![]() We receive your payments through the Automated Clearing House (ACH) network.How does Electronic Data Interchange work? Eliminates any technology investment and ensures compatibility with EDI formats and your customers’ systems.You receive the information you need for accurate posting of payments to your accounts receivable system. Makes payment-related information easier to track.You can receive the accompanying information you need to post and track your electronic payments. Sweep/Repurchase Agreements are secured obligations of the bank.FEDI (or EDI) is the computerized exchange of payment data between your business and your customers and vendors. Note: Interest rates on Sweep/Repurchase Agreements are determined by the bank and are subject to change on a daily basis.įor more information about our Sweep/Repurchase Agreement, please call (785) 336-6143 Interest rates are currently determined based upon the following tiers: The Commercial Sweep/Repurchase Agreement is based on a tiered-balance structure, which means the larger the balance you maintain, the higher the rate of interest. The Sweep/Repurchase Agreement can only be accessed through automatic transfers.Ĭontact Us to Learn More Higher Rates on Larger Balances.In addition to the regular commercial checking account fees, a monthly Sweep/Repurchase Agreement fee will also apply.Each day, if the total amount of checks presented for payment exceeds the amount of any deposits, funds are automatically swept from the Sweep/Repurchase Agreement back to the commercial checking account to cover the checks presented and to return the commercial checking account to the target balance.Funds remaining in you commercial checking account consist of a pre-determined "target" balance, which is a compensating balance used to partially or fully offset account maintenance and activity fees.The difference is that excess funds are automatically transferred, or swept, on a daily basis, into your Sweep/Repurchase Agreement. With a Sweep/Repurchase Agreement, you continue to write checks against and make deposits to your commercial checking account just like you always have.Post Office describing the specific government security that was selected as collateral for your Sweep/Repurchase Agreement, as well as your Sweep/Repurchase Agreement balance. In addition, the bank will provide you each day with a written confirmation via fax, email, or U.S.A combined monthly statement will be provided detailing all transactions for your commercial checking account and Sweep/Repurchase Agreement.An earnings credit, at a rate determined by the Bank, will continue to apply to your commercial checking account.The funds invested in a Sweep/Repurchase Agreement are fully collateralized by government securities. ![]() Excess funds are invested in a Sweep/Repurchase Agreement which offers a higher return on your daily operating cash.A sweep arrangement is designed to give you the opportunity to automatically invest excess funds from your commercial checking account.The Commercial Sweep/Repurchasing Agreement is a simple, automatic way for you to save valuable time in managing your company's cash position while earning higher returns on your daily operating cash. Isn't it time to make managing your business's cash position easier? ![]()
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