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Get real growth with high-yield deposits.
Many banks and credit unions offer 0% free checking and use CDs to drive deposits. But what if you turned that approach on its head and used high-yield checking accounts to drive deposits?
There’s one simple fact of life in the financial industry — there will be surprises. The trick is to be able to manage those surprises. That starts with regular analysis, which allows you to make decisions and tweak products based on fact rather than gut feeling.
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.
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.