Savings programs tied to debit cards are gaining traction with U.S. consumers, according to Atlanta-based Synergistics Research Corp. In a recent national online survey of 1,000 consumers, Synergistics found that 45% were aware that financial institutions were offering programs in which customers could save money by using their debit cards. While less than 3% of respondents currently participate in such a program, 64% said they would use their debit cards more often if it was linked to a savings program.

… Credit card issuers continue to send direct mail solicitations even as response rates steadily fall. Over 6 billion credit card offers were mailed to U.S. consumers in 2005, 16% more than in 2004. But the average response rate dropped to 0.3%, from 0.4% in 2004, according to Chicago-based Synovate, the market research arm of Aegis Group plc. Synovate attributed much of the increase to American Express Co., which increased its direct mail credit card solicitation by 56% over 2004.

… American voters display a strong support for Heath Savings Accounts (HSAs), according to pollster Zogby International. In a telephone poll of 1,020 likely voters nationwide, Utica, N.Y.-based Zogby found that 74% back Congressional action to boost the maximum contribution amount to HSAs so that the out-of-pocket requirement to ensure 100% insurance coverage is met by the insured individual. Sixty-nine percent of respondents want Congress to allow HSA participants to pay their insurance premiums using money in their savings plan. The survey, conducted last month, was commissioned by the HSA Coalition. For more on HSAs, see “HSAs: Did Great Expectations Disappoint?” in the Jan. 18, 2006 issue of BAI Banking Strategies Retail Delivery Insights.

More Articles in This Issue

» BEHIND THE SCENES OF WAMU’S ‘GUTSY’ CAMPAIGN
What does it take for a marketing campaign to stand out and really be noticed by consumers? Being funny and innovative helps, but also “over-commitment to a big idea,” say two of the executives who designed Washington Mutual Inc.’s recent ads touting its free checking accounts.   »more

» THE BUSINESS PURPOSE TO EMPLOYEE APPRECIATION
Setting aside time every year to honor your employees may seem like a feel-good idea, but veteran retail banker Richard C. Hartnack also believes in the business purpose behind it.  »more

» HELPING WOMEN-OWNED BUSINESSES GROW
When it comes to banking women entrepreneurs, helping customers grow their business can be as important as supporting the existing business, says Kristina Depencier, national manager, small business, with Toronto-based Royal Bank of Canada.  »more

» NEW SMALL BUSINESS PAYMENTS RESEARCH
“Less than half of small businesses surveyed use credit cards issued by their primary service provider … 29% of businesses in the $5 million to $10 million revenue segment use their primary card issuers for other services.”  »more

Volume 3 Archives

» SPECIAL EDITION: ISSUE NO.1 NOVEMBER 13, 2007
    » BRANCH DESIGN: LEARNING FROM RETAILERS
    » DEPOSIT AND SMALL BUSINESS FOCUS BOOST STOCK PERFORMANCE
    » PODCASTING AND BLOGS AID RECRUITMENT
    » ALERTS KEY TO WINNING MOBILE BANKING CUSTOMERS