Connect ► twitter| youtube|  Log In ► Members Only  |  Corporate One Safekeeping  |  Search

Learn how your credit union can take advantage of Public Fund Deposits

Because of increasing use and acceptance in the market, right now is a good time to explore why non-member deposits are great funding options for your credit union. One channel in particular that provides credit unions good opportunities is public fund deposits.

Public Fund Deposits and Your Credit Union

Wednesday, May 9
2:00 p.m. ET


Available to all federally insured credit unions

The traditional thought process is that public fund deposits, or deposits for government entities, are not available for most credit unions. However, per Call Report data, public fund deposits currently exceed $5 billion and have become an important funding source for credit unions. Admittedly, a portion of these public fund deposits are classified as member government deposits and are symbolic of the mutual support of credit unions and their local communities, but most are classified as non-member deposits.

There are several beneficial opportunities for credit unions with public fund deposits. First, these deposits offer diversification and are an additive funding source as they do not cannibalize existing deposits. They are also stable funding sources for credit unions and can serve as a hedge against the typical seasonal liquidity swings.

Supporting your core competency, positioning your credit union for growth

Deposit acceptance is a core competency of credit unions. Expanding your deposit base to include non-member deposits leverages this core competency and diversifies your funding sources. And, with a regulatory limitation of 20% of existing share balances, non-member deposits could comprise a substantial portion of deposits that would allow continued growth of assets and membership.

Learn more about how your credit union can benefit from public fund deposits during a live webinar on Wednesday, May 9, at 2:00 p.m. ET.