Mpeace :

Bros are you sure? Cos no bank goes beyond CBN's MPR rate fixed at 12% as announced by Sanusi himself some wks bck, lest they run a loss. Personally if a bank offers me 13% on fd presently, I'll take my money and run. Someone is trying to cover a bad loan and balance the books.

Yeah.i am sure.like I said there's been recent change in policies like the cbn increasing the banks CRR(cash reserve ratio) on public funds.this can affect rates but dependent on other factors. Remember 08 and 07 ,rates were as high as 16/17. It's nothing new. Though u have a point but doubt thats the case now considering this recent change in policy.

collinsobinna: Really enjoying passive income from t bills and FD,really helps one grow with compound interest.

@oga elai and feel among:my bank's FD rate is now 13percent possibly due to the CRR implementation,so I m hoping and asking,can T bills possibly hit 20percent.
Cos liquidity seems to be the governments problem at the moment?need Your opinions sirs.

Hope to retire soon from active work.just trading my cash.

13%? ...which bank is dat? am interested

dagr8:
13%? ...which bank is dat? am interested

You should ask him how much he is fixing.

fsb:

You should ask him how much he is fixing.

my bad....may be he shud explain for us to understand

fsb:

You should ask him how much he is fixing.

with the recent increase in Public sector CRR.. very soon am sure we would be seeing rates as high as that!

yesterday a banker friend of mine told that he collected a deposit of N20M for 13%p.a

Tassembly: I read here that firstbank accept 100k minimum to bid, and 1000 after, will they accept 250k in one transaction. I also read fcmb accept minimum of 250k, advice,which is better for those who use both.

Feelamong,anyone here ready to reply me here

Tassembly:

Feelamong,anyone here ready to reply me here

Sorry Boss... really dont use banks so cant talk much about them!

collinsobinna: Really enjoying passive income from t bills and FD,really helps one grow with compound interest.

@oga elai and feel among:my banks FD rate is now 13percent possibly due to the CRR implementation,so I m hoping and asking,can T bills possibly hit 20percent.
Cos liquidity seems to be the governments problem at the moment?need Your opinions sirs.

Hope to retire soon from active work.just trading my cash.

The recent increase in CRR by the CBN is a clear signal to a hiking interest rate scenario which is likely going to have a sustained effect on bond and money markets, for as long as the new measures last. I think T-bill rate will go up as investors will definitely ask for higher interest rates on the money they are lending to the government but I don't think it can get to 20%.

Mpeace :

Bros are you sure? Cos no bank goes beyond CBN's MPR rate fixed at 12% as announced by Sanusi himself some wks bck, lest they run a loss. Personally if a bank offers me 13% on fd presently, I'll take my money and run. Someone is trying to cover a bad loan and balance the books.

I am not surprised if his bank is offering him up to 13% or more. Banks will desperately need to encourage savings in order to improve liquidity by increasing deposit rates. A Bank manager was giving me 15% on fixed deposit some time ago even when the official rate was no where close to 15%. During that period, the bank usually credit me with the official interest rate (less than 15%) while the bank manager pays me the balance to make it 15%. When I asked why the interest payments were not being paid at once, he told me that the official rate was not up to 15% and that the balance was coming from his own pocket. Perhaps he was desperate to meet up with a target or so.

Tassembly: I read here that firstbank accept 100k minimum to bid, and 1000 after, will they accept 250k in one transaction. I also read fcmb accept minimum of 250k, advice,which is better for those who use both.

Yes First bank will accept 250k. I do not use FCMB. For First bank, the only disadvantage is that they only offer 91 days T-bills and usually debit your account with the face value of the bill which means you will have to wait for them to credit you with the interest after the purchase. Also, I don't think you can specify your preferred bid rate with First bank (they give you at their best market bidding rate). So you may want to check with FCMB and if they don't have these disadvantages then you can go with FCMB.

[quote author=Elai147]

Yes First bank will accept 250k. I do not use FCMB. For First bank, the only disadvantage is that they only offer 91 days T-bills and usually debit your account with the face value of the bill which means you will have to wait for them to credit you with the interest after the purchase. Also, I don't think you can specify your preferred bid rate with First bank (they give you at their best market bidding rate). So you may want to check with FCMB and if they don't have these disadvantages then you can go with FCMB.[/quote


Thanks, are you using saving for you tb in firstbank, and also want to know,what will a n i i i ğ ga be making on 250k for the 91days,does it really worth it.

