On Monday, America’s Credit Unions sent a letter to the Treasury Department advocating for credit unions to be authorized providers of the new youth savings program, the “Trump Account.” Created under the One Big Beautiful Bill Act (OBBBA), which was signed into law in July, the Trump Account is a government-backed youth savings account.

For children born on or between Jan. 1, 2025, and Dec. 31, 2028, the government will deposit an initial $1,000 into the account. Afterwards, parents may contribute up to $5,000 per year. Once the child turns 18, the account is handed over to them and transitions into a traditional IRA.

Currently, the Treasury Department is still facilitating the details of the account and has not solidified which types of financial institutions will be able to offer these accounts. The letter from America’s Credit Unions argued that credit unions, as not-for-profit, community-driven financial institutions, are the perfect servicers of such accounts and should not be overlooked as this decision is made.

“Credit unions’ ability to facilitate Trump Accounts fits squarely within their mission of helping members grow financially,” the letter reads. “As not-for-profit financial cooperatives, credit unions’ sole focus is on the well-being of their members and their families. These accounts represent a valuable tool and opportunity to build savings and secure the financial future of members’ children.”

Credit unions have historically been large supporters of youth savings accounts and youth financial literacy programs, and the addition of these accounts could support both of those measures, as well as be a great tool for driving families and younger members into the credit union.

You can read the full letter here.