Portfolio investment management method, system and computer program product
A method for an automated insured deposit portfolio management includes receiving a request from a depositor to invest funds in an insured deposit product including investment vehicles that use a combination of money market deposit accounts and CD Products, selecting a first portion of the funds for investment in at least one money market account in at least one issuer bank, and selecting a second portion of the funds for investment in at least one CD Product in at least one issuer bank. An escrow amount can be computed that compares to an early withdrawal penalty for each CD Product. Thereafter, investment of the first portion can be directed for investment in at least one money market deposit account with at least one issuer bank, and investment of the second portion can be directed in at least one CD Product with at least one issuer bank. Finally, a record of the first and second portions can be stored in connection with the depositor.
1. A method on a computer for managing deposits for a plurality of customers, comprising:
storing, in a database, for each of a plurality of issuer banks that have entered into a minimum funds agreement with an administrator, a minimum funds agreement defining defines a minimum level of deposits required for an issuer bank and an interest rate to be paid on deposits placed with said issuer bank when said minimum level of deposit is maintained by a depositor;
receiving from a customer, via a financial network, a deposit amount exceeding a governmental insurance limit;
calculating, by the computer, a plurality of sub-deposit amounts wherein each sub-deposit amount is equal to or less than the governmental insurance limit;
defining, by the computer, a plurality of sub-deposits, wherein each of the plurality of sub-deposits is comprised of one of the plurality of sub-deposit amounts;
selecting one or more issuer banks from the plurality of issuer banks, and selecting a money market account and a CD product from the one or more issuer banks into which to place the plurality of sub-deposits, wherein the one or more issuer banks are selected based on an interest rate offered by the one or more issuer banks, according to a corresponding minimum funds agreement with the administrator;
transferring, via the financial network, each of the plurality of sub-deposits to a corresponding one of the money market account and the CD product that were selected, wherein each sub-deposit is governmentally insured in its entirety;
automatically recording, in the database, each transfer of a sub-deposit to the money market account and the CD product for the customer;
receiving from the customer, via the financial network, a withdrawal amount exceeding a first amount equaling a sum of all sub-deposits of the customer that have been transferred to the money market account, wherein the first amount summed with a second amount equals the withdrawal amount;
identifying one or more CD products with sub-deposits of the customer that are substantially equal the second amount, wherein a maturity date of the one or more CD products is not currently reached;
exchanging ownership of the one or more CD products that were identified from the customer to a second customer and transferring a deposit substantially equal to the second amount from the second customer to the customer;
automatically recording, in the database, the transfer of the one or more CD products from the customer to the second customer;
withdrawing, via the financial network, all sub-deposits of the customer that have been transferred to the money market account; and
withdrawing, via the financial network, the deposit substantially equal to the second amount, such that the customer receives the deposit for the one or more CD products that were identified without experiencing an early withdrawal penalty.
2. The method of claim 1 , wherein the step of receiving from a customer a deposit amount further comprises:
receiving from a customer, via a financial network, an identification of one or more issuer banks in which the customer's funds shall not be deposited.
3. The method of claim 2 , wherein the step of selecting one or more issuer banks further comprises:
selecting one or more issuer banks from the plurality of issuer banks, wherein the one or more issuer banks are selected by taking into account the identification of one or more issuer banks in which the customer's funds shall not be deposited.
4. The method of claim 3 , further comprising:
generating an escrow account to apply to early withdrawal penalties for terminating a CD product before a maturity date for the CD product.
5. A computer system for managing deposits for a plurality of customers, the computer system comprising a database and a processor connected to said database, wherein the processor is configured for:
storing, in the database, for each of a plurality of issuer banks that have entered into a minimum funds agreement with an administrator, a minimum funds agreement defining a minimum level of deposits required for an issuer bank and an interest rate to be paid on deposits placed with said issuer bank when said minimum level of deposit is maintained by a depositor;
receiving from a customer, via a financial network, a deposit amount exceeding a governmental insurance limit;
calculating, by the computer, a plurality of sub-deposit amounts wherein each sub-deposit amount is equal to or less than the governmental insurance limit;
defining, by the computer, a plurality of sub-deposits, wherein each of the plurality of sub-deposits is comprised of one of the plurality of sub-deposit amounts;
selecting one or more issuer banks from the plurality of issuer banks, and selecting a money market account and a CD product from the one or more issuer banks into which to place the plurality of sub-deposits, wherein the one or more issuer banks are selected based on an interest rate offered by the one or more issuer banks, according to a corresponding minimum funds agreement with the administrator;
transferring, via the financial network, each of the plurality of sub-deposits to a corresponding one of the money market account and the CD product that were selected, wherein each sub-deposit is governmentally insured in its entirety;
automatically recording, in the database, each transfer of a sub-deposit to the money market account and the CD product for the customer;
receiving from the customer, via the financial network, a withdrawal amount exceeding a first amount equaling a sum of all sub-deposits of the customer that have been transferred to the money market account, wherein the first amount summed with a second amount equals the withdrawal amount;
identifying one or more CD products with sub-deposits of the customer that are substantially equal the second amount, wherein a maturity date of the one or more CD products is not currently reached;
exchanging ownership of the one or more CD products that were identified from the customer to a second customer and transferring a deposit substantially equal to the second amount from the second customer to the customer;
automatically recording, in the database, the transfer of the one or more CD products from the customer to the second customer;
withdrawing, via the financial network, all sub-deposits of the customer that have been transferred to the money market account; and
withdrawing, via the financial network, the deposit substantially equal to the second amount, such that the customer receives the deposit for the one or more CD products that were identified without experiencing an early withdrawal penalty.
