More than 41,000 Special Savings Incentive Accounts (SSIA) account holders reap the fruits of five years of saving today.
Under the scheme introduced in 2001 by former minister for finance Charlie McCreevy, SSIA account holders were offered a State bonus of €1 for every €4 invested monthly, up to a maximum of €254 a month.
The average account holder will receive €13,800.
It is estimated the maturation of the first accounts will release some €567 million into the economy. The first batch of accounts matured yesterday, and cash from them became available at midnight.
A total of 1.1 million accounts worth €15 billion are due to mature between now and next April when the final accounts come to fruition.
Goodbody Stockbrokers estimates the average account holder will receive €13,800, making a total of some €567 million available to account holders in June alone.
A recent survey by the Financial Regulator found that only 10 per cent of people planned to use their SSIA money to pay off debts. Others intend to spend the cash on home improvements, cars and holidays.
Minister for Finance Brian Cowen today described the scheme as a "remarkable" success. "The SSIAs achieved what the Government set out to do - encourage saving. This Government is fulfilling its commitment to reward people for saving under the scheme," he said.
The Government has introduced a new scheme offering incentives to savers to invest in pensions.
Dermott Jewell, chief executive of the Consumers' Association of Ireland, told ireland.comthe SSIA accounts had been a "fantastic initiative". However, he advised those with maturing accounts to take care how they spend the money.
"I would remind people that they have been, and they will be, marketed to every day until they decide to give the money to somebody."
He said people should listen to strong and independent financial advice from bodies such as the Financial Regulator and the Pensions Board, not to friends and colleagues deciding how to spend their money.
"If you have debt, and particularly if it's debt at a high interest rate, it makes sense to use a portion of it towards paying that off."
"Try to invest it so it continues to pay you back, because it has been a unique initiative," he said.