SAN ANSELMO, Calif.-A new analysis has found that deposits in domestic branches of FDIC-insured institutions reached an all-time high of $8 trillion at the end of the first quarter 2011, despite the fact that the national average rate for deposits remained low at 0.86% during the same time period.
The analysis did not include credit unions, which have seen similar deposit increases.
According to Market Rates Insight (MRI), during the first quarter of 2001, domestic deposits increased by $117 billion over the forth quarter of 2010-an increase of 1.5%. The increase, however, was not uniform across all deposit types. While liquid accounts such as checking, savings and MM increased by $171 billion or 2.9%, term account balances, i.e. CDS, decreased by $53 billion or 2.7%, MRI reported.
Among the specific finds related to liquid accounts, checking account balances increased by $40 billion or 3.8%; savings account balances increased by $65 billion or 1.8%, and MNA balances increased by $67 billion or 5.3%.
Among term accounts, short-term CD balances (up to 1 year) declined by $36 billion or 1.0%; mid-term CD balances (1 to 3 years) declined by $19 billion or 4.0%, and long-term CD balances (over 3 years) increased by $6 billion or 5.6%.
For info: www.marketratesinsight.com.
