₦airaland Forum

Good evening to all the gurus in the house.

I will be very grateful if anyone can kindly explain why Zenith bank did not charge the 10% withholding tax from the interest proceed of the primary market purchase on 20th November 2024, using a personal (and not company) account, in contrast to Sterling bank that deducted the 10% withholding tax on the proceed of the Treasury bills purchase, also via a personal bank account. Many thanks.

ytdivine:
No, just paid #4m into my existing account yesterday

Many thanks for the information.

emmasoft:
There is no any form of restriction. It could be the limit from your bank on transfers using the bank app. The only restriction I know is for Tier 1 account which is actually for financial inclusion where 20k is the maximum single transfer and the account cannot hold more than 200k, outside this there is no restriction whatsoever
Kindly check with your bank.

Many thanks. I will check with my bank (Stanbic) as advised. Very much appreciated.

Good morning EmmaSoft and other gurus in the house.
Is N500K now the maximum amount that can be transferred to fund Stanbic Money Market Fund account?
I tried to fund my Stanbic MMF account after a long time and I was surprised that I was restricted to only 500K naira.
Many thanks.

ernie4life:
It's hard to say, usually when your interest is reinvested, it would reflect as additional subscription on your statement.

You need to first find out from the fund manager if any coupon has been paid since December 2019.

Many thanks for your valuable advice as usual. Very much appreciated.

ernie4life:
Like Emmasoft said, it's invested in eurobonds, the coupons(interest) of eurobonds are paid twice a year, that is why most dollar funds pay dividend twice a year.

If the dollar fund is valued based on "mark to market" then you stand a chance of loss encroaching into your capital and also the chance of earning high returns, but if its valued as "hold till maturity" then your capital is safe.
This applies to all dollar funds.

I advise you confirm from the fund manager which method they use.

Many thanks to both Ernie4life and EmmaSoft for your explanations. It makes perfect sense why certain number of units were issued following each subscription. My dilemma is that there has been no coupon paid since initial subscription in December 2019. The unit price now (both bid and offer price) is now 1.33 as opposed to an average of 1.165 on subscription. Will I be correct if I assume the addition of the twice yearly coupon to the fund accounted for the current unit price of 1.33, or should the twice yearly coupon ought to have been paid as well to the account and should have reflected in the account balance? Attached is the Statement for your kind perusal. Many thanks for your usual support. Very much appreciated.

Good evening Oga Ernie4life and EmmaSoft. I will be very grateful if one of you or other gurus in the house can kindly advise about Stanbic IBTC Dollar fund account. Is the Dollar fund just similar to "shares" where the accured profit made over time, is by way of appreciation in the unit price or should someone expects interest payments like in the usual naira dominated money market mutual funds account? Many thanks.

Many thanks for the information. There is no indication from my statement to suggest payment of dividend at anytime since I subscribed to Stanbic Dollar fund in 2019. I will contact the customer service desk to find out what is going on.

ImperialCovfefe:
Stanbic dollar fund pays out the dividends once a year. IIRC, I think it's around December yearly

Many thanks for your response. Lack of any dividend payment (at least as per my account statement) is exactly what I am concerned about. The only payments on my account statement were the four deposits I paid into the dollar fund. From my calculation, the increment or gains in my investment with the fund appears to be due mainly to the difference between my entry unit price of about 1.17 on average to current unit price of 1.28

ernie4life:
That's odd, to the best of my knowledge most dollar funds pay dividend twice a year, are you saying they have not paid you anything (mind you most clients opt for reinvestment of dividend).

Good afternoon my big Oga Ernie4life.
Many thanks for your valued advice regarding the Stanbic Dollar Fund account. I am particularly appreciative of your effort with regards to how the fund unit price affects the value of the investment.

Should I be worried that I have not noticed any accured interest added to my dollar fund account. The only gain I notice in my account is from the increased unit price. No quarterly or yearly interest, or coupon as in bond. Many thanks.

ernie4life:
If you said you bought a year ago I assume you bought at the peak of the covid - 19 pandemic when bonds prices where very low and that was a good time to invest in either eurobonds or dollar funds, we saw prices soars to levels never seen before, but by January this year it started to drop drastically

[quote author=ernie4life post=101090883]Yes that is exactly what am saying [/aquote]
Many thanks for the clarification

ernie4life:
Mutual fund

Good afternoon Oga Ernie4life. I will be very grateful if you or other gurus in the house like emmasoft can assist. Just wondering if the scenario you illustrated above relates exactly as well to the Dollar Stanbic ibtc Fund account. I have been uncomfortable anytime I log into my Stanbic ibtc Dollar fund account and I see the unit price. I was not aware or considered the unit price when I subscribed to the fund. My expectation is that I will be able to withdraw from the account based on the actual amount I want to withdraw in dollars as oppose to making a withdrawal that the amount I get in dollars will depend on the unit price. Are you saying the unit price of the fund at the time I want to fully liquidate my investment will affect the total amount I get in dollars. The stanbic staff I approached over a year ago was unable to answer my query relating to the unit price. Are you saying some of the profits that have accured in the account can be diminished due to fluctuation in the unit price. Many thanks.

chigo4u:
Is there any bank in Nigeria that pays interest on dorm accounts?

