How to Get FDIC Insurance Above $250,000 with Insured Cash Sweep®
Quick answer: Insured Cash Sweep® (ICS) lets you get FDIC insurance on cash balances well above the standard $250,000 limit, up to $175 million, while still working with just one bank. Customers Bank spreads your deposit across a network of other FDIC-insured banks behind the scenes, so you get one relationship, one monthly statement, and full insurance coverage on a much larger balance. ICS requires a minimum deposit of $1,000,000 and is best suited for businesses, nonprofits, and individuals managing large cash reserves. Get in touch with Customers Bank to see if ICS is a fit for your balances.
If you’ve ever worried about keeping more than $250,000 in a single bank account, you’re not alone. That’s the FDIC’s standard insurance limit, and once you go above it, the extra funds are technically at risk if something happens to the bank. Most people solve this by spreading money across several banks, but that means more accounts to manage, more logins, and more statements to track.
Insured Cash Sweep solves that problem differently. It gives you the protection of multiple banks without the hassle of actually opening accounts at each one.
What Is Insured Cash Sweep, and How Does It Work?
Simple and seamless
With the ICS service, you will have access to FDIC insurance above the $250,000. limit through a single bank relationship. No need open accounts at different banks or read multiple bank statements. Funds are deposited into interest bearing money markets accounts so they remain liquid and fully insured by the FDIC.
ICS is a deposit placement service. When you deposit funds with Customers Bank through ICS, we divide that deposit into smaller amounts and place each portion with other banks in the ICS network, in amounts that stay under the $250,000 FDIC insurance limit at each one. Your money still earns interest in liquid, interest-bearing accounts the whole time.
The result: your full balance is FDIC-insured, but you only ever deal with Customers Bank. One relationship. One login. One monthly statement that summarizes everything, no matter how many banks your funds are actually sitting in behind the scenes.
Who Is ICS For?
ICS works best for businesses, nonprofits, municipalities, and individuals who need to keep large cash balances safe and liquid, think operating reserves, escrow funds, or proceeds from a sale, without taking on more risk than necessary.
Minimum deposit: ICS requires at least $1,000,000 to participate.
Why Businesses Choose ICS
Simple and seamless.
You get expanded FDIC insurance through a single bank relationship instead of opening and managing accounts at multiple institutions.
Safe.
Your funds are eligible for FDIC insurance up to $175 million per tax ID, backed by the full faith and credit of the federal government. (That breaks down to up to $135 million for ICS demand deposits and up to $100 million for ICS savings, per tax ID.)
Liquid.
Your money stays accessible. Funds are placed in demand deposit or money market accounts, so you’re not locking anything up the way you would with a CD.
Streamlined.
You receive one monthly statement from Customers Bank that summarizes all your account activity and balances. If you’re used to tracking collateral to protect large deposits, ICS removes much of that ongoing work.
ICS vs. Spreading Money Across Multiple Banks Yourself
| Opening Accounts at Multiple Banks | Insured Cash Sweep | |
| Number of relationships | One per bank | One, with Customers Bank |
| Statements | Multiple, one per bank | One combined statement |
| FDIC insurance | Up to $250,000 per bank | Up to $175 million total |
| Setup effort | High, separate applications and logins | Low, one application |
Frequently Asked Questions
Is Insured Cash Sweep safe?
Yes. ICS funds are placed at FDIC-insured banks in amounts that stay under the standard insurance limit, so your money carries the same federal protection it would at any insured bank, just at a much larger scale.
How much FDIC insurance can I get with ICS?
Up to $175 million per tax ID, combining up to $135 million through ICS demand deposits and up to $100 million through ICS savings.
What’s the minimum to open an ICS account?
$1,000,000.
Can I still access my money if it’s spread across other banks?
Yes. Your funds remain in liquid demand deposit or money market accounts, and you manage everything through your single relationship with Customers Bank.
How is ICS different from a CD?
A CD locks your money in for a set term in exchange for a fixed rate. ICS keeps your funds liquid and accessible while still earning interest, with the main benefit being expanded FDIC insurance rather than a higher rate.
Get in Touch
Have questions about whether ICS is right for your business? Contact Customers Bank and we’ll walk you through how it works and whether it fits your needs.
Banking products and services are offered by Customers Bank, Member FDIC and Equal Housing Lender. Placement of funds through the ICS service is subject to the terms, conditions, and disclosures in the service agreements, including the Deposit Placement Agreement (“DPA”). Limits and customer eligibility criteria apply. Although funds are placed at destination banks in amounts that do not exceed the FDIC standard maximum deposit insurance amount (“SMDIA”), a depositor’s balances at Customers Bank may exceed the SMDIA at certain points, for example, before ICS settlement for a deposit or after ICS settlement for a withdrawal. As stated in the DPA, the depositor is responsible for making arrangements to protect such balances consistent with applicable law. If the depositor is subject to restrictions on the placement of its funds, the depositor is responsible for determining whether its use of ICS satisfies those restrictions. When deposited funds are exchanged on a dollar-for-dollar basis with other banks in the ICS Network, Customers Bank, as a participating institution, can use the full amount of a deposit placed through ICS for lending. Alternatively, with a depositor’s consent to certain types of ICS transactions, the Bank may choose to receive fee income instead of deposits from other banks. ICS and Insured Cash Sweep are registered service marks of IntraFi Network.