Patelco CU provides new incentives to help members save
Money Market Accounts deliver up to 3 percent toward financial goals
PLEASANTON, CA (April 8, 2015) — Patelco Credit Union, one of California’s largest credit unions with more than $4 billion in assets, announced today it will offer industry leading earnings of up to 3 percent annual percentage yield (APY) on the newly structured Money Market Select Account and Money Market Select IRA Account. According to rates published on Bankrate.com, Patelco’s new accounts far exceed money market APY offerings by competitive financial institutions. The accounts are uniquely designed in a reverse tier structure delivering higher APY earning potential to smaller, entry-level accounts to encourage members to reignite their savings.
“Saving has been an afterthought to many people for some time. We see these new accounts as a game changing opportunity to help members see the benefits of setting goals and saving toward them,” said Patelco President and CEO Erin Mendez. “The new Money Market Select Accounts provide a real value in the current interest rate environment.”
The new Money Market Select Accounts provide safe, accessible and secure saving opportunities with one of the highest returns in the nation for smaller accounts. The goal is to encourage all members to save for retirement, emergency funds and vacations, while earning a return often reserved for the more affluent. Accounts up to $2000 will receive an APY of 3 percent. As accounts grow beyond $2000, the APY adjusts to a blended rate based on the amount saved.
“Our Money Market Select Accounts benefit every one of our members, regardless of the amount they have to save. In fact, those new to saving will see the biggest return,” said Melissa Morgan, Patelco’s SVP Chief Retail Officer. “Patelco is a credit union and our first loyalty is to our members. We are committed to supporting our members in their journey to improve their financial well-being. These accounts are just one of the many ways we are innovating to help our members succeed.”
True to Patelco’s mission to enrich the financial lives of its members, and although costly to the credit union, Patelco chose to automatically convert existing money market accounts to the new, higher interest earning accounts in March to provide all members with the larger APY return.
Example member savings potential earned each year:
|Savings Balance||APY||Annual Earning Potential|
|$5,000||2.4% blended APY||$120|
|$10,000||1.7% blended APY||$170|
|$25,000||.98% blended APY||$245|
Online calculators can help determine individual earning potential. More information as well as the calculators are available at https://www.patelco.org/Checking-And-Savings/Savings/Money-Market/
About Patelco Credit Union
Founded in 1936, Patelco Credit Union ranks among the largest credit unions in the nation and is the sixth largest in California with more than $4 billion in assets and 280,000 members. Throughout its 79-year history, Patelco has helped people and their communities prosper through volunteer initiatives and personalized service that focuses on transparency, simplicity in banking, and garnering trust. Patelco is a federally insured, not-for-profit, full-service credit union that offers the same types of products and services as large banks. For more information, visit patelco.org.