New KeyBank Savings Account the First to Tie Rates and APYs to Proprietary Financial Wellness Score

by on Jan 04, 2018

KeyBank moved away from a traditional approach to savings accounts by launching the Key Active Saver Account. This unique account incorporates rewards that correspond to the firm-branded financial wellness tool, HelloWallet.

HelloWallet provides information and resources to simplify setting budgets, managing savings and achieving financial objectives. Customers can assess their financial situation through a personal, quantified score which is calculated based on account balances, income, spending and demographics. Additionally, a Peer Score allows customers to compare themselves to similar age and income demographics.

HelloWallet Financial Wellness Score

Customers enrolled in HelloWallet with balances less than $24,999.99 receive special interest rates and relationship APYs which correlate directly to their financial wellness score. Standard interest rates and APYs are offered to customers who are not enrolled in HelloWallet or have a balance over $25,000.

Financial wellness programs grew in the aftermath of the recession and remain popular, particularly in the workplace environment, where companies are integrating them into benefits packages.

Banks are moving in the same direction as consumers desire education and advice for improving their financial standing. A 2015 Gallup survey states that about 84% of customers strongly agree that banks should look out for their financial well-being. SunTrust Bank has taken the lead with the launch of its “onUp” movement which provides free savings calculators, budgeting tools and monthly newsletters with financial advice.

However, KeyBank is the first firm in our coverage group to launch of an account which incorporates financial well-being as part of a rewards program. Corporate Insight’s Bank Monitor will continue to track incentive promotions and rewards programs within the banking industry.