With IND®, banks can
- Access a cost-effective, long-term source of wholesale funding.
- Obtain floating rate wholesale funding for amounts ranging from $25 million to billions of dollars.
- Work with an industry leader.
Diverse and Relatively Stable Funding
- IND® funding comes from cash held in millions of brokerage accounts across the nation; therefore, the funding is both geographically diverse and relatively stable.
Mostly Classified as Savings Deposits
- Approximately 95% of IND deposits will be reported as savings deposits and, thus, will not be subject to reserves.
Minimal Accounting Burden
- The administrative/accounting burden associated with IND is minimal. Banks open "omnibus" accounts only. Individual account records are maintained by the broker-dealer, and the broker-dealer (not the bank) is responsible for compliance with Bank Secrecy Act (BSA) and anti-money laundering (AML) requirements, and the banks do not need to report on customer-specific know-your-customer (KYC) or customer identification program (CIP) activities for broker-dealer customers.
No Settlement Fees
- Banks utilizing the service settle on a daily basis, but do not pay settlement fees; the total cost of funds is the rate agreed upon with Promontory.
To Learn More
Email or call Promontory at 866-776-6426 (toll-free).