Account-Level Reciprocation

The Account-Level Reciprocation feature provides visibility into, and control of, how your institution's reciprocal balances are attributed across individual Extended Insurance Accounts. This supports more granular reporting of network activity to support account- and branch-level attribution of network outcomes and certain compliance obligations.

With account-level reciprocation, you can view which accounts are reciprocated and can prioritize specific accounts to take precedence for reciprocal classification. In lieu of prioritizations provided by your team, account reciprocal status will be automatically determined based on balance levels (lowest to highest).

Data Fields

Three fields are now available in the Admin Portal in the Accounts table in the Sweep Program:

• Prioritize for Reciprocation: Binary field set by credit union admins, this checkbox indicates whether an account should be prioritized for reciprocal classification.
• Reciprocated Amount: The portion of an Extended Insurance Account’s balance that is considered reciprocated. This is controlled by ModernFi (based on your prioritization inputs) and is updated following daily allocation.
• Reciprocal Status: The account’s reciprocal classification as either Full, Partial, or None.

Using the Prioritize for Reciprocation Functionality

The Prioritize for Reciprocation field can be set during account creation, and can always be managed through the Edit Account functionality (see here for more detail on how to edit accounts).

This functionality does not influence your Receive Program balance or impact actual network funds allocation. With that in mind, prioritizing an account for reciprocal classification does not guarantee its reciprocation. Your institution’s total Receive Balance continues to determine the overall reciprocal amount received by your institution. This field serves to identify the priority order of accounts against which reciprocal balances should be allocated for reporting and/or compliance purposes.

Illustrative Example

For example, if ABC Credit Union opens and funds two accounts in the program, the following will occur based on the Credit Union’s administrative actions: