Our recent Financial Access 101 video provided an introduction to savings groups - a common tool used around the world to help poor families build savings and better manage their financial lives. In our latest installment in this series, we explore why savings groups work. The underlying mechanisms of these groups (public commitment, social norming, salience, limited access, and mental accounting) work together to create an effective way of helping poor households increase their savings.
If you liked the video and want to learn more, visit our Research section on Savings and other videos in this series. Also stayed tuned in the coming weeks for our third video and other resoruces that further explore savings groups and how they can work to serve the needs of poor households.