₦airaland Forum

LeeCodeman:
I had told the lady in charge of TB at Stanbic IBTC, Ikate branch to do a 365 days for 500k for me since late June. She said she would check and get back to me. When she didnt get back to me, I went there on 6 July only to have her say that it was successfu yesterday (5 July) and I would be debited that day. I wasn't but could not go because of the busy nature of my job. Finally went there two days ago and she said it was successful and doesnt know why I was not debited. Went again yesterday and she said there is no response yet. Just now, I got this alert:

"A debit of NGN419028.77 occurred on your A/C XXXXXX1874. Date:16-08-2017 at 16:44. Details: 05 JUL 2018 TBIL PUR . Balance:NGN81078.19"

Questons:
1. Is this kind of (bad) behaviour common with Stanbic?
2. What rate is this? Looks quite low on the surface.
3. What's your advice to me going forward?

The rate you got maybe around 18% it is likely that they forgot to do treat your investment on that 5 of July too. Somehow its difficult yo explain those things because nobody would want to be held responsible so they just look for what is available @ d secondary market that corresponds with your initial request. It is likely the investment is about 323 days. all you have to do is to collect find time and collect your proof/certificate of investment from the branch you did it you will see the whole analysis there.

C4Ltd:
there's tenors: 85 64 43 50 29 even 15

I have a question: what's special about primary market? how's it better than secondary? is it because of tenor?

In banks/investment houses that are their own custodian like FBN, you can roll over your TB for same tenure though @ the prevailing market rate.. Meaning you can do either 91,182 or 364 day investment and direct them to rollover @ maturity. The benefit of this is that:
1) you will not loose one day in between maturity date and new reinvestment date if you are OK with the rate.
2) it helps in compounding interest for those who wish to by instructing them to rollover with interest thereby saving the time and energy for calculation and writing new request for reinvestment of interest.

Also, before the CBN 50M policy, Knowledgeable investors could bid for themselves. Infact their bids sometime get more successful ahead of the Bank's through which they invest.
Some peoples investment is targeted @ achieving the whole tenure...in the secondary market it difficult to get a complete tenure especially for 364.

Ovie2011:
Would my account be credited back since there won't 364 days because I am thinking of going to the bank to inform them about it so that I am not given anything less like that of 91 or 182 days because that doesn't interest me.

Definitely, if not they will still call to tell you about available options.

Ovie2011:
Hello house,
I was in first bank last Monday to apply for treasury bills but I was told that they don't do secondary market there but later told me it can be done but was not successful. Today I got a debit alert for TB 364days and I read that there won't be 364days this week. How come I was debited for 364days. I am confused, is that a mistake from the bank or what?

Like said above, It's most likely a mistake or lack of information by the officer in that branch. Some branches are more clueless than others. He may not be knowledgeable about the running of secondary market. Was in Wuse market branch of FBN in Abuja for some TB sec market transaction. The guy I met as in charge there was very clueless .I.e In most FBN branches I operate, there just open the platform & tell me what's available but for him he said he will have to call some1 and see...not that the platform was bad ooo.

Another thing is that information might not have gotten down to the officer in the branch that attended to you. Mayb he deducted it in anticipation that there'll be 364days auction.

NoQualms1:
I have been trying to fund my MMF account using my Stanbic IBTC mobile app but I've not been successful. Can someone please put me through?

cc: ernie4life

I have done that severally without issues. For you to fund MMF account via ur mobile app
1. Be sure u are in a very strong network area.
2. select subscription.
3.select the account u want to fund if u av more than one.
4. choose amount and send it will take you to another another online payment platform... select pay there.
5. choose method I use my ATM...MasterCard..so I choose it...
6. Enter your MasterCard details...
7. send...

and you will receive a debit alert.

wellsaid:
Good evening to u all. I have been following this wonderful thread for quite a while and I must say I appreciate the efforts of gurus in order to make this thread one f financial enlightenment.

Please I have a question, as regards purchasing of TBILLs either in the primary or secondary market, can u put DIAMOND BANK on the same level with STANBIC and FIRST BANK? I use DIAMOND BANK but I see that stanbic and First bank happen to be the most recommended banks for TBILLs here.

If DIAMOND is good to go, I think I will start investing in TBILLS right away.

A lot have been said but if you want more review..I will let you know that I have done TB with FirstBank, Stanbic,GTB, Sterlin and Diamond. The worst of all I have used is Diamond. Stanbic is the best but I like FBN because of their ability to help you roll over investment @maturity if you choose that option when investing.

GTB and Sterlin are just OK. @ least you now know. In Diamond if you want to do FIxed Deposit you be told to open a HIDA account instead later you will be told you can no longer withdraw money from that HIDA account unless you open another diamond account to transfer the money to. They will frustrate your primary market bid and give you secondary market rate that is almost equal to other bank's Fixed Deposit rate.

