Addressing today’s liquidity crisis requires creating long-term deposits, lowering funding costs, and developing deeper relationships that drive income with account holders. High-yield checking changes the math and creates a winning strategy in the battle for liquidity.
Many institutions have relied on high-yield CDs, borrowings, and standard money market accounts to grow deposits. This approach may bring in consumer dollars, it creates what’s known as Phantom Growth. This article provides warning signs that are commonly seen in institutions experiencing Phantom Growth.
In the midst of an epic funding gap crisis, growing low-cost core deposits is a must to survive. Taking a closer look at the advantages of high-yield checking accounts — and their unique COF discount — could be a key strategy to creating real growth in your deposit portfolio.
Kasasa® is an award-winning financial technology and marketing services company dedicated to helping both community financial institutions and consumers experience what it means to "Be Proud of Your Money." We're known for providing reward checking accounts consumers love, the first-ever loan with Take-Backs™, relationship-powered referral programs, and ongoing expert consulting services to community financial institutions.
By working exclusively with community banks and credit unions, Kasasa is helping to strengthen local economies across the nation, building a virtuous cycle of keeping consumers' dollars where they can do the most good. Our mission is to power a network of financial institutions in all 50 states offering products and services that are clearly beneficial for the consumer and the institutions offering them.
