Funding Products Overview

PMA has been supporting community banks to efficiently facilitate liquidity needs and develop diversified funding strategies through proprietary analysis.  Whether your funding criterion is short or long term, collateralized or non-collateralized, small or large block, we have a variety of solutions: FDIC insured CDs <$250k, large block deposits - reciprocal and/or collateralized (Letter of Credit / Pledged Securities) or brokered deliverable CDs.

DIRECT PLACEMENT FUNDING PROGRAM

Individual Political Subdivisions

  • Product Type - Certificates of Deposit / Money Market Accounts
    • Up to $250k FDIC Insured Deposits (direct or deliverable)
    • Over $250k (Large Block) Collateralized (Pledged Securities, Letters of Credit, and CDARS® Reciprocal)
    • Large Block Non-collateralized Deposits (rating restrictions may apply)
  • Titling  Deposits opened in the name and Tax ID of the public entity

Local Government Investment Pools (LGIPs)

  • Product Type - Certificates of Deposit / Money Market Accounts
    • Up to $250k FDIC Insured Deposits (direct or deliverable)
    • Over $250k (Large Block) Collateralized (Pledged Securities, Letters of Credit, and CDARS® Reciprocal)
    • Large Block Non-collateralized Deposits (rating restrictions may apply)
  • Titling opened in the name and Tax ID of the local government investment pool

Deposit Features

  • Local or Non-local - Diversified Funding Deposits within a bank’s geographic footprint
  • Primary or Contingency
  • Stand-alone funding program
  • Supplemental funding program used to fill voids associated with seasonality  or cyclical of local depositors
  • Able to match risk aversion of the depositor to the banks' funding needs depositor (just in time funding)

Operations of the Term

Bank partners that participate in the Term CD program have access to automated deposit placement from hundreds of schools and municipalities through one trusted bank funding advisor.  With every account initiated through PMA LGIP participants, each client must be screened to fulfill all appropriate compliance documentation and 'Know Your Customer' requirements.  Since all participants must join one of PMA’s LGIPs in order to participate in the fixed term investment program, every client is required to sign uniform LGIP documentation, which will allow for increased efficiency among bank operations and compliance. Executing automated and uniform documentation allows for approval at the program level with all individual participants complying with program standards. Customized monthly reporting and the tracking of balances are also available to all institutions in order to forecast and manage upcoming funding opportunities.