It should be noted, however, that fees charged for cashing personal checks by Massachusetts licensed check cashers are, on average, 2.6 times greater than the fees charged to cash payroll checks. L icensed check cashers are required to file a complete schedule of check cashing fees and charges with the Division on an annual basis. Table Three compares the rates charged during 1998 versus the rates charged in 1997. All other rates increased. The greatest increase in rates was for the cashing of personal checks.
Significant increases are also evident within the category of money orders.
These increases are of concern in that they occurred during a positive economic period and at a rate significantly greater than the rate of inflation. This study demonstrates that, on average, consumers will pay 3.3 to 40.8 times the maximum fees charged to maintain a Basic Checking Account just to cash weekly payroll checks and write money orders. Massachusetts licensed check cashers, however, charge lower percentages to cash payroll checks, as opposed to most other products. Accordingly, consumers will spend far greater amounts if they choose to utilize check cashers to also cash personal checks or money orders. T he Basic Banking for Massachusetts program is largely available throughout the Commonwealth.