Bank 'Sweep' Account Growth Continues to Accelerate
Sweep accounts are one of the fastest growing and most profitable bank products, with assets up 77% in two years, according to a study released today by Treasury Strategies, Inc. The firm estimates that bank sweep accounts are the most profitable cash management product offered. The TSI study focuses on sweeps from business checking accounts, although banks offer sweeps to consumers and trust customers as well. Reflecting the growing importance of business sweep accounts, the survey attracted 245 responses, which represent 57% of total deposits from the 1,471 largest U.S. banks.