Business Savings Options
The key to effective cash flow management is to keep as much money working in your business as possible. Cash that isn't being used to fund operating needs shouldn't sit idle when it could be earning interest. Businesses have several options available for maximizing their earnings on cash flow when it's not needed in the short term or the long term. Because all of these options can be linked to your business checking account the funds are immediately available when the need arises. Which option is right for your business ultimately depends on your cash flow situation and your need for flexibility or liquidity.
Business Savings Account: Designed for businesses with growing cash flows, these accounts offer the greatest amount of liquidity while providing competitive short-term savings yields. They require a low initial deposit and low minimum balances. While there is check writing capabilities, free monthly transactions are limited. These accounts can be used for overdraft protection on your primary business checking account. All of your savings account activities can be tracked and managed with online account access.
High-Yield Savings Account: For businesses with larger lump sums to deposit, these accounts offer a higher yield along with liquidity and the security of an FDIC insured account.
Money Market Account: Similar to a high-yield savings account, money market accounts offer the benefits of higher returns along with more flexible check writing or account transfer privileges. Because they use a tiered interest rate structure, higher balances will earn higher rates of interest. Monthly service fees are waived when a minimum average collected balance is maintained. Your money market account can be linked to your business checking for overdraft protection. Our money market accounts are FDIC insured up to the legal limits.
Bank Certificates of Deposits: For businesses with larger deposits and a longer term time horizon for their cash needs, FDIC-insured CDs offer the highest possible rates for a low-risk savings option. Interest is compounded on daily basis and credit to your account monthly. Savings terms range from 14 days to ten years with higher rates credited for longer terms. With longer term CDs, limited monthly withdrawals are allowed without incurring a penalty. The balance can then be automatically rolled into another CD upon maturity or transferred into another business account.
All of your business accounts are linked to our Online Banking platform for convenient access to daily transactions, cash flow reporting and easy transfers between accounts. Our Online Banking is supported with the maximum levels of encryption and password protection that ensures your information is safe.
We are members of FDIC so all deposits are insured up to $250,000 per depositor, per ownership category. To learn more about our FDIC membership, go to www.fdic.gov and search for our name under Bank Find.