Glowoak:
Good day house. Is it possible to have an interest ridiculously less than the calculated after purchase of treasury bill. Eg 500k TB purchased for 91 days tenor yielding #450 only?

I am not certain what your problem might be as you will only be sure when you visit the bank you invested. However, if your investment was done through first bank it is likely that you requested for the interested to be reinvested with principal. Treasury Bill investment is done in thousand hence if there is a few hundreds on your intended investment funds it it sent bank so that might be what u saw. If not 500k investment for 91days even @ 13% it should nt less than 16k.

PhilJames:
Please is there 120days tenor? if yes, what is the rate?. and how much interest would 500k yield?

The tenor usually auctioned in primary market is 91,182 & 364 days but if you are lucky, you can get that exact days or something close in the secondary market. The rate available is given to you by the financial institution you invest with/through.

klas:
I thought Suntrust ceased to be a PMI when it was granted commercial banking license in 2015 or thereabouts. Same with Providus Bank.

Did you check the website that he referred you to?

Thanks, you just inform me about their change of status. I did not check ...I do not have a need to.

Viking007:
You can visit our website @ www.suntrustng.com for more information.

Na that PMI you the talk about so? Abeg carry this stuff go property thread na there you go fit find people wey want collect housing loan from FMB abi people wey collect loan for building project.

Abi una d do more?

Investnow2017:
Thanks, but is there no difference between:

1) investing the principal+interest at once.

2) investing the principal and re-invest the interest separately at the same rate and tenor probably the next day or same day?

Why i ask is because when you reinvest the interest separately you stand the chance of receiving the discount of the reinvested interest whereas you get the interest at maturity with Type 1 investment method. So the question is which yields better of the two methods?

Help, i will appreciate your clarification please.

Investment Type 1 (Taking the discount at maturity)

Investment Type 2 (Taking the discount Upfront) and reinvesting the interest separately at same rate and tenor.

Will both types yield the same returns? Do you apply the same formula?

Please help clarify.

I do not know the formula or how to calculate reinvestment with.. So I may not get the exact amount of interest but investing with interest sure has more than collecting your interest upfront. I will give example: I know someone that invested N516,000 in TB primary market for 182days(02/03/2017 - 31/08/2017) through FBN @ 17.05%. After the deduction for charges and VAT with a refund of the remaining amount that didnt make up to a thousand back to his account, He is getting back N563,000 back at maturity on that 31st because he invested principal with interest.
That means he is getting N47,000 as interest instead of about N43,000

Fm4real06:
Okay... so it means my money is safe. Although i wish there was 30days tenor. That would av been better.

Though there is no investment without risk but If its about Safety...TB is about Nigeria's safest investment. If that's the timeframe you could afford then contact your bank or investment house. You may be lucky to find it in the secondary market. However if you can afford more time do not worry about the safety....At this particular period the longer the tenor the more profitable it is.

Fm4real06:
Like hw many times have u done treasury bills and received your money on the maturity date?

I can't quite remember but I have done lots of it...
Infact the one I invest in primary market on January 18th for 182days through GTB matured and the alert was came in before woke up this morning July 20th.

Fm4real06:
Please we need to also let people know about the charges involved if u want to liquidate your treasury bills before maturity date. Although it's not advisible to liquidate b4 maturity but one needs to know the penal charges involved.

I heard part of your interest will be forfeited at a rediscount rate.

Tony56
Freeman67 and co should explain more.

On your request to liquidate TB investment, your bank or investment house will either sell it to an intending buyer at the secondary market or absorb it if they have the cash at their disposal and willing to buy.


Note that charges is dependent on the financial institution you used.

However, either they decided to charge you or not you will not get your complete cash back again because you already got part of your money as interest upfront depending on the time of liquidation.

Also in your certificate, confirmation or proof of investment for first bank it is written below the charges that " in the event that you have to liquidate your investment prior to maturity date a penal charge will be applied based on the prevalent rediscount rate". For Stanbic it is not usually written but I believe on request you will be notified on the conditions before execution.

Personally I have never liquidated before maturity. I try as best as I can to measure my duration and other need for money before investment.

StanbicIBTC *909# GTB *737#

please house let us note that if investment is done through primary market.. Interest is paid after settlement. Settlement is mostly done on Thursday preceding the auction Wednesday. For those Using First Bank always be sure of the option you choose; try and remember if you ticked for you interest to be reinvest with your principal or not to avoid unnecessary anxiety..

