Dynamic Source for Flexible Funding
Many community banks are experiencing strong performance and see opportunities to grow even faster.
One of the biggest challenges is the consistent need to increase deposits. Without a way to generate
new deposits in a cost effective and easy-to-process manner, community banks are unable to meet future
lending needs and increase bottom line performance.
New Source of Flexible Funding
The Capital Market CD program (CMCD) is a dynamic funding solution. The program is a straight-
forward, unique and efficient way to raise money from the capital markets to deliver a new, fresh
source of deposits to community banks.
Valuable Funding Advantages
The Capital Market CD program provides Community Bankers with:
Lower Total Funding Costs – no collateral costs, no stock purchase, no annual fees, no
Efficient Funding Source - funding generated directly from the capital markets, not local
deposits. Ability to systematically “Ladder in” intermediate term deposits (2-5 years) helping stabilize the funding base, extend
liabilities and reduce interest rate risk
Easy to Use and Administer - all CDs issued in book entry form and interest payments transmitted through ACH, making the
program efficient and easy to administer
Capital Market CD Highlights
Lower Funding Costs
CMCD rate is based on the 3 year Treasury rate. No annual fee to participate
Collateral freed up for other funding needs
Reduce Interest Rate Risk
Extend liabilities to reduce interest rate risk
No enrollment costs, no extra fees
Efficient Funding Source
Up to $100,000 per week. You choose the weeks you want to participate.
Intermediate Term Deposits
3 year funding solution
FDIC has opined positively on the program
Easy to Use and Administer
Easy to Use, Less
All CDs issued in book entry form, no paper certificates and ACH used to transmit
No subscription fees, no ra