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Strengthen Your Bank's Balance Sheet.

By proactively taking steps to strengthen core-customer relationships and its balance sheet, your bank can navigate the current market uncertainty and position itself to emerge stronger as liquidity recedes. With strategic use of IntraFi Network's suite of products, your bank can prepare with these tactics:

  • – Reducing collateralized deposits
  • – Building loyal, less-price-sensitive relationships
  • – Growing franchise value with reciprocal deposits
  • – Diversifying funding sources

Reduce collateralization.

Since IntraFi Network Deposits offers customers access to millions in FDIC insurance, customers typically can forego requiring that their deposits be collateralized. Additionally, with IntraFi FundingSM, your bank can purchase wholesale funding with no collateralization, lines of credit, or stock purchases required. By significantly reducing the collateral it holds for pledging purposes, your bank can avoid having pledging requirements drive its investment strategy. Reducing collateralization can also improve your bank’s liquidity position and give it more flexibility to manage interest rate risk. And, decreasing the need to track collateral on an ongoing basis can save time for both your bank and its customers.

Build loyal, less-price-sensitive relationships. 

Currently, your bank can attract customers without spending the marketing dollars it may have to spend in normal years. Though some of these new customers might withdraw funds as the economy improves, their status as customers (rather than prospects) provides an opportunity to cross-sell and grow high-value relationships now. With IntraFi® Network DepositsSM, your bank can help solidify relationships by offering safety-conscious customers access to multi-million-dollar FDIC protection through a single bank relationship.

Grow franchise value with reciprocal deposits.

With its invention of reciprocal deposits, IntraFi NetworkSM pioneered a way for banks to utilize the power of a network of financial institutions to grow franchise value. Most reciprocal deposits are considered nonbrokered and reportable as core. Reciprocal deposits tend to be lower-cost deposits that come in large increments from local customers, which can enable your bank to spread customer acquisition and maintenance costs over a larger deposit base.

Diversify funding and fine-tune funding contingency plans.

While many banks are experiencing significant liquidity today, past experience shows that the situation can change quickly and dramatically. IntraFi Funding offers a reliable, convenient one-stop shop for funding solutions, whether your bank seeks fixed- or floating-rate pricing, overnight or term options, or millions or billions of dollars. Since funding cost are currently low, it may be a good time for your bank to secure an amount of low-cost funding for a term and be prepared for an eventual market shift.

Let's talk about how your bank can position itself to thrive now and into the future

Patrick Kealey, Managing Director

pkealey@intrafi.com

(866) 776-6426 x3468

Reach a member of our Treasury Desk anytime. Call (866) 776-6426, option 3 or email TreasuryDesk@intrafi.com.