Bank of Little Rock Teams Up with Kasasa To Offer Interest on Checking

by Jan Cottingham  on Monday, Aug. 5, 2013 12:00 am  

'Do You Kasasa?'

That was the tagline of the marketing campaign for a bank program — Kasasa — offered only by community banks and credit unions.

Kasasa helps those financial institutions institute rewards programs in which customers could earn interest on their free accounts or other incentives, including cash back and iTunes downloads. The program can be found in at least 39 states.

Just a few banks in Arkansas participate; one of them is Bank of Little Rock.

“We’re teaming up with other community banks and credit unions nationwide for consumers to take back their banking from the megabanks, the larger institutions,” said Samantha Blaylock, assistant vice president.

Bank of Little Rock offers interest of 2.25 percent on qualifying checking accounts. It has three requirements:

  • Customers must set up a direct deposit or automatic draft;
  • They must use their debit cards at least 10 times; and
  • They must use online banking to see their statements.

Bank of Little Rock started its Kasasa program in April 2009, and it has generated “tremendous growth” for the bank, Blaylock said. Its deposit growth has increased by 45 percent, she said. “We wanted the deposits but we also wanted relationships with those customers,” she said.

Kasasa is offered through BancVue of Austin, Texas, a financial services company that sells technology and marketing products, including rewards programs, to community banks and credit unions. Bank of Little Rock had had a previous relationship with BancVue, Blaylock said.

The bank can offer interest because it receives income from the debit card transaction fees and saves money by not snail-mailing statements to customers, which she called “a huge expense.”

 

 

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