Having worked with financial institutions for quite some time, NES Financial is familiar with the complexity that corporate treasurers and CFO’s deal with in the administration of complex financial transactions. NES Financial also experienced the benefits that can be achieved from using a sub-accounting solution. Sub-accounts, or a series of separately identifiable accounts maintained under a single custodial agreement with a bank, can improve operational efficiency for both banks and their clients.
Through the use of sub-accounting, a company can dramatically reduce its transactional costs and make it easier to transfer funds from bank to bank. Reid Thomas wrote in a previous blog post, “I see the banking industry and its corporate clients struggling to meet certain market needs, and they could all benefit from a flexible and reliable technology platform to improve efficiency.”
We recently experienced a situation where NES Financial sub-accounting feature provided the ideal solution for a long-time client. This particular client had numerous accounts with one bank, and wanted to move those accounts to another bank. Transferring multiple accounts from one bank to another is cumbersome, time consuming, and expensive due to hefty bank fees. We found our client’s situation a perfect opportunity to introduce our eSTAC technology to eliminate multiple accounts and cut down on the associated bank fees. As we streamlined their multiple accounts under a single master account at a new financial institution, transferring funds became a simple process both for our client and us.
NES Financial reduces the administrative burden from clients during complex financial transactions. The NES Financial solution provides unlimited sub-accounting for any size escrow or trust account. The solution is architected to meet FDIC reporting requirements and other regulatory compliance standards. NES also offer the flexibility to establish either non-interest or interest-bearing sub-accounts, with support for complex interest calculations. All account information can be accessed 24/7 through our password protected, web-based portal.
NES Financial welcomes your questions and opinions. Allow us to address your business needs by contacting us. We look forward to hearing from you!