Wash. Senate OKs lotto-like savings contests
OLYMPIA, Wash. (AP) - Washington lawmakers have approved a bill allowing banks to establish prize-linked savings accounts to encourage fiscal responsibility in the wake of the Great Recession.
The bill passed Wednesday by the state Senate would permit financial institutions to set up a lottery-like contest, in which those who deposit money in savings accounts are eligible to win cash prizes throughout the year.
Prime sponsor Sen. Derek Kilmer, a Gig Harbor Democrat, says lottery-like contests in other states have been shown to significantly improve people's savings habits.
Maine, Rhode Island and Maryland passed similar legislation in 2010, and Washington was one of four states to propose savings lotteries this year.
Kilmer says the contests reward thriftiness and will help people to "weather financial ups and downs."
The bill passed Wednesday by the state Senate would permit financial institutions to set up a lottery-like contest, in which those who deposit money in savings accounts are eligible to win cash prizes throughout the year.
Prime sponsor Sen. Derek Kilmer, a Gig Harbor Democrat, says lottery-like contests in other states have been shown to significantly improve people's savings habits.
Maine, Rhode Island and Maryland passed similar legislation in 2010, and Washington was one of four states to propose savings lotteries this year.
Kilmer says the contests reward thriftiness and will help people to "weather financial ups and downs."