If a bank offers you 13% interest on fixed deposit, its still not up to the rate on TB since your interest on the fixed doposit is still subject to witholding tax(VAT) of 10% of interest. That leave you with a real interest of less than 11.6%.

I don tire for GTB. I left my town to travel to another town to find out about how they can buy treasury bills on my behalf from the primary market and after spending about 1 hour being tossed up and down the guy I meet tells me they have not done any treasury bills transactions recently so he doesn't know much about it but that it is common in lagos.

Which kain thing be this?

[quote author=Tassembly][/quote]

Yes, I am using savings. Actually the interest rates varies for each auction and is usually at CBN's discretion. Using a recent stop rate of 11.60% for a 91-day T-bill, the interest on a N250k investment would be roughly about N7,000. To answer your last question, T-bill is usually enjoyable when huge (or reasonable) capital is involved. The bigger your investment capital, the more interest you earn.

fsb: I don tire for GTB. I left my town to travel to another town to find out about how they can buy treasury bills on my behalf from the primary market and after spending about 1 hour being tossed up and down the guy I meet tells me they have not done any treasury bills transactions recently so he doesn't know much about it but that it is common in lagos.

Which kain thing be this?

Why don't you send them an email instead of wasting your time in the branch. Since I started T-bill investment I have never visited any branch (First bank & Keystone) for its purpose. I always send my instructions via email to them and they carry out the instructions (response time is usually within 24/48 hours). I only send my instructions to their head office and the head office in turn forward my request to my local branch). Sending your instructions directly to the head office makes the response time quicker. Stop stressing yourself going to a branch office because most of the people that will attend to you may not even know about T-bill dealings and may end up giving you wrong information on rates and others. There are specific bank workers that handles Treasury Bills in a bank- not all the workers can help you with the information you require.

Elai147:

Why don't you send them an email instead of wasting your time in the branch. Since I started T-bill investment I have never visited any branch (First bank & Keystone) for its purpose. I always send my instructions via email to them and they carry out the instructions (response time is usually within 24/48 hours). I only send my instructions to their head office and the head office in turn forward my request to my local branch). Sending your instructions directly to the head office makes the response time quicker. Stop stressing yourself going to a branch office because most of the people that will attend to you may not even know about T-bill dealings and may end up giving you wrong information on rates and others. There are specific bank workers that handles Treasury Bills in a bank- not all the workers can help you with the information you require.

@ elai, infact you've been so helpful, is it the first connect mail you send message to, kindly drop email you send message to, also do they offer 24hours customer service like gtb,how long do they close account,i have nt use the bank since 8months now,coz i was thinking of doing online transfer to it but my fear of inactive account error i might get is much .thanks

Elai147:

Why don't you send them an email instead of wasting your time in the branch. Since I started T-bill investment I have never visited any branch (First bank & Keystone) for its purpose. I always send my instructions via email to them and they carry out the instructions (response time is usually within 24/48 hours). I only send my instructions to their head office and the head office in turn forward my request to my local branch). Sending your instructions directly to the head office makes the response time quicker. Stop stressing yourself going to a branch office because most of the people that will attend to you may not even know about T-bill dealings and may end up giving you wrong information on rates and others. There are specific bank workers that handles Treasury Bills in a bank- not all the workers can help you with the information you require.

Brother thanks for the info.

Tassembly:


@ elai, infact you've been so helpful, is it the first connect mail you send message to, kindly drop email you send message to, also do they offer 24hours customer service like gtb,how long do they close account,i have nt use the bank since 8months now,coz i was thinking of doing online transfer to it but my fear of inactive account error i might get is much .thanks

Yes it's FirstContact and they offer 24/7 service. Email is firstcontact@firstbanknigeria.com . You can give them a try.

feelamong:

If you have to move your funds between stocks and Tbills like I do at the shortest notice whiout incurring any COT or the likes then you will appreciate why i use these Discount houses/investment banks...

All I do in banks is just Current account. Opari!! They are never able to give you good investment tips and all they want is just deposits!

