AUSTIN-A prepaid debit card program is seeing huge gains in deposits as customers participating in the NetSpend National Savings Program, created by NetSpend Corporation and endorsed by FiSCA, have deposited more than $31 million into their savings accounts in the first eight months of 2008 116% of total deposits for all of 2007.
The NetSpend National Savings Program offers a no-fee savings account linked to a prepaid debit card. There is no minimum deposit or minimum balance requirement to enroll and stay in the program and the savings accounts earn interest at 5% APY,which is significantly higher than most banks or credit unions are offering, though that rate is considered "promotional." The National Savings Program was created because many unbanked and underbanked customers do not maintain accounts at traditional financial institutions.
For info: www.fisca.org and www.netspend.com
