MADISON, Wis. (1/22/15)--A Jan. 6 GOBankingRates article promoted the value of the sub-savings account--a product offered by most credit unions.
A sub-savings account is an account set aside for a specific goal, usually with a deadline, such as a Christmas Club or a vacation account.
Sub-saving accounts encourage credit union members to save proactively while focusing on a specific goal. It also serves as a deterrent to dipping into savings when temptation arises.
Asking your credit union to automatically transfer funds into a savings club account each month. is a practical way to save small amounts over time, and the discipline of saving reinforces good budget intentions, according to Mike Schenk, Credit Union National Association vice president of economics and statistics (News Now Nov. 25)
Among the credit unions highlighted in the article: