Illinois Funds FAQs
Find answers to common questions about The Illinois Funds, including eligibility, rates, account access, purchases, redemptions, account statements, and account liquidation.
About The Illinois Funds
What is The Illinois Funds?
The Illinois Funds was created in 1975 by State statute and is the State’s public treasurers’ investment pool. It is administered by the Illinois State Treasurer and provides an investment option for custodians of public funds.
Learn more in 15 ILCS 505/17.
Who can participate in The Illinois Funds?
Custodians of public funds may participate in The Illinois Funds. Definitions of public funds and public agencies are available in 30 ILCS 235/1.
What are the administrative fees of The Illinois Funds?
Administrative fees are charged to participants. In setting the fee, the Treasurer considers factors such as the size of the investment pool, projected cash flow, and expected administrative and management expenses.
The Treasurer will notify participants before increasing total administrative fees above 5 basis points. Total administrative fees may not exceed 25 basis points on an annualized basis, calculated daily.
Rates and Earnings
How often do rates change?
Rates change daily. They are posted on the Illinois Funds Daily Rates page and are also available by phone at 1-800-947-8479 between 3:30 p.m. and 4:30 p.m. each day.
Does interest compound?
Yes. Interest accrues daily and is posted to each account on the last business day of the month.
Account Access and Online Services
How do I make deposits into my Illinois Funds account?
Review the available deposit options on the Account Access page.
Is there a minimum balance requirement?
No. There is no minimum balance requirement. You may draw your account down to a zero balance without closing it.
How many accounts may I have?
You may have as many accounts as you need. There is no fee for Illinois Funds accounts.
Are account statements available through the online portal?
Yes. In addition to monthly mailed statements, statements are available through the online portal on the home page under View Statements.
May I request my USBFS online credentials over the phone?
Yes. Once an Illinois Funds application has been submitted and processed, an authorized online user may call 800-947-8479 to check the status of online credentials.
The primary authority on the account may request credentials for all authorized users. A non-primary authority who is authorized for online access may request only their own credentials.
Safety and Policy
How safe are funds invested in The Illinois Funds?
Safety of principal is the first objective of the investment program. The Illinois Funds invests in a manner intended to preserve capital while maintaining liquidity and competitive returns. The fund currently holds Fitch’s highest rating, AAAmmf.
Audit and Reporting
Where do we send our audit confirmation request?
Audit confirmations are requested online through Confirmation.com.
For dates before February 12, 2016:
Email creditreferenceservices@usbank.com
For annual financial statement disclosure, see GASB Statement No. 40.
| Investment | Rating | Value | Weighted Average Maturity |
|---|---|---|---|
| The Illinois Funds (LGIP) | AAAmmf | $1,234,567.89 | 57.7 days |
Purchases and Redemptions
Is there a required time for funds to stay invested?
No. Funds may be invested one day and withdrawn the next. The account would still earn interest for that one day.
Are there any fees for transactions?
No transaction fees are charged by The Illinois Funds. However, your local financial institution may charge a fee for ACH or wire transfers to or from your Illinois Funds account.
What are the cutoff times for redemption requests?
Wire requests received in good order before 11:00 a.m. Central Time are processed the same day and do not receive that day’s income accrual.
Wire requests received after 11:00 a.m. but before 3:00 p.m. Central Time are processed the same day and do receive that day’s income accrual.
Wire requests received after 3:00 p.m. Central Time are processed the next business day.
ACH redemption proceeds may take 2 to 3 business days to reach your bank account.
If the original purchase was made by ACH, there is a 5-business-day hold before those funds are available for redemption.
What are the cutoff times for purchase requests?
Same-day credit is available only by wire.
Wire purchases received in good order before 11:00 a.m. Central Time are processed the same day and accrue that day’s income.
Wire purchases received after 11:00 a.m. but before 3:00 p.m. Central Time are processed the same day and receive the next day’s income accrual.
Wire purchases received after 3:00 p.m. Central Time are processed the next business day.
ACH purchases received in good order before 3:00 p.m. Central Time are processed the same day and receive the next day’s income accrual.
ACH purchases received after 3:00 p.m. Central Time are processed the next business day.
Online and phone purchases made by ACH are not redeemable for 5 calendar days. Purchases made by wire are available immediately.
Account Liquidation
How do account liquidation and Comptroller distributions work?
Fully liquidated accounts are removed from the custodian bank’s system each year, usually in July, after 12 months of inactivity.
Authorized contacts may request a full redemption by sending a signed letter to the administrative office or by submitting an online request to transfer funds to a bank already on file.
If the account receives Comptroller distributions, the authorized contact must also request that those distributions be stopped in the signed letter.
If funds are later deposited into the account, the account will be reactivated in the custodian bank’s system.
If no Comptroller distributions are set up, an authorized contact may liquidate the account online without going through the administrative office.