Frequently Asked Questions
Working with Ampersand
What is Ampersand?
Ampersand is a tech-enabled deposit management services company that helps organizations protect, manage, and optimize large cash balances. Clients access a network of federally insured partner banks through a single account and portal.
Who does Ampersand work with?
Ampersand works with businesses, nonprofits, and other organizations with large or complex cash balances. We also partner with community banks seeking stable, well-managed deposits. Our clients value safety, simplicity, and strategic cash management.
Is Ampersand a bank?
No. Ampersand is not a bank and does not accept deposits or provide FDIC or NCUA insurance. Funds are placed at federally insured partner financial institutions, where deposit protection is provided.
How is Ampersand different from a traditional Bank?
Traditional banking concentrates deposits at a single institution. Ampersand helps distribute deposits across multiple federally insured financial institutions while maintaining one account, one login, and consolidated reporting. This reduces concentration risk and administrative burden.
Deposit Protection (FDIC & NCUA)
Are my funds federally protected?
Yes. Funds placed through Ampersand are held at FDIC- or NCUA-insured partner institutions and are eligible for federal deposit protection up to applicable limits at each institution. By spreading funds across multiple banks, clients can increase insured coverage.
What is pass-through deposit protection?
Pass-through protection allows funds held on behalf of a client to be insured in the client’s name when certain recordkeeping requirements are met. Ampersand structures accounts and reporting to support pass-through protection at partner financial institutions.
What happens if a partner institution fails?
If a partner institution fails, federal deposit protection applies according to standard FDIC or NCUA rules. Insured funds are typically made available quickly, often within one to two business days. Ampersand monitors partner institutions to help clients manage risk proactively.
Does Ampersand guarantee federal deposit protection?
No. Federal deposit protection is provided by the U.S. government through the FDIC or NCUA, not by Ampersand. Ampersand designs its program to align with federal requirements and best practices.
External resources:
How the Ampersand Program Works
How do I get started?
Clients complete a streamlined onboarding process with limited paperwork. Ampersand’s client service team provides hands-on support throughout onboarding. Once complete, funds can be deposited and allocated efficiently.
Do I need to open accounts at multiple banks?
No. Clients have one Ampersand account and portal. Ampersand manages the allocation of funds across multiple federally insured partner institutions behind the scenes.
How are funds allocated?
Funds are allocated based on deposit protection limits, liquidity needs, and available rates. Allocations are actively managed while clients retain visibility through consolidated reporting.
Can I access my funds when needed?
Yes. Liquidity is a core feature of the Ampersand program. Clients can access funds without coordinating with multiple financial institutions.
Rates, Reporting & Transparency
How are interest rates determined?
Rates reflect market conditions and the rates offered by partner institutions. Actively managing deposits across institutions can help clients remain competitive compared to a single-bank approach.
Will I receive multiple statements?
No. Ampersand provides consolidated reporting, even though funds are placed at multiple institutions. This simplifies reconciliation, accounting, and oversight.
What reporting is available?
Clients receive clear reporting on balances, allocations, interest earned, and insured coverage. Reports are designed to support audits, boards, and internal stakeholders.
Risk Management & Compliance
How does Ampersand manage risk?
Ampersand evaluates partner institutions using financial performance data, regulatory information, and ongoing monitoring. Deposit diversification helps reduce concentration risk.
Is Ampersand compliant with banking regulations?
Yes. Ampersand operates within established federal banking and deposit protection frameworks. The program is designed to support regulatory clarity and sound risk management practices.
Can Ampersand support public or fiduciary finds?
Yes. Through its wholly owned subsidiary Ampersand Public Advisors, LLC – Ampersand Inc. works with municipalities, school districts, and fiduciaries that have statutory or policy-driven requirements. Deposit strategies are aligned with those obligations.
Partner Financial Institutions
Why do financial institutions partner with Ampersand?
Financial institutions partner with Ampersand to access stable, well-managed deposits without costly customer acquisition. The program supports responsible balance sheet growth.
Ampersand's Role
Ampersand is not a bank.
Ampersand does not hold deposits, issue loans, or provide deposit insurance.
Where are the funds held?
Funds are placed at FDIC- or NCUA-insured partner institutions.
Who provides deposit protection?
Federal deposit protection is provided by the U.S. government through the FDIC or NCUA, not by Ampersand.
What does Ampersand provide?
Ampersand provides technology, expertise, and services that help organizations manage deposits more safely, efficiently, and transparently.