Converting to ICS® is easier than ever now that integration is available from a wide range of providers of information management and e–commerce systems for the financial services industry.
Banks can now replace costly and cumbersome repo sweeps with ICS, which allows them to provide their customers with access to multi–million–dollar FDIC insurance. Assets previously used as collateral can be put to use earning higher returns. As a result, banks can reduce the risk of collateral–value deterioration, increase asset liquidity, and improve margins by significantly reducing administrative costs and tracking burdens.
Unlike repo sweeps, placing funds through ICS does not require bankers to post collateral. And with integration, banks no longer have to make accounting entries manually. Banks can allow their customers to establish balance thresholds to trigger automatic sweeps in or out of the root account for each ICS offering. In addition, the customer can view balances online. This makes ICS an easy, cost–effective option.