Tuesday Topic: Tips for Growing Deposits

​Thanks Barb,

I too like the actionable aspects of Cindy's suggestions.  Too often publications and webinars about growing deposits in this market can be distilled down to pep rallies and calls for accountability.  But pressurizing a poor process doesn't yield a great result.  Instead it yields frustration and burn out.  

Success comes from creating a sequential sales process that includes the article's suggestions of tailor made account terms and prices and featuring reciprocal deposits with Promontory Interfinancial toolkit.  In addition to these things, we find success in using debit-only savings accounts such as Limited Edition Savings and Companion Deposit Accounts.  Many depositors love the next generation of CDs often referred to as CDtwo or Smart CDs which "right-size" the penalties.   Refinancing CDs is a great way to move new money into your bank without waiting to the next maturity before considering options.   Using Click Switch to semi-automatically transfer ACH payments from the old bank account to the new one here is very conducive to gaining new accounts.  Facilitating Apple Pay and Google Pay makes using our DDA accounts very efficient for the consumers.

And, don't neglect the simple things like allowing/promoting partial withdrawals (with penalty of course on the portion withdrawn).  Many banks have no justification for their policy of all or nothing early withdrawal.  Yet, they perpetuate the barrier.  Bankers who roll up their sleeves and do the research can find many updated approaches that knock down the barriers to new business.  It takes a bit of effort.  Upon reflection, what success do you ever get without at least some effort beyond the status quo?

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Neil Stanley
TS Banking Group
Treynor, Iowa
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Original Message:
Sent: 02-19-2019 11:44
From: Barb Rehm
Subject: Tuesday Topic: Tips for Growing Deposits

This piece in Bank Director highlights our quarterly survey of bankers (not exactly accurately), but we selected it for our Tuesday Topic because it offers a detailed, actionable list of ideas for attracting and maintaining more deposits, including creating a digital referral program and offering customers more than just a better rate like enhanced services. After you've read the list, tell us what else is working at your bank.

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Barb Rehm
Senior Managing Director
Promontory Interfinancial Network
Arlington VA
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