Liquidity Crunch Got You Down? There’s A Simple Solution – SimpliCD

By: Millennium Corporate Credit Union and SimpliCD

If your credit union is tight on liquidity or seeking a reliable secondary funding source, SimpliCD Issuance offers a streamlined solution. Through SimpliCD, you can quickly raise funds by issuing federally insured share certificates to a nationwide network of over 4,300 credit unions, all with minimal paperwork and a single phone call.

What is SimpliCD Issuance?

SimpliCD Issuance enables credit unions to issue large blocks of federally insured share certificates, up to $50 million or more in a single transaction, to other credit unions looking to invest excess funds. Primary Financial, a credit union-owned entity, manages the process, ensuring efficiency and security. This approach provides a centralized, hassle-free way to generate liquidity, serving as a competitive alternative to FHLB advances and other funding options.

Who Can Participate?

• Federally chartered credit unions
• Most state-chartered, federally insured credit unions (confirm eligibility with your regulator, as many states follow federal guidelines)

Key Benefits:

• Centralized fundraising: Aggregate multiple investors into a single deposit - just one wire, one certificate, and one interest payment
• No hidden fees: No subscription, broker, or transaction fees under the custodial program
• Broad reach: Access the largest pool of credit union investors in the industry
• Simple settlement: Option to handle all settlements through Millennium Corporate
• Security: Work with a credit union-owned, federally insured entity
• Easy onboarding: Start with a simple, one-page Acceptance of Non-Member Deposits Agreement

How it Works:

Primary Financial markets your rate to its network, gathers funds, and acts as custodian—handling interest distribution, reporting, and audit requests. You receive consolidated funds and make a single interest payment, simplifying your operations.

Getting Started:

Contact Millennium Corporate Credit Union at engage@millenniumcorporate.org to begin the process. SimpliCD Issuance is designed to make raising liquidity with non-member deposits fast, safe, and straightforward.