To provide you with the benefit of FDIC insurance, the cash balance in your account is automatically swept into unaffiliated banks that provide FDIC insurance on your deposits. FDIC insurance coverage is limited to $250,000 per qualified customer account per banking institution. Wealthfront uses more than one bank to ensure FDIC coverage of up to $1 million for your cash deposits. Your monthly statements will show which bank(s) we are using to hold your funds.
All you have to do is log into your Wealthfront account to access your money. Wealthfront will automatically manage the money movement between the banks and your cash account, in accordance with the Cash Sweep Program Disclosure Statement.
*National rates are calculated based on a simple average of rates paid (uses annual percentage yield) by all insured depository institutions and branches for which data are available. Savings and interest checking account rates are based on the $2,500 product tier.
The Wealthfront Cash Account Annual Percentage Yield (APY) is as of March 17, 2020. The APY may change at any time, before or after the Cash Account is opened. The APY for the Wealthfront Cash Account represents the weighted average of the APY on the aggregate deposit balances of all clients at the program banks. Deposit balances are not allocated equally among the participating program banks.
Cash Account is offered by Wealthfront Brokerage LLC (“Wealthfront Brokerage”) a member of FINRA/SIPC. Neither Wealthfront Brokerage nor any of its affiliates are a bank, and Cash Account is not a checking or savings account. Wealthfront Brokerage conveys Cash Account funds to depository institutions that accept and maintain such deposits. The cash balance in the Cash Account is swept to one or more banks (the “Program Banks”) where it earns a variable rate of interest and is eligible for FDIC insurance. FDIC insurance is not provided until the funds arrive at the Program Banks. While funds are at Wealthfront Brokerage, and before they are swept to the Program Banks, they are subject to SIPC’s protection limit of $250,000 for cash. FDIC insurance coverage is limited to $250,000 per qualified customer account per banking institution.
Wealthfront Brokerage uses more than one Program Bank to ensure FDIC coverage of up to $1 million for your cash deposits. For more information on FDIC insurance coverage, please visit www.FDIC.gov. Customers are responsible for monitoring their total assets at each of the Program Banks to determine the extent of available FDIC insurance coverage in accordance with FDIC rules. The deposits at Program Banks are not covered by SIPC. This is not an offer, or solicitation of any offer to buy or sell any security, investment or other product.
Wealthfront Brokerage is a wholly owned subsidiary of Wealthfront Corporation.
Investment management and advisory services are provided by Wealthfront Advisers LLC (“Wealthfront Advisers”), an SEC registered investment adviser, and financial planning tools are provided by Wealthfront Software LLC (“Wealthfront”).
Nothing in this communication should be construed as tax advice, a solicitation or offer, or recommendation, to buy or sell any security.
Wealthfront Advisers and Wealthfront Brokerage are wholly owned subsidiaries of Wealthfront Corporation.
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