Semi Finalist 16: Microsaving Partners
Summary of the idea:
To deal with poor budget skills and life accidents, the project aims to incite vulnerable groups to exercise proactive management regarding foreseeable expenses, while building and cultivating the savings habit to protect them from unexpected events. Concretely, the project’s aim is to promote microsaving groups as an innovative tool to prevent overindebtedness via a local partnership in Belgium. A previous microsavings project lead by Financité showed positive and lasting impacts on savings and budget management behavior (http://urlz.fr/1JV1):
• 7 months after the program, 25% beneficiaries save more often than before the program (vs. 15% in the control group).
• Almost half of recipients saved regularly (7 months or more) during the program.
• Beneficiaries adopt more formalized and forwardlooking budget management habits.
The two program components the collective training sessions and the financial incentive to save act in synergy: beneficiaries that save frequently also attend the trainings. The social aspect and the financial interest are mutually reinforcing motivation factors.