This study conducted two cluster randomized trials using household-level random assignment to test the impact of a rewards cards program at two different locations: Wabash County Indiana and the City of St. Louis. Findings show the treatment group in Indiana had a greater than three-fold increase in savings activity in CSAs, and in St Louis had a greater than seven-fold increase in savings activity in CSAs. These findings suggest that rewards cards can be an effective strategy for engaging families of different backgrounds in saving activities.
This report examines enrollment, savings behaviors, and asset accumulation in the Wabash County Promise Scholarships program, which deposits early-commitment scholarship awards into children’s college savings accounts, in an effort to improve educational outcomes. The rationale for the Wabash County Promise Scholarships is rooted in research evidence examining the potential of early accumulation of educational assets to cultivate identities as college savers and increase educational expectations. This evidence has contributed to a growing trend among scholarship providers to consider ways to deliver awards early enough in students’ educational trajectories to influence not just the affordability of postsecondary education, but also students’ likelihood of enrolling in college and completing postsecondary credentials. One particular iteration of these efforts is the melding of ‘Promise’ programs or other early-commitment scholarships with Children’s Savings Account (CSA) programs that help families accumulate educational assets through incentivizing their own saving and amplifying families’ contributions with programmatic features (Elliott & Levere, 2017). Early-commitment scholarships provide early notification, guarantee, and/or delivery of financial aid to help offset the costs of postsecondary studies or training. The Wabash County Promise Scholarships program is an example of early-commitment financial aid that leverages the potential of both approaches.