We get it. Protecting your deposits is important – especially now. With the occurrence of multiple bank closures, you want to make sure that you’re placing your money with a financial institution you can trust. As a member of the Intrafi network, FFB can provide that protection for its customers through ICS and CDARS. Still unsure of what this means for you and your account? Read on to get the full run-down on how these programs may be beneficial for you.

How Does ICS and CDARS Work?

ICS (Insured Cash Sweep) and CDARS (Certificate of Deposit Account Registry Service) are smart, safe, and convenient programs designed to help protect your large deposits. If you have an account that exceeds the FDIC’s $250,000 limit, then you are eligible for multi-million-dollar protection backed by the federal government.

When we place your deposit through ICS or CDARS, that deposit gets divided into amounts under the standard FDIC insurance maximum of $250,000. These amounts are then placed into deposit accounts at multiple FDIC-insured banks. As a result, you can access FDIC coverage from a variety of institutions while still working directly with FFB, your trusted financial partner.

In addition to maintaining a single, already-established banking relationship, you also get to save time and money by earning interest on ICS or CDARS through rates that you agree to with us and by receiving a single statement directly from FFB.

How Do I Access My Funds?

Through ICS, you can place your funds into a Demand Deposit Account (DDA), a Money Market Deposit Account (MMDA), or both. As the deposits are allocated to other Intrafi banks, you will retain daily access to your funds.

With CDARS, you can use a Certificate of Deposit for your funds. There are a variety of standard CD terms available, including 4-week, 13-week, 26-week, 52-week, 2-year, 3-year, or any combination of these terms.

For all options, you will continue to work directly with FFB and have the option to exclude certain banks from receiving your funds. You will also receive a monthly statement from the bank per each option.

Summary

With one bank, one rate, and one statement, ICS and CDARS can be an easy, convenient way for you to ensure that your deposits are safe while saving time and money in the process. If you’d like to learn more about these programs and determine if ICS or CDARS are right for you, then feel free to speak with a member of the FFB team.