CASH CONCENTRATION AND ZERO BALANCE ACCOUNT SERVICE
Do you have excess funds sitting in one account and overdrafts, or funding nightmares, in another account?
Pacific Trust Bank's Zero Balance Account (ZBA) service is an effective way to separate your cash flows while concentrating funds into a single account.
Our automated Zero Balance Account service is ideal for companies that need multiple disbursement and/or collection accounts, but can co-mingle funds to maximize earnings potential.
ZBA service is designed to ease your daily cash management functions by consolidating corporate checking account balances into one concentration account. With multiple ZBAs, you can deposit and disburse funds in the way that works best for your company.
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Set up different accounts for different types of payments, i.e. payroll, health care, vendors, general payables, etc.
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Set up separate accounts for multiple revenue sources, and for divisions or locations within your company that have decentralized authority for disbursement of funds.
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ZBA service allows you to concentrate your funds, making excess funds readily identifiable for investment or to pay down borrowings, and eliminating idle balances in multiple disbursement accounts.
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By concentrating your account balances in the primary account, you can be sure that each separate ZBA account has just the funds it needs to cover payments.
How Zero Balance Accounts Work:
Your primary business checking account is designated as a concentration account, which can then be automatically linked to any number of sub-accounts known as Zero Balance Accounts. These sub-accounts are non-interest bearing checking accounts that are forced to a zero balance at the end of each day.
Excess funds held in, or deposits made to, a Zero Balance Account are credited to the corresponding concentration account. All check inclearings or other debits to each Zero Balance Account are funded automatically by the concentration account.
Zero Balance Account service provides the following benefits:
- Consolidates funds for company use
- No need to maintain working balances in multiple accounts
- Reduces the number of accounts to be managed
- Decreases your administrative time and costs by eliminating need to closely monitor balances and make numerous account transfers
- Eliminates overdraft charges from not transferring funds in a timely manner
- Allows you to maximize earnings on your collected funds
- Improves audit trail information for all account activity
- Your cash is always where you need it. You'll never again have the situation where you have excess funds in one account, and overdrafts in another.
Control your account activity with ease! ZBAs give you the best of both worlds, allowing you to keep separate ZBA accounts for different purposes, yet maintain control by funding them through a single centralized account. It is a convenient way to improve your cash flow and put excess funds to work for you.
Come in to any Pacific Trust Bank office or call us at (877) 441-BANK for more information about cash concentration and Zero Balance Accounts, and to discuss you business banking needs.
When it comes to business banking, Pacific Trust Bank is the place to stash your cash.
