Keep your money local and FDIC insured through ICS® (Insured Cash Sweep) and CDARS® (Certificate of Deposit Account Registry Service) while also earning interest!
How does it work?
Funds are sent to other financial institutions in amounts under the FDIC insurance coverage limit (currently $250,000). Although your funds will be invested with other financial institutions, you will only have to work with one bank, Sacramento Bank of Commerce, a division of Redding Bank of Commerce.
What are the differences between ICS® and CDARS®?
ICS® accounts come in the form of a money market account or a demand account. The money market account is limited to 6 withdrawals per statement cycle*, whereas, the demand account offers full liquidity through unlimited program withdrawals. You also have access to same day withdrawals if processed during regular banking hours.
CDARS® holds the funds in Certificates of Deposit accounts so the funds cannot be withdrawn until the maturity date. If the funds are withdrawn before, a penalty may be incurred. The CDARS® service does pay a higher interest rate just as standard CDs typically pay more than demand accounts.
If you would like more information, please call (800) 421-2575 and ask to speak with a knowledgeable banker.
*Federal regulations limit certain types of withdrawals and transfer transactions you can make from a savings or money market account. Transfers from savings or money market accounts to another account or to third parties by overdraft protection, telephone, point of sale (POS) debit card transactions, bill payments, computer transfer or by a check, draft or similar order to third parties are limited to six (6) per calendar month or statement cycle. We will use the date a transaction is completed by us (as opposed to the day you initiate it) to apply the frequency limitation. If you exceed the transfer limits set by federal regulations, we will notify you in writing. If you continue to exceed transaction limits we are required by law to convert your account to one that is not subject to limits or transactions. If we plan to convert your account, we will notify you at least 30 days in advance. Excess withdrawals will be subject to $2.00 service fee, assessed at the statement cycle period.