The Louisiana Credit Union League (LCUL) and Del-One FCU, Dover, Del., are teaming up with the Minnesota Credit Union Network (MnCUN) to offer prize-linked savings accounts through the WINcentive Savings program.
MnCUN developed WINcentive Savings to encourage healthy savings habits. Since the program began in 2016, Minnesota consumers have saved more than $4 million through WINcentive Savings accounts.
LCUL’s program will be branded “Lucky Lagniappe Savings.” Lagniappe (pronounced LAN-YAP) is a French word for “a little something extra.” MnCUN and its wholly owned subsidiary, TruLync, will provide technology management for LCUL including prize-drawing administration, reporting, and technical support for Louisiana’s participating credit unions.
Del-One FCU, with $440 million in assets, will be the first financial institution in Delaware to provide a prize-linked savings account. It will offer the account under the WINcentive Savings brand, funded by its own prize pool.
“We are excited to support leagues and credit unions in administering prize-linked savings,” said John Ferstl, vice president of the Minnesota Credit Union Network Service Corp. “Not only does this help consumers, but also creates greater efficiencies and opportunities within the credit union system.”
In addition to the new partnerships with LCUL and Del-One Federal Credit Union, MnCUN and TruLync administer the New York Credit Union Association prize-linked savings program, Lucky Savers. In Minnesota, 20 credit unions currently offer WINcentive Savings accounts to members.
Prize-linked savings programs encourage members’ saving behavior. When members deposit a set amount of funds into their prize-linked savings account they are automatically entered in monthly, quarterly, and annual cash prize drawings.