Extend the value of this cost-effective borrowing tool by helping clients determine whether the Securities-Backed Line of Credit (SBLOC) is the best borrowing choice for their needs.

Benefits to Financial Professionals

 
Kestra Can Help You Expand Client Relationships and Protect Your Business

• Your clients will gain access to cash by using their investment portfolios as collateral, avoiding the need to liquidate funds from their portfolios and allowing you to retain their assets under management.
• An SBLOC allows your carefully crafted investment strategy to continue undisturbed, leaving your clients’ long-term financial plans fully intact.
• As the Financial Professional, you will have access to view your client’s account details through eMoney or our internal account view tool, TotalCash Manager. TotalCash Manager allows you the ability to view online each client’s account, transaction history, and copies of checks to better service your client’s entire financial picture.

Benefits to Client 

 
By using an SBLOC, your clients leave their investments intact and eliminate any potential capital gains taxes¹ they may be required to pay for selling securities. Assets in the portfolios that you’ve carefully constructed can continue to produce the growth and income your clients count on.

Additional Benefits include:

• Competitive Prime-based pricing
• Interest only payments can be automatically deducted from an external account
• Unlimited check writing with no dollar minimum per check
• Free wire transfers
• No monthly service fees
• Comprehensive internet capabilities let your clients access the information they need about their accounts.
• Our Client Success team is available to answer any specific questions your clients may have – freeing you from the responsibility for your clients’ everyday banking needs.
• Simple and quick application process.

Applying for an SBLOC involves minimal paperwork and there are no application or set up fees². No interest will be charged until the line is drawn upon, and there are no annual maintenance fees for simply having the line in place. For these reasons, many financial professionals opt to proactively put an SBLOC in place for their clients as a safety net for unforeseen expenses.

¹Clients should consult a tax professional for any questions regarding potential tax implications involving their investment portfolio.  

²The Bancorp Bank, N.A. does not charge an application fee. State, local, and/or third-party fees may apply in some states.