The Bank of America is one of the largest banking organizations in the U.S.A. It has its headquarters in Charlotte, North Carolina (“Keep the change” Account Service for Bank of America n.d). This renowned banking and financial services corporation’s history dates back to the year 1904 when Amadeo Peter Giannini launched the Bank of Italy in San Fransisco. The Bank of Italy soon developed to become the Bank America but Giannini Holding Company continued to own it for a while. In 1998, the national bank corporation and BankAmerica merged to form the Bank of America Corporation. Today, this institution operates over four thousand consumer banking locations in over twenty-one states.
The Bank of America has embarked on a new program dubbed ‘keep the change’. The program’s primary trick is rounding up, meaning that for every purchase that a Bank of America account holder spends, the institution rounds up the amount that one spends from his or her account. A number of U.S citizens still do not understand how the program works. In that case, this process is automatic such that once a person purchases an item worth $8.50, the Bank of America rounds up the amount one spends on the acquisition to the nearest dollar. Afterward, the Bank transfers the difference from one’s checking account into the savings account.
One characteristic of the ‘keep the change’ program is that the Bank of America saves exactly the same amount as the one it saves on one’s savings account for the first three months free of charge. The trend results to doubling of the quantity that a client has in the savings account. Furthermore, after the third month is over, this institution matches one’s savings with an equivalent of 5%and puts this match into the client’s savings account, again at no cost.
Indeed, this initiative from Bank of America is helpful for those customers who find it hard to set aside some dollars for savings. However, to become eligible for this program, you have to possess the eligibility requirements that include having a debit card, a checking count and a savings account with the Bank of America.