For those complaining they do not know the rate given to them kindly go to your bank on Friday or mail them to send you your proof of investment. That way you will know the exact rate you are given and what is deducted ad commission by your bank.

magoo10:
The Efcc has a lot of job fishing out corrupt elements in these institutions, but because the Nigerian govt decide to build strong men rather than strong institutions, the fight against corruption will continue to be a mirage. what we have is political officials everywhere.
there is little hope for Nigeria.

If that is corruption then the right agency to do the Job is ICPC..EFCC from their name and mandate is not to tackle corruption but financial crime. Going by the report, the offence there does not seem to be pocketing the money but anyhow spending. Its high time we started differentiating between corruption and stealing/embezzlement of public funds. Though both are related as corruption could lead to financial crime or as the corruption could be used as a mean for embezzlement or financial crime but there are not the same. I believe the government that created the two agencies knew exactly what they were doing.

ihedioramma:
Freeman67 how true is this ? .

Sorry pastor, I am not too vast in calculation/account I just know a little to calculate either 91,182 or 360 days and that's all.

Alikote:
the only time they can use your money as their credit balance is when it matures and is return to your accounts under their leger

example ur tb matured next month then skye bank collapse today it doesnt concern you cbn(liquidator) will ask you to provide new account for onward payment

2 if your tb matures tomorrow and by morning the investment hit your account from their onward the risk is on you not cbn a split second counts if the bank collapse with time difference of one second from credit alert u and your bank carry the risk

3.treasury bill is more than 40 year old no history of default by cbn and Nigeria...even in the 90 with all those wonder banks ..example Savannah bank we where still paid just 7 days late even the 7 days cbn paid interest at market rate

Wow... This is the real experience...

alezzy13:
Fixed deposit have been condemned and demonized on this thread, and I dont think its fair. Banks need money to survive and pay their workers.

If everyone stopped maintaining fixed deposits what would happen to banks? I'm not sure we want to see another round of retrenchment into the already supersaturated labour market.

My sister used to work for one these banks, and I know the kind of intense pressure they face to meet their targets.

BTW wouldn't consider myself a guru, just an opinion based on my understanding.

Banks do lots of other businesses other than just fixed deposits. They lend customers money to investors and business at a very high interest rates and most times nothing or next to nothing is paid back to their customers instead they keep charging customers for even services that are meant to be complementary.

They sponsor show and invest in idea to make profit.

They do forex deals...Most times apart from doing it legitimately which would have still earn them profit, they divert forex that are meant to be sold to customers at considerably/government approved rates to black market to make more profit without considering their customers.

They also give loan and salary advance to their customers and charge them for. They make money from this too.

They invest customers money in the same TB we are talking about(mind you not up to 20% of their customers does TB a lot of customers leave their monies in savings account and in most time they invest it.), Bond, commercial papers and other instruments that could give them money.

They do all those and more to get money.. even at that a lot of people are still doing the fixed deposit. People do it as short time investment.. rumor has it that top government officials most times will just fix their organizations money just to make something out of it. They can never use such money for TB and no matter how enlighten people become, they will always be people that will do fixed deposit.

So you see banks will always have their ways of making money. so just don't be scared that we are trying to make a little something for yourself. Banks no go chop all.

iluminati:
The profit is too small na. i rather put the money in MMM and get 300k per month plus 100k referral bonus. total 400k

OK then just go quietly to ur MMM thread and leave us alone here. Thank you.

fordunit:
Investors Only!

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We are looking for only 50+/- people to join us as venture capitalist investors who will own an equity stake. You can use the whatsapp link below to join the whatsapp group where details of the program, what is in it for you, what stage we are now, including the strategy for sale and revenue generation will be discussed. When you join, please be patient until we are satisfied with the numbers before we commence the meeting.

Kindly add 08066116166 to whatsapp and ask me to add you to the group.

Here is the group link please

Waiting for you...

Ford.

Chibuking is that you again?

iluminati:
if i invest 1,000,000 for 6 months how much will i get on treasury bill?

It depends on the rate you get. Average 182 days rate these days revolve around 17% So you should about N85,000.

jamace:
I have not seen mine. Probably, there is selective payment. I have done eDiv and it is with them. I know this because my dried bones shares with Firstregistrars have been approved by NIBSS but my living stocks are not approved and dividends are not paid. I check my PO box every week. Nothing.

Oga if you are really sure of the number of shares you had before the bonus were given...And also sure your broker has not done anything funny then ask your broker to send you CSCS statement. Even if it is not added to your share account with your broker it will be in your CSCS account.

Fm4real06:
Okay.. 2weeks its a long time. I thought they would debit u within 3-5days after your application.

