Manage Liquidity

Cash Concentration

Optimise your group cash balance through the automated movement of funds

Earn higher yield and lower overdraft charges with DBS Cash Concentration, which moves funds automatically between accounts to meet the target balance set on each of your sub accounts. The concentration account either funds deficits or receives surplus cash swept from sub accounts. Flexible sweep options such as one or two-way sweep, reverse sweep and powerful interest allocation capabilities are also available.

 

 

 

Why choose DBS Cash Concentration?

  • Optimise your group cash balance and earn higher yields by investing your consolidated balance
  • Make consolidated idle cash available to sub accounts as additional funding for payments
  • Reduce interest expense since a negative balance is covered by your master account
  • Eliminate the hassle of having to manually report, track and reconcile your various accounts
  • Reports can be accessed through IDEAL™, our online banking platform, for greater convenience

FAQs

Can DBS support Cash Concentration structures in different currencies?

Yes, we can support structures in different currencies. However, each structure can only consist of accounts of the same currency.

Can DBS handle back-valued transactions?

Yes, we can. We recalculate your balances for previous dates if there is a back-valued transaction and perform a back-valued sweep accordingly. This can be done for any transaction completed in the same month for SGD accounts. It can be done for the current and previous month for non-SGD accounts.

What’s the difference between Notional Pooling and Cash Concentration?

Cash Concentration involves the physical movement of funds into a concentration account. There is no physical movement of funds for Notional Pooling, because account balances are notionally set-off. However, Cash Concentration creates inter-company loans, because there's physical movement of funds between accounts belonging to different companies.

Can we do this on a regional basis?

Yes, we have regional liquidity management capabilities such as cross-border sweep and interest optimisation. However, the availability of liquidity management capabilities is subject to regulations in each country.

Why is there surplus funds in my sub account at the end of the day when it was meant to have a zero balance?

Funds on hold in the sub-account are not available for use, and therefore can’t be swept up to the master account. Common examples include GIRO collection transactions and cheque deposits, which are placed on hold until they are cleared the next business day.

 

How do I apply?

Simply call us at 1800 222 2200, or +65 6222 2200 if you are calling from overseas to apply. Alternatively, please speak with your relationship manager.

No Minimum Balance Requirement
No Minimum Balance Requirement

The new Digital Account comes with NO MINIMUM BALANCE required.

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"We have complex structures of intercompany accounts… DBS was quick to understand our business needs, and provided a suitable Liquidity Management solution."
Mr Damien Lim
Mr Damien LimHead of Business Development

Knowledge Universe Pte Ltd

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