Provisional Credit Information
Did you know that provisional credit is deposit credit posted by your bank to your bank account for your daily cash sales that have been deposited into and reported by your SafePoint system? This is more valuable to retailers now due to the rising interest rate environment. With no signs of rates dropping, retailers can leverage provisional credit to gain access to their daily sales without having to send a manager to the bank which can be time-consuming, costly, and risky. Learn more about provisional credit below.
What are the benefits of provisional credit?
Clients receive daily credit for their cash deposits without ever having to go to the bank. This saves time, money, and reduces the risk of robbery outside the store and theft inside of it.
What are the benefits of provisional credit in a high-interest-rate environment?
In a high-interest rate environment, the importance of daily cash deposits through provisional credit is extensive. Clients can put their deposits to work by gaining a higher interest rate for higher deposit balances and by paying down, or not using commercial lines of credit for day-to-day business needs.
How do you set up provisional credit?
To set up provisional credit, you’ll work directly with your financial institution and Treasury Management Officer. From there, your bank will work with Loomis to send information that enables the bank to provide credit for deposits made into the safe Loomis uses bank provided client profile information to transmit the depository data from your SafePoint unit to the bank every day.
What type of banking accounts allow for provisional credit?
Loomis works with over 200 different financial institutions who are familiar with the process of setting up their clients to access provisional credit via SafePoint. It is important that you speak with your Treasury Sales Officer to understand the account set process and associated fees when you begin evaluating SafePoint as an option for your business.
Does Loomis charge additional fees for provisional credit?
The communication of safe data to your financial institution is included in the monthly rate. There may be fees associated with the processing of deposits or change orders which will be negotiated with your bank.
Where do I start if I’m considering SafePoint and provisional credit?
- Contact your bank’s Treasury Management Sales Officer and let them know you are evaluating SafePoint by Loomis and would like to explore setting up provisional credit.
- Loomis can help connect you to a bank representative if one doesn’t already exist.
- Fill out this form and a Loomis representative will follow up with you.