Are You Ready for the Historic Deposit Term Tsunami?

Unifimoney Communications

On July 15th The Financial Brand published a story entitled "Are You Ready for the Historic Deposit Term Tsunami?" and  every #communitybank and #creditunion needs to read it.

The high level summary is that in the next 12 months a high volume of CD's taken out when consumers rushed to capitalize on the sudden increase in interest rates will mature. These they estimate total an approximately $2.5 trillion. Another nearly $9 trillion in government debt holders will also look for their next investment.

The question they ask is where will this money be going and to what extend will Community FI's be able to to retain and attract these deposits. The answer the article provides is engagement through personalization and the hope that many consumers will overlook better rates elsewhere for an easier life with their local FI.

This may well be correct. What the article ignores however is the flow of funds into investment platforms and especially Money Market Funds - a market that is 3x the size of the CD market and does not carry the same terminal time cliff that they do. You can keep your money in a MMF for as long or as short as you wish. MMF's are enjoying the highest net inflows and total AUM in their history due to this.

Arguably the investment platforms like Fidelity, Schwab, Robinhood and others are as able if not more so to to offer increased engagement through personalization in addition to market leading interest rates. The risk of a tsunami of deposits leaving CD's and into investment platforms is very real indeed.

Unifimoney is a digital wealth management platform that enables Community Banks and Credit Unions to offer a compelling retail investment experience including Money Market Funds within their existing online banking.

If you are a Community FI and want to increase your account holders engagement come and talk to us and we will be happy to show you how we can help.

You can read the full article here: https://lnkd.in/giGUzmWf

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• You must be a Shop Your Way member to be eligible for this promotion. Membership is free. Sign up here.
• Must be a new Unifimoney customer and pass KYC (verification) processes for all partners to be issued an account.
• Existing Unifimoney customers are not eligible at this time.
• You must fund your account using Astra and/or P2P transfer.
• Users must hold at least $100 initial funding, at least $100 in crypto, at least $100 in metals, and at least $100 in equities in their account for more than 60 days.
• All missions must be completed within 30 days after account registration and before the offer expires.


**Terms and Conditions of the Shop Your Way Missions Promo. Offer only available to users who have previously created an account with Shop Your Way. Offer only available to US residents (excluding residents of Hawaii). Limited time offer. Promotion begins on PLACEHOLDER and may end any time at the discretion of Unifimoney. Offer not available to new users who were not referred to Unifimoney through the Shop Your Way referral program. Offer not available if a Unifimoney account was previously opened using the same(or different) contact information. Limitations exist on max payout per user at the discretion of Unifimoney. Rewards will be recognized on a mission-by-mission completion basis. First Mission must be completed before an account is credited with a reward. Eligible customers must complete all missions in order to receive the max reward. Max payout requires the opening of an account,  funding of said account, and completion of all Missions set forth by Unifimoney Inc. before the end of the promotional period. The promotional period is determined at the sole discretion of Unifimoney. Unifimoney may update the terms and conditions for eligibility at any time. Rewards distribution will be in Gemini dollars (GUSD) and credited, if applicable, to your Unifimoney cryptocurrency account and is tradable only within the Unifimoney app. Reward recipients are able to convert GUSD to BTC immediately. Conversion of GUSD to Cash may take two or more days to reflect. No refunds are available. Users may contact Unifimoney at appsupport@unifi.money with further questions.
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