By Kimberly Davies, Program Officer, Financial Services
You’ve finally gotten that new savings product off the ground and into people’s hands. They sign up in droves—and then they go silent.
Dormant accounts can be a huge problem for financial service providers. It puts a huge dent in their bottom line and could jeopardize their sustainability. Their clients also suffer because they don’t gain the experience needed to better manage their assets.
During Grameen Foundation’s Microsavings work with CARD Bank, we found that 58 percent of its new Matapat savings accounts were never used. People wanted to save, signed up for the account, thinking it would be a good fit for their needs. But, they never made transactions.