Optimizing Your Deposit Mix: Getting the Most out of your Banking Products

As a consumer, you have a variety of banking products to choose from, each with its own unique benefits and features. But are you taking full advantage of the products you have, or are you leaving potential savings and benefits on the table? To help you out, let's explore the importance of reviewing your deposit mix and provide tips to help you optimize your banking products.

Assessing Your Deposit Mix: Ask the Questions

Take a moment to review your current deposit products. This assessment can help you identify areas where you might be missing out on potential benefits and savings. Here are some key questions to guide your evaluation:

1. What types of accounts do you currently have?
   1. Are you using a single type of account, such as a checking or savings account, or do you have a mix of different accounts?
   2. Consider the benefits of having multiple account types, such as CDs, money market accounts, and high-yield savings accounts.
2. Are you taking advantage of relationship pricing?
   1. Relationship pricing can offer better rates or discounts when you have multiple products with the same bank.
   2. Check if your bank offers relationship pricing and if you qualify for any benefits. For example, having a CD with a relationship bump can increase your interest rate, or having a Power Checking account with a Power Savings account can provide higher interest rates and lower fees.
3. Are you earning competitive interest rates?
   1. Compare the interest rates on your current accounts with other accounts offered. Are you getting the best possible return on your deposits?
   2. Look for opportunities to switch to higher-yield accounts or take advantage of promotional rates.
4. Are you aware of all the fees associated with your accounts?
   1. Review the fees you are currently paying for your accounts. Are there ways to reduce or eliminate these fees by switching to different products or meeting certain criteria?
   2. Some banks offer fee waivers for maintaining a minimum balance or having multiple accounts with them.
5. Are you using all the features and benefits of your accounts?
   1. Make sure you are fully utilizing the features and benefits of your current accounts. For example, are you taking advantage of online banking, mobile deposit, or automatic bill pay?
   2. Understanding and using these features can help you manage your finances more efficiently and save time.
6. Have your financial needs changed?
   1. Consider whether your financial needs have changed since you opened your accounts. Do you need more liquidity, higher returns, or better access to your funds?
   2. Adjust your deposit mix to better align with your current financial goals and needs.

By asking these questions and thoroughly assessing your deposit mix, you can identify opportunities to optimize your banking products and ensure you are getting the most out of your deposits.

The Benefits of Relationship Pricing

Many banks offer relationship pricing, where having multiple products with the same bank can earn you better rates or discounts. For example, having a CD with a relationship bump can increase your interest rate, while having a Power Checking account with a Power Savings account can provide higher interest rates and lower fees.

The Importance of Diversification

Diversifying your deposit products can help minimize risk and maximize returns. By spreading your deposits across different types of accounts, such as CDs, savings accounts, and checking accounts, you can:

• Reduce risk by avoiding over-reliance on a single product.
• Take advantage of different interest rates and terms.
• Increase your overall returns by earning interest on multiple products.

Examples of Relationship Products

• CD with Relationship Bump: Earn a higher interest rate on your CD by having a qualifying checking or savings account.
• Power Checking with Power Savings: Earn higher interest rates and lower fees on your checking and savings accounts by having both products with the same bank.

Optimizing Your Deposit Mix: A Path to Better Banking

By reviewing your deposit mix and taking advantage of relationship pricing and diversification, you can optimize your banking products and get the most out of your deposits. Take a few minutes to review your deposit mix and explore ways to optimize your banking products.

Contact us to learn more about our relationship products and how they can help you get the most out of your deposits!