AAA Executive Vice President Mark Brown Testifies Before the U.S. House Committee on Natural Resources
March 27th, 2012 by admin
Executive from one of the nation’s largest leisure travel organizations discusses the potential impact of rising gas prices on American travelers
WASHINGTON, DC, (March 27, 2012) – AAA Executive Vice President, Association and Club Services, Mark Brown testified before the U.S. House Committee on Natural Resources today regarding the impact of gas prices on the U.S. travel industry. Brown provided Committee members with a consumer prospective on the impact of fuel prices on household budgets and travel plans.
“Once again America’s motorists are caught in a squeeze and confused as they try to understand what is happening at the gas pump,” said Brown.
Since the beginning of 2012, the national average price of self-serve regular unleaded gasoline has jumped from $3.28 per gallon to $3.90 per gallon, an increase of 62 cents per gallon. At this price, a typical family owning two vehicles and using 1,200 gallons of gasoline per year spends about $4,680 annually, or about $390 per month.
Brown cited the findings of a recent AAA survey in which 84 percent of respondents said they have already changed their driving habits or lifestyle in some way because of increased gas prices. Combining trips and errands was the most commonly reported cost-cutting tactic, with 60 percent of respondents reporting having already made this adjustment. Forty-five percent of respondents are dining out less and 34 percent are delaying major purchases.
With more than 1000 branch offices across the country and over 7,000 travel counselors, AAA has a finger on the pulse of the American traveler. Although rising gas prices can cause concern for the travel industry, Brown indicated that current feedback from AAA travel counselors is encouraging. “A quick poll of some of our agents suggests that members are not cancelling their vacation driving plans, but may alter the distance and number of destinations.”
AAA agents have noticed that consumers interested in purchasing individual airline tickets only are watching fares closely and waiting to book flights anticipating that fares may come down.
As the summer travel season approaches, Brown pointed out that it is still too early to determine the impact of higher gas prices on summer travelers. AAA produces five holiday travel forecasts each year with research partner IHS Global Insight. The first forecast for 2012, AAA’s Memorial Day Holiday Travel forecast, will be released in mid-May and will provide a reading of Americans’ desire to travel despite higher gas prices.
As North America’s largest motoring and leisure travel organization, AAA provides more than 53 million members with travel, insurance, financial and automotive-related services. Since its founding in 1902, the not-for-profit, fully tax-paying AAA has been a leader and advocate for the safety and security of all travelers. AAA clubs can be visited on the Internet at AAA.com.
AAA is a non-partisan organization providing unbiased reporting of gas prices through its popular weekly Fuel Gauge Report.
AAA Executive Vice President Mark Brown to Testify Before the U.S. House Committee on Natural Resources on March 27
March 22nd, 2012 by admin
AAA Executive to discuss the potential impact of rising gas prices on American travelers
ORLANDO, Fla., (March 23, 2012) – AAA Executive Vice President, Association and Club Services, Mark Brown will testify on March 27 before the U.S. House Committee on Natural Resources regarding the impact of rising gas prices on consumer travel plans. A copy of Mark Brown’s full written testimony will be posted on AAA NewsRoom at www.NewsRoom.AAA.com on March 27.
AAA’s High Yield Savings Program Doubles Deposits to $2 Billion in 12 Months
July 29th, 2010 by admin
Orlando, Fla – 7/29/2010
AAA partnership with Discover Bank gains further momentum as consumers seek safety and higher than average rates
AAA announced today that total deposits in its AAA Deposit Program, offered in conjunction with Discover Bank, have doubled to $2 billion in the past 12 months.
Forty-five AAA clubs offer money market accounts, certificates of deposit and IRA CDs via AAA’s relationship with Discover Bank. All of the products are FDIC-insured 1 and come with preferred interest rates for AAA members that exceed Discover’s already extremely competitive rates.
“The adverse banking environment encountered by millions of consumers since 2007 has driven many Americans to explore offerings by customer-focused financial services providers,” said Mark Brown, AAA executive vice president for Association and Club Services. “AAA’s Deposit Program is proving extremely attractive because we are a strong and trusted organization that is able to offer outstanding rates of return with the security of FDIC insurance.”
AAA Deposit Program poised for additional growth
The AAA Deposit Program was launched in January of 2008 and exceeded $500 million in deposits after eight months in existence. The program doubled in size eight months later to $1 billion in July of 2009. The AAA Deposit Program has the potential to continue rapid growth in deposit balances based on member demographics and the competitive product set, AAA said. Approximately 25 percent of American households hold AAA club memberships.
“As Discover Bank’s first and largest affinity partner, AAA helps us advance our mission of helping Americans achieve their savings goals,” said Discover Bank President Christina Favilla. “The success of this relationship stems from the fundamental commitment by both partners to offer quality products backed by excellent customer service.”
To access the AAA Deposit Program consumers should visit www.AAA.com/Deposits, phone 1-888-728-3230 or contact their participating AAA club.
AAA Financial Services offers an array of banking products with exclusive rates and benefits to members in participating U.S. clubs. These products include Money Market Accounts, CD’s, IRA CD’s, rewards-based credit cards and auto loans. Benefits include such things as no minimum balance to open a savings account2, a variety of credit card rewards and rebates from cash back to merchandise and travel, preferred rates on savings and loan products, and flexible terms.
As North America’s largest motoring and leisure travel organization, AAA provides nearly 52 million members with travel, insurance, financial and automotive-related services. Since its founding in 1902, the not-for-profit, fully tax-paying AAA has been a leader and advocate for the safety and security of all travelers. AAA clubs can be visited on the Internet at AAA.com.
Founded in 1911, Discover Bank is one of the 100 largest banks in the United States and an affiliate of Discover Financial Services. Discover Bank offers certificates of deposit, money market deposit accounts and other consumer financial products and services. For more information, visit http://www.discoverbank.com/.
1 FDIC deposit insurance temporarily increased from $100,000 to $250,000 per depositor, per deposit category, through 12/31/13.
2 There is no minimum deposit required to open an account, however money market accounts must have an average daily balance of at least $1,500 beginning on the third statement cycle otherwise a monthly minimum balance fee will be charged.
