CDARS is the Certificate of Deposit Account Registry Service.  It's the easiest, most convenient way to enjoy full FDIC insurance on deposit amounts larger than $100,000.

Why is that?

One Bank
Everything is handled through one bank.  Your large deposit is broken into smaller amounts and placed with other banks that are members of a special network.  Then, those member banks issue CDs in amounts under $100,000, so that your entire investment is eligble for FDIC insurance.  By working with just one bank, you can receive insurance from many.

One Rate
With CDARS, you earn one rate on your entire investment

One Statement
You will receive one staetment listing all of your CDs along with the issuing banks, maturity dates, interest earned, and other details.

It's that simple.

How does CDARs Work?

1   You enter into one agreement.  You sign one simple Deposit Agreement
2   You select an interest rate and a maturity based on the best match for your Association investment goals
3   Funds are deposited.  Using CDARS, funds are submitted for placement at member banks
4   CDs are issued.  Member banks issue CDs in denominations under $100,000 so your entire investment is eligible for full FDIC insurance coverage
5   Confirmation is received. You receive written confrirmation of your deposits and a listing of all your CDs.

Using CDARS is that easy.  

Provided by Jorel Association Management: August 2008