SAVINGS PROGRAMS FOR POOR
January 11, 2006
A growing number of state governments, nonprofit groups, foundations and private companies have created pilot programs in recent years to encourage poor and working-class Americans to save, reports The Wall Street Journal. The programs have drawn support from people on both the left and the right, and are enabling many participants to open savings accounts, arrange for payroll deductions, and begin accumulating assets. However, proponents of the programs acknowledge that even with financial incentives, it is difficult to persuade many poor people that they can afford to save.