Union bank's UNIONACE USD DOMICILIARY ACCOUNT pays about 2 to 3 percent per annum interest. But there is a charge for the bank card.

Union bank's UNIONACE USD DOMICILIARY ACCOUNT pays about 2 to 3 percent per annum interest

freeman67:
I don't think there is any. Though I have not gone round all the banks. Most banks I have interacted with treat dorm account as current account. Current account s do not pay interest instead you are charged for COT after transaction.

Yes, you are correct and that is part of the reason for the huge bill. Magodo is now on the higher business tariff (about twice the usual amount per kilowatt-hour) and there is power supply usually for more than 20 hours a day

ojesymsym:
If my memory is right, Magodo has a special rate because they have a special service agreement with IKeDC which means they pay a premium for more than regular power than other areas.
I think they usually charge that amount to serve as deterrent for would be offenders.

emmanuelewumi:
It has something like a wireless radio technology, which receives signals

I guess this is one of the new prepaid meters and it may be impossible to bypass. Unfortunately my prepaid meter is one of the older ones inside the house and I now know that these meters can be bypassed with ease

The huge bill is exactly my case and disagreement with Ikeja Electric and I am hoping NERC will mediate. It is obvious the amount is exploitative but my former tenant played into their hands when she tampered with the meter. My offer to pay a reduced amount was rejected by Ikeja Electric.

There is no doubt however that the tenant was involved in power theft. The electricity purchase activity report apparently revealed she last charged the meter in October 2019 and she was using her AC and other electrical appliances non stop.

emmanuelewumi:
Don't mind IKEDC how can one by pass the pre paid meter, that is negligence on their own part. What is she using in the house that will warrant energy consumption of 150k? They are out to frustrate pre paid meter users, they are very comfortable and happy with the estimated billing fraud which they perpetuate

Unfortunately all the professionals involved did not collect any detailed information and I was not in the country when she moved in.

I have her GT bank account however because I needed to transfer money to her for a new water pump. I also have her telephone and WhatsApp number.

yazga:
Facebook
Twitter
Whatsapp
Instagram
The school her children attend
Her church
Her office
Didn't you get her details before giving the partments

Many thanks for the attached. Very much appreciated.

Unfortunately I am based abroad and my contacts in Nigeria have not been able to locate her.

MrMcJay:
What I'll advise you to do is to try to locate where she now lives or works. Then write a petition for Malicious damage, fraud and stealing and send it to the Police. It is preferable that you get the Police to arrest her at her new workplace or home and put her in handcuffs. Let this be done on a Friday afternoon.

By the time she spends the weekend in Police custody and wakes up on Monday, it is either she makes arrangements to pay in full or she is charged to court and remanded in Prison custody. Even if she makes bail, she can't complete the terms in 48 hours and she would taste prison.

For a sample KYC form, I have attached a Docx document to this post, if possible, you can download it and use. In addition, I suggest you request for the contact details of the previous landlord of each prospective tenant and talk to such landlord before letting your house to a prospective tenant.

ojesymsym:
Maybe you can enter any bank website and download their account opening form, you can then tweak to fit a real estate KYC.
Banks seem to know how to profile people very well.

Many thanks for the advice.

ojesymsym:
Magodo That means ideally, such a tenant should be a relatively high income bracket and should be able to pay yet they choose the option of bypassing. So it is not about the person's income but the personality of the person renting the house .

You are 100 percent correct. That is why I intend to do a full Know your customer "KYC" checks before I rent to one of the prospective tenants showing interest.
Unfortunately for me, all the professionals involved when the house was rented to my former tenants, did not do any KYC checks at all. The old tenant apparently absconded three weeks before the end of her tenancy and I have not been able to locate her.

You are welcome

Sholapey:
Oh my God! Some tenants are terribly wicked. Okay, I will send someone to inspect mine too because I don't trust these tenants they can do and undo...thanks for the information.

