Value Proposition
Corporate One’s term deposits, including structured and customized certificates, allow credit unions with excess reserves for an intermediate period of time, such as one or two years, to take advantage of competitive, NCUA insured investments.
Callable Certificates
Callable certificates are fixed-rate certificates in which the issuer has the right to call or redeem the certificate before its scheduled maturity. These certificates are callable on one or more specific dates in the future. If never called, they mature on a set maturity date.
Benefits
- Excellent rates of return that increase your overall investment portfolio yield
- The convenience that comes from dividend and principal payments deposited directly into your interest-bearing daily share account, eliminating the need to wait for checks or payment transfers
- Excellent source of collateral for borrowing from Corporate One
- No FAS 115 classification means less accounting
- The convenience and security of investing with Corporate One
Features
- Each certificate carries an identification number
- The certificates are offered in amounts of $100,000 or greater, subject to availability
- Callable certificates have original maturities of between one and two years. When the certificate matures or is called by the issuer (Corporate One), principal and dividends are credited to your interest-bearing daily share account
- Dividends are paid semi-annually. The certificates will pay on an actual/365-day basis and dividends are automatically credited to your interest-bearing daily share account
Restrictions
- Corporate One’s certificates are neither negotiable nor assignable; however, you may borrow against callable certificates at a preferential rate
Step-up Certificates
Step-Up Certificates are issued with a series of call dates and coupon rates. If the certificate is not called on a specific call date, its coupon “steps up” to the new, higher rate. Step-ups allow investors to enhance yield from periodic increases in the coupon rate.
Benefits
- Periodic coupon rate increases if the investment is not called. Competitive rates, even in a stagnant rate environment
- The convenience that comes from dividend and principal payments deposited into your interest-bearing daily settlement account, eliminating the need to wait for checks or payment transfers
- Excellent source of collateral for borrowing from Corporate One
- No FAS 115 classification means less accounting
Features
- Each certificate will carry an identification number
- The certificates are issued in amounts of $100,000 or greater, subject to availability
- Multi step-up certificates have original maturities typically ranging from two to three years. When the certificate matures or is called by the issuer (Corporate One), principal and dividends are credited to your interest-bearing daily share account
- Dividends may be paid either quarterly or semi-annually. The certificates will pay on an actual/365-day basis and dividends will be automatically credited to your interest-bearing daily share account
- Dividends will re-price to the next step-up rate if the certificate is not called
Restrictions
- Corporate One’s certificates are neither negotiable nor assignable; however, you may borrow against step-up certificates at preferential rate