Keep the Change: Bank of America’s Savings Program

What is the net benefit of banks' "keep the change" programs for banks and for consumers--both from an economic and psychological perspective?
Eric J. Johnson, Stephen P. Zeldes  | Winter 2012
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In 2005, Bank of America launched its Keep the Change program for consumer banking customers— promising that every time customers made a purchase on their debit cards, the bank would round the amount up to the next dollar and transfer the difference or “change” into their savings accounts. Numerous banks soon adopted similar schemes. This case asks students to evaluate the net benefit of these programs for banks as well as their perceived value to consumers—from both an economic and psychological perspective.

Case ID: 120315

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