icemann:


Thanks brother. So which is a better deal for 6 months investment for $5000

FD's have a few shortcomings compared to TBills - taxes and lower interest rates being the biggest. For 6 months on $5000, I'd say go for TBill; with the current pattern, that should fetch you at least 5.2% interest.

petikal:

FD's have a few shortcomings compared to TBills - taxes and lower interest rates being the biggest. For 6 months on $5000, I'd say go for TBill; with the current pattern, that should fetch you at least 5.2% interest.

Thanks. I would test the waters first before going in. One last thing, what is the average interest rate on fixed deposit on 3 months and 6 months tenor in any bank you know. Naira and dollar account.

icemann:


Thanks. I would test the waters first before going in. One last thing, what is the average interest rate on fixed deposit on 3 months and 6 months tenor in any bank you know. Naira and dollar account.

I don't know about FD on dollar accounts. I'm also yet to find a bank that'll match Tbill rates; they're typically 2-3% lower + taxes, and not paid upfront. So, what you'll get for 5.2% on TBill for 6months will likely end up being ~3.2% on FD.

Mutual funds on the other hand is a competing alternative; ernie4life discussed about them in his thread here. I believe KGIF is offering 12% (per annum) and pays in 2 installments, although as with many managed funds, there are fees upward of 2%.

petikal:

I don't know about FD on dollar accounts. I'm also yet to find a bank that'll match Tbill rates; they're typically 2-3% lower + taxes, and not paid upfront. So, what you'll get for 5.2% on TBill for 6months will likely end up being ~3.2% on FD.
Mutual funds on the other hand is a competing alternative; ernie4life discussed about them in his thread here. I believe KGIF is offering 12% (per annum) and pays in 2 installments, although as with many managed funds, there are fees upward of 2%.

Thanks bro, you did a good job on clarification.

find attached cbn calendar for tbill for the fourth quater 2014

Please,does anyone know the cbn stop rates for this week's auction and the day it held My bank hasn't debited me yet.

careerwoman:
Please,does anyone know the cbn stop rates for this week's auction and the day it held My bank hasn't debited me yet.

hope you instructed ur bank to do that but you must have given them details such as your tenor(days)ur rate and account number to debit the principal from if u did not specify the rate then they wil offer u slight diff from cbn stop rate

obiak4:

hope you instructed ur bank to do that but you must have given them details such as your tenor(days)ur rate and account number to debit the principal from if u did not specify the rate then they wil offer u slight diff from cbn stop rate

Damn,I didnt specify the rate and I think what they did give is lower than expected.. please,do you know the cbn stop rate for 182 days? they've finally debited me but they charged 300 naira for transfer fees and 75 for custodian fees?? Imagine!! GTbank is crazy..

careerwoman:

Damn,I didnt specify the rate and I think what they did give is lower than expected.. please,do you know the cbn stop rate for 182 days? they've finally debited me but they charged 300 naira for transfer fees and 75 for custodian fees?? Imagine!! GTbank is crazy..

You dont honestly expect GT to carry out the purchase on your behalf for free.

N375 is inconsequential!

pappilo:


You dont honestly expect GT to carry out the purchase on your behalf for free.

N375 is inconsequential!

Well, my tbills with first bank wasn't charged up to that amount. they also gave a slightly lower rate but nothing was deducted from my interest. GTB has certainly given me a lower rate than the cbn stop rate and yet they had to deduct an extra N375. All in all, first bank is better than GTB for Tbills.. GTbank is greedy and selfish. *from first hand experience*

the rate are not encouraging at all find attached zenith bank treasury statement at 23/10/14 @career woman pls compare with what you were offered

@careerwman could be due to the fact that you move ur funds that y d huge charge of 375 cos moving funds interbank z a transaction and it is charged

obiak4:
the rate are not encouraging at all find attached zenith bank treasury statement at 23/10/14 @career woman pls compare with what you were offered

Guy no vex but na rubbish you attach na!

Thats just the auction date schedule

obiak4:
@careerwman could be due to the fact that you move ur funds that y d huge charge of 375 cos moving funds interbank z a transaction and it is charged

I did not move any money.. I have a Tbill with a maturity date in nov. with first bank. This other money has always been in my GTB account. Wait a second,do you work with GTB? You sound biased.. let's be sincere GTB isn't the best bank to do tbills. First bank is way better even though I dont think it's the best.

careerwoman:

I did not move any money.. I have a Tbill with a maturity date in nov. with first bank. This other money has always been in my GTB account. Wait a second,do you work with GTB? You sound biased.. let's be sincere GTB isn't the best bank to do tbills. First bank is way better even though I dont think it's the best.

you are the one who sound biased here cos am not even a banker am an engineer by profession but am not practising engineering for now pls it was just an idea I expressed my 2cent don't get it twisted

pappilo:


Guy no vex but na rubbish you attach na!

