Overview

Give your financial institution the opportunity to grow and compete effectively.

Enhance customer relationships and franchise value.
Offer customers safety and interest – your customers will not have to choose between accessing FDIC insurance and earning a return on their money.
Leverage cross-selling opportunities.
Set your own rates.
Keep funds on balance sheet.
Reduce your ongoing collateralization burdens, and help improve asset liquidity.

How ICS Works

* Based on triggering events as set forth in the ICS Deposit Placement Agreement the depositor enters into with your bank. The standard FDIC insurance maximum is $250,000 per insured capacity, per bank.

As a member of the Promontory Network, your bank can transfer a customer’s funds from a transaction account at your bank into interest-bearing savings accounts at other member banks in amounts below the standard FDIC insurance maximum ($250,000). This process makes the customer’s funds eligible for FDIC protection. As a result, your customers can access coverage from many institutions while working directly with just your bank.

Customers communicate with your bank’s service team and receive monthly statements from your bank. And, as always, customers’ confidential information is protected.

Each customer maintains liquidity in the transaction account at your bank and can access ICS funds in the money market deposit accounts up to six times per month.

Product	Problems	The ICS Solution
Money market mutual fund sweeps / Short-term bond funds	There is nothing comparable to FDIC insurance for money market mutual funds or short-term bond funds Deposit amount taken off balance sheet	Offer access to multi-million-dollar protection that is backed by the full faith and credit of the federal government Keep the full amount of customer funds on balance sheet
Repo sweeps / Collateralized deposits	Eligible assets required Assets must be marked-to-market Pledging requirements reduce asset liquidity Cost and administrative burden affect profit potential	Reduce ongoing collateralization and tracking burdens (when customers adhere to program limits) Improve margins by reducing collateral requirements
Letters of credit / Private insurance	Tend to be more expensive Generally require collateralization	Take advantage of a significantly cheaper alternative (other cash-management alternatives tend to be more expensive) Reduce ongoing collateralization
Other deposit sweeps	Provider limits pricing discretion Provider may not offer full (dollar-for-dollar) reciprocity Provider may require bank to manually track withdrawals	Set the interest rate you offer Benefit from full reciprocity Automatically track withdrawals and other customer information online via the Depositor Control Panel Work with a low-cost provider

What Types of Customers Can Benefit from ICS?

Financial institutions can place funds through ICS for businesses, non-profits, and other large-dollar depositors.

Get Started

Why not start taking advantage of ICS today? We’re here to help you every step of the way, from implementation through ongoing operations, marketing, and sales assistance.

Email contactus@promnetwork.com or call 866-776-6426 (toll free).

Use of the ICS service is subject to the terms, conditions, and disclosures set forth in the ICS agreements, including the ICS Participating Institution Agreement and the ICS Deposit Placement Agreement. Limits and customer eligibility criteria apply. Program withdrawals are limited to six per month.