WASHINGTON (4/18/12)--Money One FCU in Largo, Md., has been attracting younger members for two years through a program that offers free iTunes downloads, The Washington Post reported Monday.
Through its Kasasa Tunes program, members can choose between getting 3% interest on their checking accounts or $10 in iTunes downloads every month.
There are no account balance minimums or monthly fees involved in the program, but members must use their debit card a minimum of 10 times per month and sign up for online banking to receive iTunes.
Because growth in the credit union's checking account activity was stagnant, Money One had to take a different approach, Debbie Connors, Money One president/CEO, told the Post.
She decided to use BancVue, an Austin, Texas, company that in 2009 created the Kasasa Rewards program to help credit unions and community banks level the competitive landscape with huge banks such as Bank of America and JPMorgan Chase, the newspaper said.
Having a national brand such as Kasasa helps credit unions and community banks garner more leverage with giant banks, Gabe Krajicek, BancVue CEO, told the paper.
Participating credit unions and other financial institutions pay a monthly licensing fee to access Kasasa software, and also provide some of the advertising budget to BancVue, the Post said.
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