Actually, we are talking a strategy using Certificates of Deposit to become what is known in banking circles as a centre of influence. This is what some also call leasing a Certificate of deposit to be used not as collateral, but an influencer or deal closer for a lender to issue funding. Renting money is easy!
The use of a Certificate of Deposit as a strategy to obtain a loan is a very viable funding tool when applied in the proper fashion. This method will work if you identify the needs of the bank and you the borrower.
As you will see, the beauty of the Certificate of Deposit strategy is the fact that it creates a win-win(-win) situation for all involved. You get your funding and the financial institution (lender) gets funds to use as per their normal operating procedures. We also included a third win as if it is a buy-sell transaction where the seller or buyer also wins because this caused the deal to close.
There are a few very important conditions all clients and lenders must agree adhere to when using our certificate of deposit services. First, the deposits cannot be encumbered, pledged, put in jeopardy, used to collateralize your loan, or used to guarantee any loan. Your lender does not reserve the right of offset against these certificates of deposit. No funds can or will be deposited into client’s bank account or in the name of the client – certificate of deposit funds remain in the owner of the funds name without exception (See Verify on Demand chapter should you need funds in your name or company name). Only your Banker will have access to the funds used to purchase these certificates of deposit based upon the banks operations and rules. These conditions are specific and cannot be altered. However, the applications for using the certificate of deposit strategy are endless – renting money
ISG3 will arrange for the purchase of “Certificates of Deposit” in the amount you request $500,000 minimum to $50,000,000, at any acceptable insured (FDIC, CDIC, privately insured, etc.) financial institution YOU request. International deposits can be arranged under certain specific conditions.
We have included several examples of our certificates of deposit program in real world use in the Credit Mastery Advanced Funding Tools book. These are just examples and there are many, many other potential uses for these once you understand the value of this product.