This DNAapp includes two applications that work together to round up debit card purchases to the next whole dollar, deposit the round-up amount into a related account, and, optionally, match a percentage of the round up amount as an incentive to use the program.
Debit Card Round Up:
This application rounds up debit card purchases to the next whole dollar and deposits the funds into a related account.
The purchase price of item purchased is rounded up to the nearest dollar amount. The difference between the purchase price and rounded up dollar amount is transferred from the individual’s checking account to a savings account.
If the institution wishes to apply a matching contribution, the Debit Card Round Up Match can be used.
Debit Card Match:
This application allows the institution to match a percentage of the debit card round up amount as an incentive for the program. A process sums the savings account credit transactions posted within a predefined period of time, for example monthly or quarterly. This period is defined by the institution. An annual ceiling can be set on the matched dollar amount.
This application helps financial institutions encourage debit card usage by rewarding accountholders for using their FI-issued debit cards and helping them save. This app can help attract customers/members, and potentially increase interchange income.
By offering a program that rounds up debit card transaction amounts and deposits the rounded up amount into another account owned by the customer, a way of saving can be offered to the customer/member that help them achieve their financial goals.