Reserve Accounts
CDARS - Certificate of Deposit Account Registry Service
The FDIC insures depositors up to $250,000 per owner. For investors with even larger deposits, consider the Certificate of Deposit Account Registry Service (CDARS). Using this unique program, FDIC coverage expands up to $50-million while Summit State Bank rapidly grows your deposits using CD-level interest rates.
With CDARS there is no longer any need to run to multiple institutions so that you stay under the $250,000 limit of the FDIC. There are none of the hassles signing multiple account documents and managing several bank statements. The CDARS program lets you sign one agreement regardless of the number of CDs you open. Our comprehensive statement shows your balance and maturity dates. Contact Summit State Bank to learn more.
How does CDARS work? When you place a deposit with Summit State Bank, we use the CDARS network to convert your funds into Certificates of Deposit issued by other high quality banks in the network. We use increments of less than $250,000 to ensure that both the principal and interest are eligible for full FDIC insurance. Other network banks do the same with their customers' deposits. With the help of a sophisticated matching system, network banks electronically exchange funds. This exchange occurs on a dollar-for-dollar basis, so that exact amount of your original deposit is credited to you at Summit State Bank. Automatically you gain the comfort of FDIC insurance and the growth of CD-level rates plus the convenience of a single banking relationship.
| CDARS Account | Features |
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| Minimum deposit |
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| Maximum single deposit |
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| Maximum FDIC insured balance |
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| Length of term |
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| Interest Rate |
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| Eligible depositors |
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| Early Withdrawal |
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| Convenience features |
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