Matched Savings Accounts Available to Help Iowans Build Assets
Olivia Maiers, Marketing Specialist
Des Moines, IA – Iowa credit unions are ready to help Iowans build financial assets through a matched savings program thanks to additional resources from the state of Iowa.
Thanks to recent legislation approved by the Iowa Legislature and signed by Governor Terry Branstad, new funds are available through the Iowa Department of Human Rights as matching dollars for Individual Development Account (IDA) savings accounts.
Twenty-one Iowa credit unions, in partnership with the Iowa Credit Union Foundation (ICUF), are offering IDA accounts to qualified members to help them build assets to improve their financial stability.
An IDA is a special savings account where the savings of a participant are matched by a grant from another organization.
The 21 participating credit unions include: Advantage Credit Union; Affinity Credit Union; Alliant Credit Union; Ascentra Credit Union; Cedar Falls Community Credit Union; Community 1st Credit Union; Des Moines Metro Credit Union; Dupaco Community Credit Union; DuTrac Community Credit Union; Employees Credit Union; Financial Plus Credit Union; Greater Iowa Credit Union; Iowa Community Credit Union; Linn Area Credit Union; Metco Credit Union; RIA Federal Credit Union; SCICAP Credit Union; Telco Triad Community Credit Union; United Service Credit Union; Veridian Credit Union, and Village Credit Union
The individual’s savings and matching funds must be used to purchase a specific asset, such as a home, start or expand a small business, pay for education or job training, or purchase a vehicle to get to work. Home modifications and assistive technology for persons with disabilities also are approved uses of funds. Participants must meet income guidelines to qualify for an IDA account.
“Iowa credit unions are in a unique position to offer no-cost savings accounts to families and individuals needing help to get ahead financially in this tough economy,” said Marybeth Foster, Executive Director, ICUF. “Our immediate goal is to offer a method of saving for a specific asset, and financial education, which is so crucial to financial stability.”
The overall goal is to help demonstrate to low-income Iowans the importance of savings in an effort to end poverty and to help working Iowans become financially independent.
“We are pleased the Iowa Legislature understands the benefits of an IDA program targeted to working families who are saving to better their financial situation,” said Foster. “It is one more important tool toward helping families get ahead.”
Founded in 1995 as the philanthropic arm of the Iowa Credit Union League, the Iowa Credit Union Foundation’s primary focus is to eliminate poverty in the state of Iowa. The Foundation seeks to carry out its mission to help Iowans build wealth, responsibility and independence through its various programs, grants and scholarships. For more information, visit the Community Outreach section of IowaCreditUnions.com.