Cd Service Sharpens Banking's Edge

Kentucky Banker MagazineNbr. 935, December 2004

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Summary


The American Banker magazine on January 22, 2003, carried a story that 3 former federal bank regulators had created the Certificate of Deposit Account Registry Service. A year later, more than 500 banks had joined the Promontory Interfinancial Network to offer the services, which provides customers with access to federal deposit insurance coverage in the multi-millions. Using Promontory's premier service, a bank customer's money is split into CDs in amounts under $100,000 at other network banks, so that it all can be fully insured. The customer deals with only one bank; one bank handles the transaction, issues one statement and provides one 1099.

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Extract


Cd Service Sharpens Banking's Edge

On January 22, 2003, banks discovered they could offer customers a unique service never before seen.

The American Banker that morning carried a story that three former Federal bank regulators had created the ...

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