Individual Development Account

Program Overview

Individual Development Accounts (IDAs) are restricted savings accounts designed to help people with no (or minimal) assets accumulate savings toward a predefined goal within a set period of time. IDAs are a powerful tool used by community organizations to stimulate participants' savings rates, build their assets, and connect these individuals to the economic mainstream by building a relationship with a financial institution.

  • IDAs enable recipients to save for "big ticket" items, such as achieving higher education, buying a home, or starting a business.
  • U.S. Bank believes that IDA programs give participants formal and informal opportunities to learn how to manage and budget money, improve their earning capability, and invest in themselves, their families and their communities.
  • IDAs are based on the idea that asset accumulation and investment, rather than income and consumption, could be the keys to escaping poverty.


Research from Assets for Independence (AFI) and the American Dream Demonstration (ADD) revealed the following in regards to the effectiveness of IDAs:

  • IDA savers are 35% more likely to own a home, nearly twice as likely to attend college, and 84% more likely to own a business.
  • More than half of program graduates who previously received public assistance no longer receive government assistance after completing the program.
  • Prior to enrollment, 90% of IDA savers did not use direct deposit and more than half did not have a savings account.
  • Children of parents in IDA programs also developed and maintained savings patterns.

Features of the IDA Product at U.S. Bank

Bankers open an IDA account using the U.S. Bank Standard Savings account product. IDA program attributes include:

  • Waiver of $4 monthly service fee.
  • Waiver of $1,000 monthly average collected balance requirement.
  • The minimum opening deposit is lowered from $25 to $10.

Program Summary

In 2013, U.S. Bank opened 858 new IDAs and added five new IDA programs. California, Missouri, Ohio, Oregon and Washington continue to be market leaders in fostering IDA programs with community partners.

In total, U.S. Bank has 55 IDA programs across its footprint and 4,124 active IDA accounts (report as of 12/31/2013).