Its like some pple have decided to tie themselves to one bank. Personally I open account with any bank that align with my interest. Even back then when I do term deposit I could open an account just because a bank rate is like 1 or 2% higher... I already have accounts in both GT, Stanbic and FBN before I started TB. I had the requirement to open when I did and it was @ no cost for..

Except you request to invest in Primary Auction it not Secondary doesn't take more than a day or two depending your discussion with the bank. I f you have accounts with different banks so long as it isn't for fraud no issue. You can contact all your banks to see who has what and you make choice quietly then transfer your funds there if need be instead of allowing yourself to be boxed into a corner by a particular bank.

Wiseandtrue:
Okay ooooo. So where is it located
Because I must tell you that I have never heard or seen one

I know of Sterling which is also a non interest bank but Jaiz

And just one bank involved at Federal Government level My Dear no matter the bank, it's doesn't look so good

Telling the masses that other banks will soon join or ALL are having interswitch problems Please even the birds won't fly that. Jeez.

It depends on where you are. Standard Chartered is a popular bank but I am not sure its everybody all over Nigeria that knows abt it. Jaiz Bank has a Branch opp Wuse Market Abuja. They also have a branch in the same plaza/building with MTN in Gwarinpa.

Fm4real06:
Please i need answer to dis question. Thanks..

There is always penalty if you terminate early before maturity. Its there in either Time/Term Deposit, Mutual Fund or TB. The penalty in most times is from the interest and it is also dependent on the bank or institution. for example If you fix money in Stanbic IBTC for 30 day and you want to terminate after 5 days you may no get anything as interest whereas in GT some %age (10 or 20%)of the interest for that 5 days is taken as penalty. In Stanbic Mutual Funds interest is paid out on quarterly basis if you want to withdraw before 30 days there is certain %age as penalty from interest but what makes that of TB somehow different is that;( 1) Most times you have already collected your interest upfront if you have already spent it before terminating early there is no way that money money will be complete in your hand again.
(2) Most times before you are refunded, your TB has to be sold to another buyer in the secondary market depending on how urgent you need; it could be sold at a lesser %age in which case your money may not be complete except if the bank has the need and want to absorb your at the same rate..
So its not as if there is a stated penalty per se.. but some times breaching a contract comes with it own effect.

bigW:
Please can you help talk on mutual funds, is it wise to invest in it? especially for stanbic ibtc..

For Mutual Fund discussion visit...https://www.nairaland.com/1912965/mutual-funds

Tohsynetita1:
Can't we have a large platform like telegram or whatsap group for treasury bill related stuff

I believe here is fine, even pple visiting the thread for the first time are able to see, learn and benefit from it. So there won't be any need for other Whatsapp group. If you have any question or contribution, it could be treated here. Cheers

vazsily:
Pls if I may: what will be the tenor for a NTB bought in February for 180 days? Also if the maturity falls during the weekend does the bank credit you or wait till week days?

Your question is somehow confusing... but If you actually meant Tenor then you have to know (for the primary market) the exact date (Thursday) in the auction week you subscribed in February or (the Secondary Market) the exact date your request took effect in that February then you can count the days from then to get 182.

If what you meant is a the rate..., Is your investment still running or has not yet mature? if yes, you can ask the bank or the investment house you used to give you a certificate or proof of investment there you will see the rate the bank gave you.

For your second question, treasury maturity never falls on weekend. It always mature weekdays ; precisely Thursdays.

cutiereborn:
Good morning guys. I have been a silent follower of this thread for a while. Very informative. Kudos to all.
My question, I went first bank to invest since I bank with them and was told the next bid is in 2weeks time. How true is this as the lady Suggested I use fixed deposit instead of allowing the funds to lay idle.
Please when is the next bid and how soon can I approach the bank to invest as the funds is lying idle on my account.
Thanks guys.

The next auction should be on the 5th/6th of July which is next week. Since you are silent follower you would have just screengrab/screenshot the TB 3rd calendar when someone posted it some days back. Since you use First Bank, You will have to put in your request today or tomorrow before next week if not on Monday you will be told it's already late. Do not pay attention to the lady telling you to go for their Fixed Deposit it is for her own personal benefit.

You can also request to purchase from their secondary market if they have. Depending on the city you are and branch convenient for you. Some of their staff will tell you different stories to make you go for fixed why some others are just plain clueless. If you are in Abuja Check Asokoro,Kumasi House,Bannex, shippers plaza branch Zone 5 and Kubwa branch. Those are the branches that I have successfully death with. Wuse Market and Gwarimpa branch are those I tried but were clueless on it.

Yungbitz:
Does Stanbic bank offer certificate for treasury bills bought from them?

Yes I am very sure they issue both hard and electronic copy mostly on request.

For all this bull run nothing touch Evans medical...?