Makes sense. I'm considering investing my loose N1m with Kakawa Discount House. Thank you.

Does anyone have any ideas as to when the next treasury bills would be auctioned. Meanwhile CBN has revoked licenses of some discount houses. Hope that doesn't translate to loss of investor funds...

does anyone know how unionbank operate, am banking with firstbank but reading dat they only offer 91days tbills as been discouraging.
Wanna no if unionbank accept 6month dats d only bank close to me again......

This thread has been very helpful... Thank y'all. But i want to ask, do the banks accept petty investments such as 50-70k? Thank you.

Ugosample: This thread has been very helpful... Thank y'all. But i want to ask, do the banks accept petty investments such as 50-70k? Thank you.

Just walk into any Bank of you choice and ask......

9free:
Just walk into any Bank of you choice and ask......

No, they'd rather have you keep that in your savings account so they can invest in tbills.

hardniola: does anyone know how unionbank operate, am banking with firstbank but reading dat they only offer 91days tbills as been discouraging.
Wanna no if unionbank accept 6month dats d only bank close to me again......

I went to a firstbank branch in lagos and got to know they offer all,91days,180days,and 365days.infact my next bid is 365days. Though they gave a paper and wrote 91days,if you don't ask them,they won't tell you. The lady i met just told to to cross the 91 and put whatever days and they will bid. Always ask .

Tassembly:

I went to a firstbank branch in lagos and got to know they offer all,91days,180days,and 365days.infact my next bid is 365days. Though they gave a paper and wrote 91days,if you don't ask them,they won't tell you. The lady i met just told to to cross the 91 and put whatever days and they will bid. Always ask .

Please which particular branch did you go to? Did they also allow you specify your preferred bid rate? Thanks for the info.

Elai147:

Why don't you send them an email instead of wasting your time in the branch. Since I started T-bill investment I have never visited any branch (First bank & Keystone) for its purpose. I always send my instructions via email to them and they carry out the instructions (response time is usually within 24/48 hours). I only send my instructions to their head office and the head office in turn forward my request to my local branch). Sending your instructions directly to the head office makes the response time quicker. Stop stressing yourself going to a branch office because most of the people that will attend to you may not even know about T-bill dealings and may end up giving you wrong information on rates and others. There are specific bank workers that handles Treasury Bills in a bank- not all the workers can help you with the information you require.

Thanks for all the advice. My email to the head office cause wahala for the staff. Was at the bank again today and I saw the manager who demanded to know which staff gave me bad information regarding treasury bills. Thankfully, was able to buy some small amount...

fsb: Does anyone have any ideas as to when the next treasury bills would be auctioned. Meanwhile CBN has revoked licenses of some discount houses. Hope that doesn't translate to loss of investor funds...

My bank said the next auction will be tomorrow 07 Aug, but the T-bill issue program timetable for 2013 posted earlier on this thread by oga feelamong says it's 08 August. Don't know if there has been any recent changes. Please can someone confirm the next auction date...

Elai147:

My bank said the next auction will be tomorrow 07 Aug, but the T-bill issue program timetable for 2013 posted earlier on this thread by oga feelamong says it's 08 August. Don't know if there has been any recent changes. Please can someone confirm the next auction date...

My Bank (FBN) usually demand that I place my bid/ money a day (Tuesdays) before the auction. So I think the auction is on Wednesday and then by Thursday those who were successful will be informed.

Elai147:

You are correct. It is divided by 4 because the 100k interest is per annum.

Its 1,000,000 * 0.10 = 100,000

100,000 / 12 = 8,333.333

8,333.333 * 3 = 25,000

Desanta:


My Bank (FBN) usually demand that I place my bid/ money a day (Tuesdays) before the auction. So I think the auction is on Wednesday and then by Thursday those who were successful will be informed.

Was informed that since Thursday and Friday are holidays, we won't know if we are successful till next week Monday.

fsb: Does anyone have any ideas as to when the next treasury bills would be auctioned. Meanwhile CBN has revoked licenses of some discount houses. Hope that doesn't translate to loss of investor funds...

The next auction will take place tomorrow 7th August 2013.

The federal government will be paying the gratuities of Nepal workers soon. Any chance that can increase the rates we get from treasury bills? Almost 400 billion naira pushed into the economy almost at once.