₦airaland Forum

40manlappy:
Bro, you have got mail!

Please share your points in this forum so that others will learn. ....

Hope you understand

Thanks..

ukay2:
Please share your points in this forum so that others will learn. ....

Hope you understand

Thanks..

It's not about sharing anything bro. I always share my thoughts here.

PMed you because I need that your head office contact @Stanbic and I won't expect you to share such an information here.

Cheers

If you are in Lag just enter their head office at Walter Carrington. Demand to see their head boss with a valid reason when you arrive, if the person is on seat they will just call him/her for you. Their Oga's are readily accessible unlike other useless banks where they tell you Oga no dey.

At Stanbic Oga is mostly around.

40manlappy:
It's not about sharing anything bro. I always share my thoughts here.

PMed you because I need that your head office contact @Stanbic and I won't expect you to share such an information here.

Cheers

@MrTour: Thanks for your response. I am not in Lagos. I actually have the contacts of their people in my location.

In Stanbic, you have about 10 mins to accept or reject secondary market offers for Tbills.

So I thought that having a head office contact could give me more leverage in this new TB "regime". Not a big deal though

Guys pls enlighten me on what could be happening with GTB TB calculations, Feb 15th auction I submitted a bid of 18.12% for 364 days, CBN stop rate was 18.4495% so I won the bid but from my calculations GTB gave me rate of about 17.95%

18.12% - 17.95% = 0.17%. I lost 43,010 Naira

For yesterday's auction March 16th I asked them to use their stop rate cos of this new 50m stuff, they debited me today and gave me breakdown that they did 18% 364 days for me in secondary market. Again from my calculations the rate they gave me comes down to 17.95% or so instead of the 18% they quoted for me, on this one I lost 10,860 Naira

In both cases they debited their fees/charges etc in 2 different transactions and I considered all that in my calculations but the more I calculate it the less I understand

My mentor just dropped a timely article on Treasury Bills.

Read up, you will be glad you did.

http://www.financialfreedominspiration.com/invest-treasury-bills-low-funds/

iamoasa:
Guys pls enlighten me on what could be happening with GTB TB calculations, Feb 15th auction I submitted a bid of 18.12% for 364 days, CBN stop rate was 18.4495% so I won the bid but from my calculations GTB gave me rate of about 17.95%

18.12% - 17.95% = 0.17%. I lost 43,010 Naira

For yesterday's auction March 16th I asked them to use their stop rate cos of this new 50m stuff, they debited me today and gave me breakdown that they did 18% 364 days for me in secondary market. Again from my calculations the rate they gave me comes down to 17.95% or so instead of the 18% they quoted for me, on this one I lost 10,860 Naira

In both cases they debited their fees/charges etc in 2 different transactions and I considered all that in my calculations but the more I calculate it the less I understand

You may not be calculating their charges accurately. I've used the spreadsheet at the bottom of the post in the link below and it somewhat gave me an accurate calculation using GTB rates.
http://www.iwilltalk.com/investing-in-treasury-bills-in-nigeria/

NL1960:
Would you rather then do the FG Savings Bonds of 2 years at 13.01%?.

Where was it suggested in the part you highlighted that FGNSB at 13.01% is preferred.
I was only pointing out that it is strange they went to the same rate twice when they could obviously had gone higher. Could it be internal manipulation to sell their own rate in the guise of primary bid?
Can you contemplate an answer to this?

sanerugwei:
I gathered that GTB rate was 18% same as they did two weeks ago.
I wonder if they have an auto-robot that does it for them. 18% against 18.558% CBN rate is quite low, unless they are profiting from selling low rates to their customers who went with their bank rate.

Let us see what other banks like IBTC and FirstBank got for theirs.

sanerugwei:
Where was it suggested in the part you highlighted that FGNSB at 13.01% is preferred.
I was only pointing out that it is strange they went to the same rate twice when they could obviously had gone higher. Could it be internal manipulation to sell their own rate in the guise of primary bid?
Can you contemplate an answer to this?

With this new rule by DMO, you cannot rule out manipulation from the Banks if you do not have 50m. The Banks will want to use this new rule to make money. Do not forget that the Banks are really not happy that individuals are investing in NTB because it robs them of some great profit that they make using Demand Deposits (DD) money and Term Deposit money of customers. Moreover, NTB are not taxable. So Banks that are heavily invested in NTBs make a huge profit which is not taxable in their year end result. Check out the profit of the likes of GTB and Zenith and the dividend paid and the tax paid on the profit.

So, if DMO is trying to reduce this by that policy, the option is whether to take what rate the bank offers you or take DMO rate or take Term Deposit rate. That is why i asked if you will prefer the 13.01% FGNSB to the 18% or whatever is offered by the Bank. As for me, iam ready to take a Bank rate that is higher than FGNSB rate of 13.01. In addition, i do not think i want to even tie down my funds for 2 years.

