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CDARSSM
A new service for large-deposit investors.
A safe, convenient solution for large-deposit investors
Until now there were only three ways an investor could enjoy full FDIC insurance on deposits larger than $100,000: open and maintain accounts with multiple banks, invest with one bank by transferring ownership and registering accounts in the names of family members or corporate affiliates, or work through a broker-dealer.
All that has changed
Through the Certificate of Deposit Account Registry ServicesSM (CDARSSM), large deposits can now be placed by FNB into smaller-denomination CDs at multiple institutions. This service can offer you significant benefits:
 | Safety of FDIC insurance for large deposits. Because funds are placed in FDIC-insured CDs that are issued by Network members, your total deposits over $100,000 can be eligible for full FDIC coverage, up to $1 million or more. |
| CD interest. Rates may compare favorably with those of other high-quality, fixed-income investments. |
| Management convenience. You can manage all of your CD investments through a single relationship. |
| Security of working with a trusted, local source. Your transaction is managed by the people you know and trust. |
The safety of FDIC insurance converage
The convenience of a local bank relationship
Through CDARS, FNB offers you a safe, convenient opportunity to put your cash to work, while potentially benefiting from the protection of FDIC insurance on every dollar. And your personal financial information is protected.
Having your funds placed through CDARS couldn't be easier or more convenient. To get started, please call or stop by FNB today to speak with your account manager or a customer service representative.
Transactions through CDARS are processed quickly and easily
Transaction process:
| 1. Submit an order You submit a CDARS order with help from staff members at FNB. |
| 2. Agree to a maturity period You select a maturity period offered by FNB. |
| 3. Deposit through FNB Your funds are submitted by FNB for placement through CDARS. (Funds may be submitted for placement through CDARS only after a depositor enters into the CDARS Deposit Placement Agreement with FNB. The agreement contains important information and conditions regarding the placement of funds through CDARS. Please read the agreement carefully before signing it.) |
| 4. CDs issued through the CDARS system Your money is placed into CDs with denominations under $100,000, which are issued by other banks and thrifts; your entire deposit, up to $1 million or more, can be eligible for FDIC insurance coverage. |
| 5. Confirmation of deposit When your CDs are issued, you receive notification confirming your deposit. |
Interest is paid directly to you or to an account you designate. Each month, FNB will send you a statement listing all your CDs, the banks issuing CDs, maturity dates, interest earned, and other details.
At the end of each year, FNB will send you a consolidated 1099 that reports your taxable interest income.
Other key benefits
By placing funds through CDARS, you can earn income, preserve capital, access FDIC insurance on your total deposit, and benefit from the security that comes with a consistent banking relationship.
Through CDARS, specific advantages are offered to institutional and business customers
Public-sector and nonprofit organizations
| Funds are place through the FNB, effectively satisfying some organizations mandate to invest locally |
| Because all funds are eligible for FDIC insurance, deposits may not need to be collateralized to conform to your investment policies. |
Corporations and small businesses
| Cash managers can have an alternative to commercial paper, money market funds, and repurchase agreements. |
| Financial officers and small-business owners can enjoy access to FDIC-insured deposits through a local institution. |