Thats just the auction date schedule

papillocheck again d left hand corner it stated the rate and tenor as at yesterday 23/10/14

obiak4:


papillocheck again d left hand corner it stated the rate and tenor as at yesterday 23/10/14

Sorry jare my guy. I opened the wrong PDF.

The stop rates are in the doc you attached. That doc is really informative. Is there anyway I can be added to the mailing list. If not, can you do us a favour on here and post the doc on this thread on the day after every TB auction

Stop rates on 23/10/14 courtesy Obiak4

91 day - 9.8%
182 day - 10.2%
364 day - 11.25%

Regards

obiak4:
the rate are not encouraging at all find attached zenith bank treasury statement at 23/10/14

Very discouraging rate, but that's been the expectation if CBN Gov. remains resolved on his strategy. Factor in the inflation rate over the year and weakening Naira, and you only have ~3.25% on a 364day tenor. Better to just wait after elections.

i believe after election the rate will go up

pappilo:


Sorry jare my guy. I opened the wrong PDF.

The stop rates are in the doc you attached. That doc is really informative. Is there anyway I can be added to the mailing list. If not, can you do us a favour on here and post the doc on this thread on the day after every TB auction

Stop rates on 23/10/14 courtesy Obiak4

91 day - 9.8%
182 day - 10.2%
364 day - 11.25%

Regards

papillo i will try my best to post if i get the info am very loyal my bro
my 2cent

princeuk21:
i believe after election the rate will go up

i concur with you but i de wait for them 3month to election watchout them money go plenty 4 circulation and cbn go want to mop the exces
waiting at dat junction oooo

Whats the difference between money market and Tbills.

FADEO:
Whats the difference between money market and Tbills.

Money Market is involves buying of shares, bonds , and generally primary n secondary market operations. You ll need to liase with any of the investment homes who are into mutual funds. there are of varying kinds ranging from a risk free to highly risky securities.

tbills are securities released forthnightly b fgn to mop up excess funds from d economy. its absolutely risk free abd you get your interest up front. d minimum tenor is 90days.

the stories go on n on . u av to be specific so as to get a befitting response

This topic is easily my favourite on Nairaland. I came across it while googling TB in Nigeria earlier this year. I read each page!! Thanks to all who have contributed.

babesummy:
This topic is easily my favourite on Nairaland. I came across it while googling TB in Nigeria earlier this year. I read each page!! Thanks to all who have contributed.

I have to agree, I am alot richer since I stumbled across this thread!...Thanks to everyone that have contributed to it!...

ummitoagirl:


I have to agree, I am alot richer since I stumbled across this thread!...Thanks to everyone that have contributed to it!...

I'm new to this and I want to be singing this song of yours too.... It seams you know the real aspect of it now. Pls help a bro out here..
Which bank are you suggesting that wont mess the whole thing up on the long run. and any other relevant details... I'm Following you on this.

Thanks in Advance

Does anyone know if this bvn (bank verification no) by CBN will affect instructions online on TB.
I cant seem to get a good response from my bank.



Good morning all

Chillisauce:
Does anyone know if this bvn (bank verification no) by CBN will affect instructions online on TB.
I cant seem to get a good response from my bank.



Good morning all

dont think it affects it in any way.
It is only madatory for all acct owners in all banks to do the verification (whether or not you have TBills ).

Chillisauce:
Does anyone know if this bvn (bank verification no) by CBN will affect instructions online on TB.
I cant seem to get a good response from my bank.



Good morning all

I am watching this stupid cbn directive as well because I can't just buy ticket all because I want to go to Nigeria to do bio registration.....They said the deadline is June but I think they will have to postpone it or deactivate credit services somehow.....But don't panic because some people in Nigeria are not even aware of the crap....Time will tell.....

angelo82:



I am watching this stupid cbn directive as well because I can't just buy ticket all because I want to go to Nigeria to do bio registration.....They said the deadline is June but I think they will have to postpone it or deactivate credit services somehow.....But don't panic because some people in Nigeria are not even aware of the crap....Time will tell.....

I hope so. Every yr new rules. I wonder why they can't make things easier.
Imagine converting from dollars to Naira via written and oral request, but when its time to convert from naira to dollar, they ask you to come to their office with flight ticket etc. Very ridiculous .

tolutweety:

dont think it affects it in any way.
It is only madatory for all acct owners in all banks to do the verification (whether or not you have TBills ).

Just trying to find out if it will be required when you give orders via email, thanks