MnCUN Partnership Assists CUs in Accepting Public Deposits
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ST. PAUL, Minn. – This week the Minnesota Credit Union Network’s (MnCUN) Network Service Corporation furthered its initiative to strengthen credit unions’ ability to accept public deposits through a newly-signed partnership agreement with American Deposit Management, LLC (ADM). As a treasury management and financial services company, ADM provides Minnesota credit unions a safe and profitable fund where they can place large deposits.
ADM is a deposit placement service that provides full FDIC/NCUA insurance through a network of financial institutions. Through this program, credit unions send large deposits to ADM, which are then placed in separate financial institutions that have FDIC/NCUA insurance. This product provides credit unions a unique combination of deposit protection and competitive returns on funds.
Earlier this year, MnCUN played an instrumental role in a push for the inclusion of credit unions in the language of a bill involving deposits from public entities. While the bill was signed into law in April, many Minnesota credit unions lacked the tools necessary to fully take advantage of this legislative change. MnCUN’s partnership with ADM provides credit unions an investment tool for municipal deposits.
“The Minnesota Credit Union Network is excited about the doors this partnership with American Deposit Management will open for credit unions,” said MnCUN Vice President – Network Service Corporation John Ferstl. “By utilizing this product, credit unions can reaffirm their connection to and support of local communities.”
Headquartered in Milwaukee, Wisconsin with offices in Minneapolis, ADM works with more than 400 banks and credit unions nationwide that are the cornerstones of their local community.