New Rule on Interest Bearing Accounts

It's important to consider factors such as increased interest expense, competitive pressures, and customer preferences. Some of your customers -- those with significant DDA balances -- may not want to surrender their current temporary unlimited deposit insurance coverage, so the question of options should also be considered.

One pivotal decision is whether your bank wants to be proactive in offering interest-bearing DDA accounts, or to offer them principally as a defensive measure.

First published on BankersOnline.com 10/3/11