During budget season, many associations make decisions on capital improvements and reserve expenses. Although predictable maintenance items needs to be budgeted for and our company encourages a strong financial position, some years the savings will not be used. Safety is the primary concern with association funds, therefore any investment plans must be extremely secure. For some properties, funds are automatically placed in an interest bearing sweep account, but now our clients have additional options.
HMS is pleased to present an expanded treasury management service to our clients. Our new multi-bank treasury management services will significantly improve your investment income through increased yield (interest earned) on monies the association can invest. Our objective is to maximize earnings while maintaining our current deposit base and broad spectrum of financial services, including payment processing, checking and money market funds, immediate liquidity, and integrated bank account reporting. Assets to be managed under these new services would be reserve or capital funds.
With your Board’s written consent (updated HMS Service Agreement), HMS will reallocate a portion of your current reserve or capital funds in higher yielding investment certificates of deposit. These certificates are fully insured by Federal Deposit Insurance Corporation (FDIC). Additionally, HMS will monitor funding levels to comply with FDIC balance requirements and Georgia regulations. HMS has negotiated special arrangements for the deposit and handling of association related funds gaining both higher interest rates and special handling of the necessary accounting documents. For all the information regarding this new program, please click the link below.
If you are interested in this service, please reach out to your manager as you finalize your 2020 budget.
