LIVONIA, Mich.–The prize-linked savings program Save to win is expanding into two more states. CU Solutions Group, the CUSO of the Michigan league that oversees the program, said Save to Win is now operating in Hawaii and Utah.
Maui Teachers Federal Credit Union in Hawaii and Freedom Credit Union in Utah both launched programs on Jan. 1.
With the addition of Maui Teachers Federal Credit Union and Freedom Credit Union, the Save to Win program is now operating in 19 states across the country, bringing the total number of participating credit unions to 132, CU Solutions Group said.
“We are so excited to announce our upcoming participation in the national Save to Win program. We are also looking forward to helping our members achieve their savings goals and building more relationships throughout our community,” said Kelly Tobita, CEO of Maui Teachers FCU.
In 2019, the Utah Legislature passed a bill enabling credit unions to offer prize-linked savings accounts. The purpose of these accounts is to encourage consumers to develop a habit of regularly saving money.
‘A Great Opportunity’
“Freedom Credit Union’s board of directors immediately saw this as a great opportunity to provide a unique product to our members and fulfill our mission to serve our members’ financial needs,” said FCU President/CEO Ken Payne. “This is a great ‘win-win’ product with no downside to our members. We are excited to roll out Save to Win accounts in January as part of a comprehensive program to help our members build their savings, reduce debt and become more financially secure.”
According to CU Solutions Group, to date the Save to Win program has helped credit union members to save nearly $200 million, with more than $3.2 million awarded to individuals across the country. Participating members are eligible to win monthly and quarterly prizes ranging from $25–$5,000 by joining a credit union and making a $25 monthly contribution to a share certificate.
Large Number of Millennials
Save to Win’s growing base contains a large percentage of Millennials, with many members reporting they joined their credit union with the intent to participate in this savings program, the company added.
“Prize-linked savings programs like Save to Win promote healthy saving habits, especially for those that are financially vulnerable and underbanked,” said Dave Adams, president and CEO of CU Solutions Group. “Incentive programs can play an important role in a credit union’s financial education roster and introduce members to new products and services that further enable them to grow wealth and manage their finances.”