WORRIED ABOUT THE SAFTEY OF YOUR MONEY?
CDARS Can Give You Peace of Mind at Cornerstone Bank

WILSON – Even though headlines report huge financial losses, large businesses in trouble and turmoil in the securities and other markets, today depositors can enjoy the total security of up to $50 million in FDIC insurance coverage at Cornerstone Bank.Through a service called CDARS (pronounced “cedars”), Cornerstone can offer customers up to 500 times the standard $100,000 level of coverage found at most banks.“There is nothing safer than FDIC insurance,” said Norm Osborn, president and CEO at Cornerstone.
      “Why? Since the FDIC was created in 1933, no one has lost a single penny in an FDIC-insured account. Because of FDIC insurance, four generations of Americans have been able to sleep soundly at night knowing that their money is fully protected,” Osborn added.
      “Now with CDARS, we can protect depositors for up to $50 million, and that means that you can sleep soundly without worrying about your money, too,” he added. “Despite the news about banks in other parts of the country, we are safe and sound. But even the most sophisticated depositors might feel the need to move large sums with various banks. This eliminates those steps. With this program, we offer one bank, one rate, and one statement.”
      CDARS is a deposit placement service. Deposits placed through CDARS meet the pass-through insurance coverage guidelines established by the FDIC.To offer CDARS, a bank must belong to a special network called the Promontory Network. When a customer places a large deposit with a Network member, such as Cornerstone, the bank arranges for the placement of funds into CDs issued by other Network banks – in increments of less than $100,000 to ensure that both principal and interest are eligible for full FDIC protection.
      From the customers’ point of view, CDARS is one-stop shopping. Regardless of the number of CDs they receive, CDARS customers work with only one bank, sign only one agreement, and receive one account statement. The annual percentage yield is the same with each CD, regardless of placement.
      Currently, more than 1,700 institutions are members of the Promontory Network. CDARS, which was first offered in January, 2003, is endorsed by the American Bankers Association. 
     “If you have ever heard the saying ‘As safe as money in the bank,’ you know how valuable FDIC insurance coverage is. At Cornerstone, we’re delighted we can offer our customer many times the coverage that most other banks can,” Osborn said.