Savings enable consumers to withstand unexpected expenses or income disruptions, in addition to also funding large expenditures, such as the purchase of a home or college education. Research indicates that people who save have better relationships with family and neighbors and increased community involvement.
Here are several other savings-related resources for financial institutions, community-based organizations, and others.
FDIC Educational Resources
The award-winning FDIC Money Smart financial education program includes the Pay Yourself First module that specifically addresses saving. Pay Yourself First provides information on the importance of saving, tips on saving money, and options available to reach savings goals. Money Smart is available in an instructor-led version to teach all ages, in a podcast (audio) format, and in a self-paced online version. The Money Smart program also includes guides with exercises, activities, and conversation-starters to help young people learn more about money.
FDIC Consumer News is a quarterly publication that provides practical financial tips and information. Practically every issue includes information on how people can save more money and make sure all their deposits are fully protected. View a collection of articles relating to savings, including articles with tips on how and where to save. Parents and caregivers may also be interested in articles from the Spring 2015 edition that provides tips to help teach young people about money.
Selected External Resources
- The America Saves program (www.americasaves.org) encourages all Americans to save money, reduce debt and build wealth. You can visit this website to make a savings commitment and learn additional strategies to save. Consider making savings automatic through regular contributions (investments) into a retirement plan and establishing regular transfers into a savings account.
- America Saves Week is an annual opportunity for organizations to encourage and assist individuals in assessing their savings progress and taking action to advance this progress. (www.americasavesweek.org)
- MyMoney.gov is the federal government's one-stop website that provides financial education resources from more than 20 federal agencies. The Savings & Investing page provides a comprehensive catalog of resources from federal agencies on saving and investing.
- Treasury's myRA accounts are retirement accounts offered by the Treasury Department for individuals that do not have employer-based retirement accounts or lack other options to save.
- The Department of Labor (www.dol.gov) site provides information for owners of small business on various retirement plan options.
- Internal Revenue Service Programs provide free income tax preparation performed by certified volunteers.
Building Assets, Building Relationships: Bank Strategies for Encouraging Lower-Income Households to Save
Not surprisingly, low- and moderate-income (LMI) households have the most difficulty saving. This FDIC Quarterly article explains the challenges LMI households face in building assets and examines the incentives banks have for encouraging these customers to save. The article also describes some strategies banks have used to build profitable relationships that also benefit lower-income consumers.
- Individual Development Accounts and Banks: A Solid "Match"
A particular type of savings account, the Individual Development Account (IDA), is a relatively low risk way for banks to introduce American households who do not currently use the banking system to banking services and products that are offered. This FDIC Quarterly article explains how IDAs operate, describes banks' experience with IDAs, and points bankers to sources of information about these programs.
- FDIC Youth Savings Program - Learn about efforts to connect financial education with the opening of safe, low-cost savings accounts for school-aged children.
- 2016 Press Release: FDIC Encourages Consumers to Develop a Plan to Save Toward Their Goals
- Press release encouraging Taxpayers to Take Advantage of IRS Programs and Save More of Their Refunds
- Letter encouraging financial institutions to promote automatic savings.
- Letter alerting financial institutions to the opportunity to be involved with Volunteer Income Tax Assistance (VITA) coalitions before the start of tax season, including to help facilitate ways to encourage taxpayers to save a portion of their tax refund.
- Access handouts and presentations from the FDIC Advisory Committee on Economic Inclusion meetings. Meeting topics have included prize-linked savings and asset-building opportunities for individuals and banks.
Speeches by Senior FDIC Executives
- Remarks by FDIC Chairman Martin J. Gruenberg at Consumer Federation of America 26th Annual Financial Services Conference Washington, D.C. December 05, 2013