Looking for a way to keep large deposits safe?
Principal Bank can provide you with easy access to multi-million-dollar FDIC protection on your CD investments through the Certificate of Deposit Account Registry Service®, or CDARS®.
How does CDARS work?
Principal Bank is part of the CDARS Network. When you place a large amount of money with us, we place your funds into certificates of deposit (CDs) issued by other banks in the Network - in amounts less than the standard FDIC insurance maximum - so that both principal and interest are eligible for FDIC protection.
As a result, you can receive FDIC coverage through many banks while working directly with just one.
How CDARS can work for you
- Multi-million-dollar FDIC insurance. Using the CDARS service through Principal Bank, you can access up to $50 million in multi-million-dollar FDIC protection on your CD investments.
- One bank. You work directly with Principal Bank - the bank you know and trust - to secure large deposits (from $250,000 to $50 million).
- One rate. You earn one interest rate on each CD term through CDARS. With CDARS, there is no need to negotiate multiple rates or manually tally disbursements for each CD.
- No fees. You pay no fees to use this service. We do not charge annual fees, subscriptions fees, or transaction fees for using the CDARS service.
- Short-term CDs include 4, 13, 26 and 52 weeks. Annual terms include 2, 3 and 5 years. Choose the term that best suits your investment needs.
What else should I know?
- CDARS can significantly reduce your administrative burdens, especially during tax and financial reporting seasons; there's no need to manually consolidate statements or interest disbursements or to calculate blended rates.
- Say "goodbye" to opening accounts at different banks in different insurable capacities. All of this can save you time and money.
To learn more about CDARS, watch a Flash overview of CDARS.
For more information about CDARS, please give us a call at 1.800.672.3343. Say "Company Directory" when prompted, then enter extension 40701. Our personal bankers are here to assist you from 7 a.m. to 9 p.m. (Central Time), Monday through Friday excluding holidays.
Also, if you do not already have an account with Principal Bank near the FDIC limit for coverage, we will place a portion of your funds in a new Principal Bank account. This account could be a CD, Advantage Savings, Money Market, IRA CD or Money Market IRA, depending on your situation.
- Limits apply. Funds may be submitted for placement only after a depositor enters into a CDARS Deposit Placement Agreement with us. The agreement contains important information and conditions regarding the placement of funds by us.
- CDARS and Certificate of Deposit Account Registry Service are registered service marks of Promontory Interfinancial Network, LLC.