Got gtb 365 on 18%

feelamong:
Do well to ask her if its YIELD or the DISCOUNT RATE that are the rates quoted?

These people dey learn new tricks daily sha!!

Yea you were right! Just confirmed now, discount rate is 17.3%. Which is still good but they will charge another 1%. Basically is 16.3% for AXA Mansard.

NL1960:
With this new rule by DMO, you cannot rule out manipulation from the Banks if you do not have 50m. The Banks will want to use this new rule to make money. Do not forget that the Banks are really not happy that individuals are investing in NTB because it robs them of some great profit that they make using Demand Deposits (DD) money and Term Deposit money of customers. Moreover, NTB are not taxable. So Banks that are heavily invested in NTBs make a huge profit which is not taxable in their year end result. Check out the profit of the likes of GTB and Zenith and the dividend paid and the tax paid on the profit.

So, if DMO is trying to reduce this by that policy, the option is whether to take what rate the bank offers you or take DMO rate or take Term Deposit rate. That is why i asked if you will prefer the 13.01% FGNSB to the 18% or whatever is offered by the Bank. As for me, iam ready to take a Bank rate that is higher than FGNSB rate of 13.01. In addition, i do not think i want to even tie down my funds for 2 years.

True.
Well said.
The small investors are at the mercy of the banks(shylocks)..

Has anyone been debited by stanbic?

Yes, I have been debited by Stanbic. I bid 18.4 for 364 days with N1m.

I thought it will not go through, but it went. I got the debit alert today. This may mean to say that Stanbic still takes less than N50m from investors, but I do not know their minimum since I tried with N1m and it went through.

trishachi:
Has anyone been debited by stanbic?

Yes I have. I got 13.5% for 91 days.

trishachi:
Has anyone been debited by stanbic?

ukay2:
Am dealing with head office directly.....they are getting the quoted rates from secondary market of today. ....let's see the debit alert and calculate if what I was told above is true...

freeman67:
Then something is wrong somewhere. Maybe the person that is to handle it in his branch forget to send his request to Head Office for processing.

I was debited for my 182-day Tenor bid at Discount-Rate of 16.95%
Not bad if you ask me when compared to the CBN/FGN Stop Rate of 17.2%
Thank you every one!

I got debit alert of 18.3% for 364 days from Stanbic ibtc bank as mentioned earlier

Stanbic is still game, Stanbic is bae

40manlappy:
@MrTour: Thanks for your response. I am not in Lagos. I actually have the contacts of their people in my location.

In Stanbic, you have about 10 mins to accept or reject secondary market offers for Tbills.

So I thought that having a head office contact could give me more leverage in this new TB "regime". Not a big deal though

Yes it is true that you have just ten minutes to accept or reject secondary market offer so they told me severally. That can be done from any branch provided the person in charge of Tbills there knows what to do. Its just to call them at their global market to know what is available at what rate and tenure. That's all. If it is available, in some branches you will be asked to fill the contract forms and leave then it will be taken care of while in other branches if you stay before that ten minutes the advice would be sent to them, they will enter your details into the platform and ask you to go.

In both cases above that I have encountered, the next day I was be debited at the said amount.

However, in other of their branches where they have clueless people they will just be arguing with you ....and mayb telling you that their Secondary Market TB auction is done Twice in a month. They would neither call nor try to profer solution. Especially in their Wuse 2 branch in Abuja but contrary to their statement there, I did invest in another of their branch on Tuesday, the Thursday of of same week the one I did earlier matured and was credited to my account. I went there the next day (Friday)and reinvested it..

munezo:
Stanbic is still game, Stanbic is bae

Its like porting to IBTC "sure pass"
In Saka's voice.. I don port ooo

Yes o

sanerugwei:
Its like porting to IBTC "sure pass"
In Saka's voice.. I don port ooo

pls can someone help me out in understanding about tressure bill. This is my numbers 07039222742

ike8:
pls can someone help me out in understanding about tressure bill. This is my numbers 07039222742

Chief, your best bet is to read through the thread especially page 1 to 5, and also the last 10 pages, then you ask questions to be clarified.. Friendly advice though, posting your number on public forums like this opens you up to scammers! Regards

pls the reinvestment of profit upfront, how does it work?


Is it that instead of my profit been paid upfront it goes together with the capital?


Is the reinvestment for the next auction or the auction specified?

torres2:
pls the reinvestment of profit upfront, how does it work?


Is it that instead of my profit been paid upfront it goes together with the capital?


Is the reinvestment for the next auction or the auction specified?

