Repurchase Agreements

A smart way to manage your cash flow. Isn't it time to make managing your business's cash position easier? Repurchase Agreements are 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.

Key Advantages

• A sweep arrangement is designed to give you the opportunity to automatically invest excess funds from your commercial checking account.
• Excess funds are invested in a Repurchase Agreement which offers a higher return on your daily operating cash.
  The funds invested in a Repurchase Agreement are fully collateralized by government securities.
• A combined monthly statement will be provided detailing all transactions for your commercial checking account and Repurchase Agreement.
• In addition, you will be provided each day a written confirmation describing the specific government security that was selected as collateral for your Repurchase Agreement, as well as your Repurchase Agreement balance

Here's how it works!

• With a Repurchase Agreement, you continue to write checks against and make deposits to your commercial checking account just like you always have. The difference is that excess funds are automatically transferred, or swept, on a daily basis into your Repurchase Agreement.
• Funds remaining in your 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.
• Each day, if the total amount of checks presented for payment exceeds the amount of any deposits, funds are automatically swept from the Repurchase Agreement back to the commercial checking account to cover the checks presented and to return the commercial checking account to the target balance.
• In addition to the regular commercial checking account fees, a monthly Repurchase Agreement fee will also apply
  The Repurchase Agreement can only be accessed through automatic transfers.

NOTE: Interest Rates on Repurchase Agreements are subject to change on a daily basis. For additional information about our Repurchase Agreement, please call one of our local Branch Managers