Cdars-Ics Participating Institution Agreement

The financial institutions that are members of the CDARS network set the CD rates they offer. This allows them to get competitive prices for their local markets – and benefit you as a customer. Check with your financial institution to find out if they participate in CDARS or visit CDARS to find a local institution that offers CDARS. Depositors of public funds wishing to use the CDARS service can find information on the CdARS for Public Funds website. CDARS helps banks attract large dollar relationships, replace more expensive financing by offering customers access to multi-million euro FDIC insurance on CD, and maintain the total amount of deposits on the balance sheet or sell the financing. CDARS allows members of the IntraFi network to serve as the single institution that meets all the needs of their customers. The FDIC regularly recognizes that deposit intermediation services can be used to enable access to enhanced deposit protection. For example, in a July 2016 „frequently asked questions“ document, the FDIC explicitly describes how a participating bank can place funds with other participating banks through a banking network to offer its customers comprehensive insurance coverage for a deposit of more than $250,000. Financial institutions that offer insurgent cash sweeps and/or CDARS are members of the ICS network and/or the CDARS network. If you make a large deposit with your bank with ICS or CDARS, that deposit is divided into amounts under the standard FDIC insurance maximum of $250,000 and placed in deposit accounts with other ICS Network or CDARS Network banks. Funds are placed in demand deposit accounts (with ics application option), money market accounts (with ICS savings option) or on CDs (with CDARS). If you place your funds in stages below the standard FDIC insurance maximum of $250,000, both principal and interest are eligible for FDIC insurance.

If you are an authorized representative of an institution participating in the CDARS or ICS service and you access the Transaction and Reporting Portal (the Portal) through the secure area of the website accessible only to members, confidentiality and security are governed by the current Agreement on Participating Institutions between your institution and the Promotion Network. As part of creating a user account, Promontory Network may collect certain information, including the user`s name and email address….