CDARS

A safe, convenient solution for large-deposit investors...

Until now, there were only three ways an investor could enjoy full FDIC insurance on deposits larger than $100,000: open and maintain accounts with multiple banks, invest with one bank by transferring ownership and registering accounts in the names of family members or corporate affiliates, or work through a broker-dealer.

All that has changed...

Through the Certificate of Deposit Account Registry ServiceSM (CDARSSM), Home Federal can now place large deposits into smaller-denomination CDs at multiple institutions. This service can offer you significant benefits:

• Safety of FDIC insurance for large deposits – Because funds are placed in FDIC-insured CDs that are issued by other Network members, your total deposits over $100,000 can be eligible for full FDIC coverage, up to $1 million or more.
• CD Interest – Rates may compare favorably with those of other high-quality, fixed-income investments.
• Management convenience – You can manage all of your CD investments through a single relationship.
• Security of working with a trusted, local source – Your transaction is managed by the people you know and trust here at Home Federal.

Transactions through CDARSSM are processed quickly and easily…

• Step 1 - Submit an order – You submit a CDARSSM order with the help of our sales staff.
• Step 2 - Agree to a maturity period – You select a maturity period offered by us.
• Step 3 - Deposit through Home Federal – We submit your funds for placement through CDARSSM¹.
• Step 4 - CDs issued through CDARSSM system – Your money is placed into CDs with denominations under $100,000, which are issued by other banks and thrifts. Your entire deposit, up to $1 million or more, can be eligible for FDIC insurance coverage.
• Step 5 - Confirmation of deposit – When your CDs are issued, you receive notification confirming your deposit.

Interest can be paid directly to you or to an account you designate. Each month, we will send you a statement listing all your CDs, the banks issuing the CDs, maturity dates, interest earned and other details. At the end of each year, we will send you a consolidated 1099 that reports your taxable interest income.

Other key benefits...

By working with Home Federal to place funds, you can earn income, preserve capital, access FDIC insurance on your total deposit, and benefit from the security that comes with a consistent banking relationship/

Through CDARSSM we offer specific advantages to institutional and business customers…

Public sector and nonprofit organizations² – Funds are placed through Home Federal effectively satisfying some organizations’ mandate to invest locally. Because all funds are eligible for FDIC insurance, deposits may not need to be collateralized to conform to your investment policies.

Corporations and small businesses – Cash managers can have an alternative to commercial paper, money market funds, and repurchase agreements. Financial officers and small-business owners can enjoy access to FDIC-insured deposits through us.

The safety of FDIC insurance coverage. The convenience of a local bank relationship.

Through CDARSSM, we offer you a safe, convenient opportunity to put your cash to work, while potentially benefiting from the protection of FDIC insurance on every dollar. And, your personal financial information is protected.

Have Home Federal place your funds through CDARSSM couldn’t be easier or more convenient.

Call us or contact us today for more information!

¹1Funds may be submitted for placement through CDARSSM only after a depositor enters into the CDARSSM Deposit Placement Agreement with Home Federal. The agreement contains important information and conditions regarding the placement of funds by Home Federal through CDARSSM. Please read the agreement carefully before signing it.
²Public sector depositors are responsible for complying with restrictions on the deposit of public funds imposed by state and local jurisdictions, some of which may prevent the placement of public funds through CDARSSM