Reducing Loan Repayments with Sweep Accounts
What is a loan sweep?
A Loan Sweep links an approved loan with a checking account to automatically transfer funds to pay down outstanding balances and reduce loan repayments or move needed funds to the checking account from the loan.
How Does a Loan Sweep Work?
- To reduce what you owe, excess funds in your checking account are swept directly to pay down outstanding loan balances each night. Alternatively, if the deposit account needs funds to cover checks and withdrawals, the system automatically sweeps funds from the credit line (drawdown) to the checking account up to the credit line limit
- Automatically reduces loan repayments, balances and associated interest expense
- Meets requirement to revolve balances on a line of credit
- Eliminates overdrafts in your checking account
Need Help Finding the Right Banking Services for You or Your Business?
Whether you need help reducing loan repayments or setting up a sweep account, Zions Bank is here to help. To speak to an Advisor to enroll in a new service, call 866-299-3334 or complete the form. For help with an existing service, contact our Customer Support at 800-726-7503. For more information on sweep accounts, see the Loan Sweep product sheet.