Press release

4 December 2014

The National Deposit Insurance Fund (NDIF) is starting the indemnification of the depositors of Széchenyi István Credit Union on 5 December, and will finish the process within 20 working days. The customers of the credit union can be entitled to the forint equivalent of maximum EUR 100,000 (maximum HUF 30,688,000) per person, independent of whether they are individual or corporate customers.

Tomorrow NDIF will start the indemnification of the depositors of Széchenyi István Credit Union, and will finish the process within 20 working days, by 7 January 2015 at the latest, after the court ruling about the liquidation of the credit union was published in the Corporate Gazette (Cégközlöny) on 4 December 2014. The Central Bank of Hungary (MNB) revoked the operating licence of the Zalaegerszeg based credit union on 6 November, and it also appointed supervisory commissioners who recommended the liquidation of the credit union following the assessment of its financial standing.

Depositors do not need to take any action in order to receive their compensation. NDIF will automatically start the indemnification process, and will notify the depositors about the amount they are entitled to and about the process of indemnification by post.

In the case of private individuals NDIF will use three channels to complete the indemnification process as soon as possible:

§ up to HUF 2.5 million – through a postal order

In the case of private individuals whose indemnity does not exceed HUF 2.5 million, the amount of indemnification will be paid through a postal order. Within this group, up to HUF 100,000 the postal delivery person will deliver the amount of indemnification to the depositor’s address.

§ between HUF 2.5 million and HUF 5 million – with an NDIF Deposit Insurance Card

Depositors will receive the card, the relevant PIN code and the payment report in three separate letters delivered by post to their permanent residential addresses. Depositors can withdraw their indemnities in any OTP Bank branch, at cash machines (ATMs) or at post office POS terminals after they activate their cards.

§ over HUF 5 million – with the involvement of Takarékbank (acting as a paying agent bank)

Private individuals whose indemnity entitlement exceeds HUF 5 million net (after the deduction of the tax on interest income) can make arrangements regarding the amount of indemnification they are eligible for (deposits, transfers or cash withdrawal) in the cooperative savings bank branch specified in the letter received from NDIF.

Customers that are required to open cash accounts (legal entities, businesses, private entrepreneurs and other organisations) will be notified by NDIF by post independent of their entitlements, and NDIF will specify the savings bank branch in which they can receive the money they are entitled to.

NDIF will post a detailed announcement on its website ( about the indemnification process. The announcement will also be published in the dailies Magyar Nemzet, Népszabadság, Zalai Hírlap and the weekend issue of Kisalföld, and will be displayed in the branches of Széchenyi István Credit Union. NDIF’s customer service telephone number (40-918-918) will be operational day and night until the end of the indemnification procedure. Calls will be charged at a discount rate.