Providing efficient, accurate and timely banking services, we assist state agencies with banking needs, including managing state depository bank accounts, daily cash-management functions and relationships with bank partners, state entities and qualified public depositories.
The Banking Division performs daily cash management procedures and best practices to maximize bank-available operating funds for investment beyond what is required to support the state’s daily cash needs. Staff also monitor bank balances to ensure state funds on deposit are protected with FDIC insurance coverage or are properly collateralized in accordance with state law.
The Banking Division coordinates the designation of financial institutions that various state agencies and universities use for banking services. These financial institutions are referred to in the SC Code of laws as “qualified public depositories.” Banking services pertain to functions related to both the receipt of funds and the disbursement of funds. The State Treasurer has issued a policy relating to the designation of qualified public depositories.
Various state agencies and universities disburse funds electronically. One of the disbursement methods utilized is Automated Clearing House (ACH) payments. Another term for ACH payment is direct deposit. The State Treasurer has issued a policy for agencies to follow regarding the effective date of ACH payments.
State agencies and universities accepting credit cards must comply with the Payment Card Industry Data Security Standard (PCI DSS). The State Treasurer’s Office has issued a policy for agencies’ compliance responsibilities, as well as providing materials to assist agencies in their compliance efforts.
The State has two statewide contracts for use by eligible entities desiring to accept merchant cards. A contract with SunTrust Merchant Services LLC (STMS) pertains to the processing of card payments. A contract with South Carolina Interactive (SCI) is an optional contract supporting card payments via a web portal. The State Treasurer’s Office has guidance regarding options available when a payment gateway is required.
The SC State Code requires financial institutions accepting public deposits to secure the deposit of funds for amounts that exceed FDIC insurance coverage. In the case of deposits of political subdivisions, the financial institutions have the option to pledge securities under either the dedicated method or pooling method. The Banking Division coordinates and monitors the collateralization process for banks depositing funds with the State Treasurer and for those banks utilizing the pooling method to secure deposits of the political subdivisions.