No I did not. I thought I would be okay as well with the prepaid meter until the Ikeja electric Vigilance team visited my property and discovered the woman had tampered with the prepaid meter.

It may be wise to ask an experienced electrician to check for you first and then decide on what to do in case any of your tenants is involved in illegal connections or power theft. If you invite a proper NEPA worker from their office, the light will most likely be disconnected from the pole and heavy fine issued. I didn't have that opportunity before my tenant was caught and 945K naira billed as loss of revenue

Sholapey:
Wow! I thought am safe with the prepaid meter installed in all my properties. Did you call a nepa official to inspect the tenants prepaid meters or an electrician?

Good morning my big Oga Mr McJay.
I have to agree with you o, that it is more sensible and wise just to waive the two months rent for the sake of peace and to get rid of a bad tenant. Tenants just need to know that legally any additional time spent needs to be paid for in full.

I will be grateful if you or any of our big Ogas and Madams in the house has a Know your Customer "KYC" template for prospective tenant, that can be shared. Landlords among us should please regularly inspect the meters in their properties to ensure there is no illegal or "bypass" connection. My tenant in Magodo absconded and left me a bill of 945 thousand naira (yes just under 1M naira on a prepaid meter o!!!) to pay, when she was caught by the Ikeja Electric Vigilance team. She did not pay even one kobo for electricity over the preceeding 4 months. She had apparently engaged someone to tamper with the prepaid meter as electricity supplied was not being read by the meter. The property was charged 150K per month, for 6 months as loss of revenue plus 45K as VAT. My case is still unresolved and with the NERC regulator

MrMcJay:
I'm advising that he cuts his losses and moves on. If you decide to bring an action to recover unpaid rent and recover possession, how much would you spend on legal fees and for how long are you ready to drag it?
Now, calculate her unpaid rent for 2 months and decide which is easier to forgo.

Bad tenants can ruin an otherwise profitable investment. I have a client who is selling his 13 units of terraced duplexes at Magodo just because of tenants wahala. Prospective tenants are willing to pay 4M per year per duplex but he has refused, he's stuck to selling.

But why reward bad behaviour with free rent since her legal tenancy is expiring tomorrow. Yes, while I will advise that the requested two months is granted to the difficult lady tenant for the sake of peace, she should pay for those two months as well. She is not entitled to any free lunch from her landlord now. Tenants should be made aware in very clear terms that extention of tenancy in whatever disguise should not equate to free rent.

MrMcJay:
You can grant her request. But to ensure no games, you can ask her to write something like.

I ______ hereby undertake that in consideration of the landlord forfeiting 2 months rent for the aforedescribed property, I hereby undertake to to vacate the __bedroom apartment located at ___.

In further consideration of the ___, I further undertake to forfeit and forgo all legal and equitable rights to tenancy and possession held by me over the property and covenant that I be be be held liable for fraudulent misrepresentation and criminal proceedings upon my failure to vacate and give up my possession of the aforedescribed property on the covenanted date.

Dated this _______ day of ____ 2020.

It's a random writing from my head but it would suffice. If she refuses to sign, she's not ready to leave.

cybertek:
Just logged in now using app

Many thanks. Just logged in successfully as well after I saw your message.

rOsy247:
Is there anyone finding it difficult to log into their stanbic mutual fund account or its just me

Good morning guys. Just wondering if anyone has any update on stanbic mutual fund on line platform. I am still not able to log on into my Stanbic mutual fund accounts. Many thanks

gabby18:
Please does anyone know what the current Stanbic MMF rate is
Thanks..

About 6.66% if I am not mistaken

creategist:
Please how do you check this rate? Thanks.

By dividing the interest earned in one day (x) by the principal amount (y) multiple by 100 and multiply by 366 (leap year). X/y x100x366

seunnuga:
Please how does one fund his stanbic dollar funds? ... My account officer also kind of discouraged me that it's difficult to fund it.. but people find a way out

Stanbic IBTC account number to fund the Stanbic IBTC Dollar Fund is 0034131849. There is a charge of about 20 dollars if someone makes the transfer via the Standard Chartered account

veron007:
What's the average interest rate for this dollar funds?

About 5.3% based on the interest I received yesterday

incogni2o:
Pls what is the difference between Primary and secondary market.

I just missed 31st June bidding. Can I do secondary Market?

Haba my bother, try to read earlier pages now. Primary and secondary TB markets extensively explained before.

Primary market usually available every 2 weeks but with little distortion. Secondary market available to buy anytime based on your bank's availability.

First bank secondary market for today has 244days at 10.25%. Also 321 days @ 10.20%