Unveiling its new "Super Life Saver" savings account, the Lowell, Mass.-based credit union is offering members an extra $100 if they deposit $100 per month for the next 12 months. NMTW CCU will also provide new members the initial $25 needed to open the account.
According to NMTW CCU President/CEO Kenneth Del Rossi, the new savings account is just one of several innovative services geared toward helping encourage members to start replenishing their savings.
For example, not wanting members to wait to receive interest on their investments, the credit union has also launched the "Pay It Forward CD," a 13-month CD with an interest rate of 2.18%. Interest is calculated on the spot and deposited right into members' savings or checking account. In addition, the credit union has launched a member referral program that benefits both the member and the person referred as each will not only receive $20 but will also be entered in a quarterly drawing for a chance to win $250.
"We are in an extremely tough and unprecedented time, and as this economy recovers its strength and stability, we want to help our members do that as well," said Del Rossi. "We believe that the Super Life Saver savings account will help people put their financial future first as they rebuild their savings and establish a foundation for the future."
Bank Dissatisfaction Grows
A recent BancVue survey found that the majority of big bank customers could easily leave their current financial institution.
According to the survey, almost two in five Americans are unable to classify their current bank as "Mr. or Ms. Right," with dissatisfaction higher among younger adults and those with most of their money in large banks.
"Some relationships can lead in unhealthy directions without us even realizing it. The sad thing is, once it's over you realize you should have packed up and left months ago," said Gabe Krajicek, CEO of BancVue, the company that sponsored the research. "Unfortunately in the case of banking relationships, people don't believe that there is a financial institution that can offer them what they really want-great products and great service-leading to paralysis."
Some 49% of big bank customers claim their current bank is far from "the one." They're more likely to see their banks as partners who are uncommitted or clingy. In addition, 67% of bank account-holding consumers admit they wouldn't hesitate to consider a new banking relationship. In fact, consumers with most of their money in large banks are looking for a change, with 75% stating they would be willing to make a change, compared to 60% of those with their funds elsewhere.
As far as what could make consumers stay with their bank, the survey revealed lower fees (39%) and higher interest rates (32%) top the list, with better banking products (29%) and ATM refunds (29%) also in demand.
OnPoints Teams Up With TV Station on Money Tips
Innovative money-saving tips helped 11 lucky Portland, Ore., locals earn $250 each from OnPoint Community Credit Union.
The credit union teamed up with KGW-TV to sponsor a "Money Matters" campaign, where people were invited to submit their best money saving tips on the KGW-TV Web site. More than 80 suggestions were received.
Among the winners were tips from a college student who pays off his credit card monthly, a couple who set aside monthly mortgage for a year before buying a house and a contestant who puts her pay raise straight into savings.
"We wanted to conduct a campaign that encouraged people to share their unique ideas and offered our financial expertise as well," said Kelly Schrader, senior vice president of marketing and member services at OnPoint.