11 December 2014
Today the National Deposit Insurance Fund (NDIF) is also starting the indemnification of the depositors of Tisza Cooperative Savings Bank, and will finish the process within 20 working days. The customers of the savings bank can be entitled to the forint equivalent of maximum EUR 100,000 (maximum HUF 30,705,000) per person, independent of whether they are individual or corporate customers. Meanwhile, the ongoing payout processes of Széchenyi István Credit Union and Széchenyi Commercial Bank affect a total of 4,043 customers. In the three parallel indemnification processes NDIF must pay out nearly HUF 31.5 billion. NDIF has the resources required for fast payouts.
Tisza Cooperative Savings Bank: indemnification to start
Today NDIF is starting the indemnification of the depositors of Tisza Cooperative Savings Bank, and will finish the process within 20 working days, by 13 January 2015 at the latest, after the Central Bank of Hungary ordered the liquidation of the savings bank yesterday.
“Similarly to the previous cases of indemnification, depositors of Tisza Cooperative Savings Bank do not need to take any action in connection with the indemnification process. They will automatically be indemnified by NDIF. In order to provide those affected with accurate information, NDIF will launch a new customer portal too on its website, with the help of which depositors will soon be able to track the indemnification process, print out their payment reports and obtain further important information,” Managing Director of NDIF András Fekete-Győr said.
In the case of private individuals NDIF uses three channels to complete the indemnification process as soon as possible:
§ between HUF 100,000 and HUF 2.5 million the postal delivery person will deliver the depositor a notification which will specify the post office where he/she can receive the amount of indemnification he/she is eligible for. 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 through an NDIF Deposit Insurance Card. The depositors will receive the PIN code necessary for using the card, the letter containing the card, and the payment report in three separate deliveries sent to their permanent addresses by “return receipt requested” delivery. You can use the card to withdraw the amount you are entitled to at any OTP Bank cash machine (the daily limit is maximum HUF 800,000) or in a lump sum in an OTP branch or at a post office.
§ over HUF 5 million customers can make further arrangements about the amounts they are entitled to in person (depositing, transferring or withdrawing the money), in the OTP branch of their choice.
Independent of the amounts concerned, legal entities, other organisations and private entrepreneurs can receive the amounts of indemnification they are entitled to after receiving the payment report and the attached information letter sent by post, in the OTP Bank branch of their choice.
Széchenyi István Credit Union: NDIF to pay HUF 8.9 billion
NDIF will pay a total of HUF 8.9 billion to 2,705 depositors of Széchenyi István Credit Union (hereinafter: Credit Union). 74% of the depositors are private individuals, and the average deposit size is HUF 3.2 million.
Total insured deposit stock of the Credit Union (interest+principal):
HUF 8.947 billion
including the indemnification obligation of NDIF (for interest+principal) up to the HUF equivalent of EUR 100,000 (HUF 30,688,000) (including frozen deposits):
HUF 8.917 billion
Number of insured depositors eligible for indemnification: 2,705
§ Private individuals: 1,991
§ Businesses, social organisations (ltds, limited partnerships, associations, self-employed people, churches, etc.): 692
§ Communities with shared property: 22
In the case of the Credit Union the number of depositors whose deposits exceed the indemnification limit of HUF 30,688,000 is 5 (with non-refundable deposits totalling HUF 16.58 million).
In the case of the Credit Union the largest deposit share that exceeds the payout limit and is not insured by NDIF is HUF 364,000 for a private individual, and HUF 10 million for a legal entity.
Széchenyi Commercial Bank: HUF 14 billion worth pay-outs
The indemnification of Széchenyi Commercial Bank (Széchenyi Kereskedelmi Bank, hereinafter: Széchenyi Bank) affects 1,338 customers in the amount of HUF 14 billion. In the case of Széchenyi Bank 77% of the affected customers are private individuals. The average deposit size is HUF 13.7 million (the national average is HUF 1.2 million).
In the case of Széchenyi Bank the number of depositors whose deposits exceed the indemnification limit of HUF 30,705,000 is 107 (with non-refundable deposits totalling HUF 7.4 billion).
Total insured deposit stock of the Széchenyi Bank (interest+principal):
HUF 21.415 billion
including the indemnification obligation of NDIF (for interest+principal) up to the HUF equivalent of EUR 100,000 (HUF 30,705,000) (including frozen deposits):
HUF 13.957 billion
Number of insured depositors eligible for indemnification at Széchenyi Bank: 1,338
§ Private individuals: 1,033
§ Businesses, social organisations (ltds, limited partnerships, associations, self-employed people, churches, etc.): 305
In the case of Széchenyi Commercial Bank the largest deposit share that exceeds the payout limit and is not insured by NDIF is HUF 826,000,000 for a private individual, and HUF 638 million for a legal entity.
Information on indemnification by NDIF is available from NDIF’s customer service by calling the 06-40-918-918 blue number for local tariffs. The number is operational 24 hours a day during the entire indemnification process.