Marketing framing vs financial reality & customer respect

An email from Empower recently promoted the potential to grow a $10,000 balance to $19,581 in just one year—with a 4.05% APY. That figure may appear impressive at first glance, but a closer look reveals a different story.

The advertised growth assumes not only a high-yield interest rate but also $750 in recurring monthly deposits. The fine print clarifies the math:

• With 4.05% APY + $750/month: ~$19,581
• With 3.75% APY, no deposits: ~$10,381

The visual implication? That a 0.30% APY difference somehow results in more than $9,000 of extra value. The reality: the vast majority of that “growth” comes from user behavior—not the interest rate.

Where the growth actually comes from

Here’s a breakdown of the real math:

The difference between 3.75% and 4.05% APY on $10,000 over one year? About $30. With $750 monthly deposits, the difference grows—but only to about $70 in extra interest. The headline number is technically accurate, but the framing may overstate the impact of the APY boost.

The real power: consistent contributions

What truly drives long-term account growth isn't a fractional difference in APY. It's the habit of saving. Over decades, small regular contributions—even at modest interest rates—compound meaningfully. For example:

• $50/month at 5% over 50 years: over $150,000
• $200/month at 5% over 50 years: over $600,000

Behavior beats basis points. The best financial products reward discipline—not just rates.

Clarity builds confidence

Empower's email frames its offer around APY rates, confidence and FDIC backing. But confidence is best built through transparency. Consumers are savvy. They deserve marketing that reflects that.

There's a real opportunity here—for fintechs to highlight how good habits, reinforced by useful products, are the foundation of financial growth. The story isn't just about rates. It's about the person doing the saving.