When you invest in NTB, permit me to assume so you understand better not the real deal..
Let's say you invest 1m for 18% for a 364 days tenure, 18% of 1m gives 180k pry school maths lol, your upfront Interest which is the said 180k is left in your account as your interest (upfront since it's paid at the beginning of your 364 days tenor).. but what is taken from your account is 1m - 180k = 720k, 720k is taken from your account and your interest has been paid already. At the expiration of your 364 days tenor, your account would be credited back with the 1m you originally invested.
In all, you've got #1,180,000 but remember you already got your interest of #180k at the beginning of the investment.

You could use the power of compound interest in your favour by re-investing your profit of 180k. If you bid through first bank there is a column were you could specify if you want your interest to be reinvested or you wait for two weeks for the next auction. Hope this help

N.B: I didn't​ take note of commission fee, safe keeping fee, transfer fee and others for this explanation.
If you ain't cleared refer to the beginning pages of this thread. Regards

Houstency:
When you invest in NTB, permit me to assume so you understand better not the real deal..
Let's say you invest 1m for 18% for a 364 days tenure, 18% of 1m gives 180k pry school maths lol, your upfront Interest which is the said 180k is left in your account as your interest (upfront since it's paid at the beginning of your 364 days tenor).. but what is taken from your account is 1m - 180k = 720k, 720k is taken from your account and your interest has been paid already. At the expiration of your 364 days tenor, your account would be credited back with the 1m you originally invested.
In all, you've got #1,180,000 but remember you already got your interest of #180k at the beginning of the investment.

You could use the power of compound interest in your favour by re-investing your profit of 180k. If you bid through first bank there is a column were you could specify if you want your interest to be reinvested or you wait for two weeks for the next auction. Hope this help

N.B: I didn't​ take note of commission fee, safe keeping fee, transfer fee and others for this explanation.
If you ain't cleared refer to the beginning pages of this thread. Regards

What if you bid higher than the amount in your account, isn't that better than reinvesting the upfront interest.
Eg. I have 825k, I can decide to bid for 1M because at 18% that 180k interest add transactions costs too, they will just deduct that amount or thereabouts.
On maturity, you get credited 1M.

Yeah. This is the best appraoch. But you must have accurately estimated the charges so you dont have insufficient funds at teh end.

sanerugwei:
What if you bid higher than the amount in your account, isn't that better than reinvesting the upfront interest.
Eg. I have 825k, I can decide to bid for 1M because at 18% that 180k interest add transactions costs too, they will just deduct that amount or thereabouts.
On maturity, you get credited 1M.

Houstency:
When you invest in NTB, permit me to assume so you understand better not the real deal..
Let's say you invest 1m for 18% for a 364 days tenure, 18% of 1m gives 180k pry school maths lol, your upfront Interest which is the said 180k is left in your account as your interest (upfront since it's paid at the beginning of your 364 days tenor).. but what is taken from your account is 1m - 180k = 720k, 720k is taken from your account and your interest has been paid already. At the expiration of your 364 days tenor, your account would be credited back with the 1m you originally invested.
In all, you've got #1,180,000 but remember you already got your interest of #180k at the beginning of the investment.

You could use the power of compound interest in your favour by re-investing your profit of 180k. If you bid through first bank there is a column were you could specify if you want your interest to be reinvested or you wait for two weeks for the next auction. Hope this help

N.B: I didn't​ take note of commission fee, safe keeping fee, transfer fee and others for this explanation.
If you ain't cleared refer to the beginning pages of this thread. Regards

Thanks a bunch

so you mean in reinvesting upfront as explained I no longer need to visit a branch during next auction? It is addressed automatically in the next auction?

torres2:
Thanks a bunch

so you mean in reinvesting upfront as explained I no longer need to visit a branch during next auction? It is addressed automatically in the next auction?

For first bank you simply tick the box for your profit to be reinvest but for some banks like Stanbic IBTC, i think you go back in two weeks time to restart the process.

sanerugwei:
What if you bid higher than the amount in your account, isn't that better than reinvesting the upfront interest.
Eg. I have 825k, I can decide to bid for 1M because at 18% that 180k interest add transactions costs too, they will just deduct that amount or thereabouts.
On maturity, you get credited 1M.

It was raised earlier in this thread but someone tried it out in one bank and it didn't work out that way. But that would've been the best way anyways. You could also try it and let us know about your findings.

Houstency:
It was raised earlier in this thread but someone tried it out in one bank and it didn't work out that way. But that would've been the best way anyways. You could also try it and let us know about your findings.

It works.
At least with GTB its acceptable as long as you give leg room for funds to cover all expenses.
In the example, I gave extra 5k for charges, you can as well leave like 20-50k, assuming instead of 18%, they went a bit lower.
So you will still have funds to cover same.
It was easier when you gave your own rate but with the new policy, you cannot but play safer.
But, it works.

yes like some1 stated above... it just a question of you ticking a box in their invested form indicating your interest in reinvesting your interest and the whole amount will be deducted if their bid succeed. GTB would require you calculate and factor the interest inside but the percentage but sometimes getting the exact is usually the issue.