Benefits of Cash Advantage Lending

Cash Advantage Lending is a Securities-Backed Line of Credit (SBLOC) that allows the investment portfolio to remain intact while providing liquidity for your client(s).  It’s a perpetual line of credit so, it’s available to your client as long as the account remains in good standing.  With a competitive interest rate structure, the Cash Advantage Lending program is sure to add value to your product offering.

Extend the value of this cost-effective borrowing tool by helping clients determine whether the SBLOC is the best borrowing choice for their needs.

Benefits to Financial Professionals

Cash Advantage Lending 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.
  • 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 tax1 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:

  • Linked to a Cash Advantage Checking account for online funds transfer
  • Competitive Prime-based pricing
  • Interest only payments can be automatically deducted from a Cash Advantage Checking account
  • Unlimited check writing with no dollar minimum per check
  • Free domestic 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 advisors 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.