a certain number of checks each month. Lifeline accounts exist to ensure that even low income persons have access to banks. As such, some U.S. states require banks to offer them.

Lifeline account.

A lifeline account is a basic checking account with low or no minimum deposit and balance requirements and very low or no monthly fees.

Most lifeline accounts, however, limit the number of checks that you can write and may otherwise restrict the banking services you receive.

Currently, certain states require banks to offer lifeline accounts, to ensure that lower-income people have access to banking services. However, you can find no-frills checking accounts in other states as well.

References in periodicals archive ?
Furthermore, Lifeline accounts for less than 20 percent of the annual $9 billion Universal Service Fund total expenditures, compared to the 'High Cost Fund' which accounts for $4.