6. The computer system of claim 5 , wherein the step of receiving from a customer a deposit amount further comprises:
receiving from a customer, via a financial network, an identification of one or more issuer banks in which the customer's funds shall not be deposited.
7. The computer system of claim 6 , wherein the step of selecting one or more issuer banks further comprises:
selecting one or more issuer banks from the plurality of issuer banks, wherein the one or more issuer banks are selected by taking into account the identification of one or more issuer banks in which the customer's funds shall not be deposited.
8. The computer system of claim 7 , the processor further configured for:
generating an escrow account to apply to early withdrawal penalties for terminating a CD product before a maturity date for the CD product.
9. A non-transitory computer readable storage medium having stored thereon a computer program for managing deposits for a plurality of customers, the computer program comprising a routine set of instructions which when executed by the computer causes the computer to perform the steps of:
storing, in a database, for each of a plurality of issuer banks that have entered into a minimum funds agreement with an administrator, a minimum funds agreement defining defines a minimum level of deposits required for an issuer bank and an interest rate to be paid on deposits placed with said issuer bank when said minimum level of deposit is maintained by a depositor;
receiving from a customer, via a financial network, a deposit amount exceeding a governmental insurance limit;
calculating, by the computer, a plurality of sub-deposit amounts wherein each sub-deposit amount is equal to or less than the governmental insurance limit;
defining, by the computer, a plurality of sub-deposits, wherein each of the plurality of sub-deposits is comprised of one of the plurality of sub-deposit amounts;
selecting one or more issuer banks from the plurality of issuer banks, and selecting a money market account and a CD product from the one or more issuer banks into which to place the plurality of sub-deposits, wherein the one or more issuer banks are selected based on an interest rate offered by the one or more issuer banks, according to a corresponding minimum funds agreement with the administrator;
transferring, via the financial network, each of the plurality of sub-deposits to a corresponding one of the money market account and the CD product that were selected, wherein each sub-deposit is governmentally insured in its entirety;
automatically recording, in the database, each transfer of a sub-deposit to the money market account and the CD product for the customer;
receiving from the customer, via the financial network, a withdrawal amount exceeding a first amount equaling a sum of all sub-deposits of the customer that have been transferred to the money market account, wherein the first amount summed with a second amount equals the withdrawal amount;
identifying one or more CD products with sub-deposits of the customer that are substantially equal the second amount, wherein a maturity date of the one or more CD products is not currently reached;
exchanging ownership of the one or more CD products that were identified from the customer to a second customer and transferring a deposit substantially equal to the second amount from the second customer to the customer;
automatically recording, in the database, the transfer of the one or more CD products from the customer to the second customer;
withdrawing, via the financial network, all sub-deposits of the customer that have been transferred to the money market account; and
withdrawing, via the financial network, the deposit substantially equal to the second amount, such that the customer receives the deposit for the one or more CD products that were identified without experiencing an early withdrawal penalty.
10. The non-transitory computer readable storage medium of claim 9 , wherein the step of receiving from a customer a deposit amount further comprises:
receiving from a customer, via a financial network, an identification of one or more issuer banks in which the customer's funds shall not be deposited.
11. The non-transitory computer readable storage medium of claim 10 , wherein the step of selecting one or more issuer banks further comprises:
selecting one or more issuer banks from the plurality of issuer banks, wherein the one or more issuer banks are selected by taking into account the identification of one or more issuer banks in which the customer's funds shall not be deposited.
12. The non-transitory computer readable storage medium of claim 11 , further comprising a routine set of instructions which when executed by a machine causes the machine to perform the step of:
generating an escrow account to apply to early withdrawal penalties for terminating a CD product before a maturity date for the CD product.