ST. PAUL, Minn. – Legislation has been introduced in the Minnesota legislature that would allow credit unions in the state to offer prize-linked savings accounts. The legislation has the backing of the Minnesota CU Network.
Prize-linked savings accounts (PLS), which are special savings accounts that essentially treat every deposit as a ticket in a drawing, are designed to help encourage more Minnesotans to save money in a fun and proven way.
“MnCUN worked diligently to get these bills introduced,” said Vice President of Governmental Affairs Mara Humphrey. “On behalf of Minnesota credit unions and their members, we would like to thank the chief authors in both bodies, Sen. Vicki Jensen (D-Owatonna) and Rep. Jennifer Loon (R-Eden Prairie).”
The MCUN noted that since 2009 credit unions in the United States offering PLS accounts have helped over 50,000 members save $94 million. In 2014, federal legislation was passed that allows states to approve PLS accounts. In order to offer them in Minnesota, the state legislature needs to pass the PLS bills.