Sweep Accounts
Eliminate idle balances. Maximize your return on excess funds. Increase corporate earnings. A Sweep Account can help you achieve these goals by providing a simple, safe and automatic funds transfer service. Generally, any commercial, non-interest bearing checking account is eligible.
Each business day, BankAtlantic conducts an account review, calculates the net cash position and then transfers funds to the sweep account option which you select. Account activity, including transfers and disbursements, is systematically factored into the investment calculation, ensuring that collected funds aren’t being over or under-invested.
Sweep to an Investment Account:
Business Sweep
With the BankAtlantic Business Sweep account, cash in excess of a target balance in your checking account is automatically invested in Repurchase Agreements which are 102% collateralized by government securities that are a direct obligation of the U.S. government, a government-sponsored enterprise or an agency of the government. These securities are maintained in a Depository Pledge to Trust Account held by BankAtlantic with the Federal Reserve Bank.
The calculated rate, which adjusts every Friday, is based on the Federal Fund’s quoted Target Rate in the “Money” section of the Thursday Wall Street Journal. Interest is accrued daily and credited to the account on the first business day of each month.
- A targeted balance of at least $100,000 must be maintained in the checking account
- A minimum of at least $50,000 in collected funds above the targeted balance is required to earn interest
Mutual Fund Sweep
With the BankAtlantic Mutual Fund Sweep account, cash in excess of a target balance in your checking account is automatically invested in Federated Tax-Free Obligations Fund, which seeks to provide income exempt from federal regular income tax by investing in a portfolio of short-term, high-quality, tax-exempt securities.
A targeted balance of at least $100,000 must be maintained in the checking account.
Sweep Account Benefits:
Savings
- Minimize daily treasury management tasks and save time
- Receive earnings credits on your target balance to compensate for bank service charges
- Eliminate the need for controlled disbursement services
Control
- Eliminates the guesswork of predicting wires, deposits and disbursements
- Maintain liquidity to meet working capital needs each day
Efficiency
- Increased return on excess balances
Securities and Investment Products are:
• Not a Deposit • Not FDIC Insured • Not Bank Guaranteed • Not Insured by any Federal Government Agency • May Lose Value
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