Becareful.. NTB Loan/Deposite Calculations

DK wrote:

SL.Market wrote:

Whitebull wrote:Anyway they should give a proper explanation when a customer asks.If they fails it is either their pathetic level of customer service or some sort of fraud.

This is fraud.... When I going to place FD many From NTB asked me I can offer this rate bla bla..
it is due to just calling to them and expressing my requirements...
But in this case no one answer

Well machan why don't YOU answer the questions that we asked you? What was the amount that you received, what was the type of the deposit, what was the advertised rate? You can't say there are many zeros missing and then leave it at that, it depends on what exactly the number is. Also note that since this is a leap year, they can do the calculation as 7/366*7/100. That would give you .2075 for 155 without any deductions.

For FDs, the legal clause is that the bank has the right to change the interest rate that was advertised at the start of the FD even during maturity. E.g. if you have a 5 year FD for 11.5%, and 2 years after you get in to it the rates fall to 6%, the bank can amend the rate as well. This has been done by BoC as well

For Call Deposits, it is the daily money market rate applied at the end of each day. Therefore the rate WILL change.

It is a 7 days call deposit at a rate of 7% (you can call today and ask from NTB for confirmation)
I deposited it only for 7 days
The amount is Rs.155 multiple of some thousands

Interest for 7 days is 0.190...
They are not able to explain the final figure....
What a poor bank NTB

So it should be 0.19
Isn't it?

With -10% WHT

Or else what it should be????

hunter wrote:So it should be 0.19
Isn't it?

With -10% WHT

Or else what it should be????

2.5% of WHT is applied...


WHT 2.5% calculation should be...

(155x7/100x7/365)x0.975=0.202


IF WHT 10% calculation should be...

(155x7/100x7/365)x0.9=0.187


That means what ever the WHT percentage applied I can say Nation trust Bank's Calculation Is wrong

It is a 7 days call deposit at a rate of 7% (you can call today and ask from NTB for confirmation)
I deposited it only for 7 days
The amount is Rs.155 multiple of some thousands

Interest for 7 days is 0.190...
They are not able to explain the final figure....
What a poor bank NTB

Reverse calculating from the number that you have given:
0.19 for 7 days means for 365 days = 9.9071
Percentage rate based on principal = 9.9071/155*100 = 6.391

So yes, there is a clear mismatch. But refer http://www.inlandrevenue.gov.lk/publications/circulars/WHT%20on%20interest%20paid%20by%20banks%20or%20other%20financial%20institutions2011.pdf. That gives you the applicable deduction rates (section 3). The Call Deposit may qualify under CDS, if so it is 10%. That means 6.3% is the effective rate.

If this is not the case and if you actually have deposited 155 multiple of some thousands, why dont you just walk in and talk to the manager? I am sure that they would be concerned about a customer at that rate? I once deposited a 2.5million and they sent a guy home when I wanted the withdrawn money delivered.

P:S:
I just saw your reply. Surely you are not saying that you received a round number of .19*many thousands? Even going by your own numbers, if you deposited 155,000 you would get 208.08. If you deposited 1,550,000 you would get 2080.82 etc. How did you end up with a round number??

DK wrote:
But refer .inlandrevenue.gov.lk/publications/circulars/WHT%20on%20interest%20paid%20by%20banks%20or%20other%20financial%20institutions2011.pdf. That gives you the applicable deduction rates (section 3).

This is another problem with our banks.They do not explain all the terms to the customer.They tell only the things that beneficial to the customer.

Yes there is a agreement but almost all the time they are in english(sometime with technical words).At least those agreements should be in customers preferable language(sinhala,tamil or english) and in simple terms.And a copy should be given to the customer also which is not happening here.

SL.Market wrote:

DK wrote:

SL.Market wrote:

Whitebull wrote:Anyway they should give a proper explanation when a customer asks.If they fails it is either their pathetic level of customer service or some sort of fraud.

This is fraud.... When I going to place FD many From NTB asked me I can offer this rate bla bla..
it is due to just calling to them and expressing my requirements...
But in this case no one answer

Well machan why don't YOU answer the questions that we asked you? What was the amount that you received, what was the type of the deposit, what was the advertised rate? You can't say there are many zeros missing and then leave it at that, it depends on what exactly the number is. Also note that since this is a leap year, they can do the calculation as 7/366*7/100. That would give you .2075 for 155 without any deductions.

For FDs, the legal clause is that the bank has the right to change the interest rate that was advertised at the start of the FD even during maturity. E.g. if you have a 5 year FD for 11.5%, and 2 years after you get in to it the rates fall to 6%, the bank can amend the rate as well. This has been done by BoC as well

For Call Deposits, it is the daily money market rate applied at the end of each day. Therefore the rate WILL change.

It is a 7 days call deposit at a rate of 7% (you can call today and ask from NTB for confirmation)
I deposited it only for 7 days
The amount is Rs.155 multiple of some thousands

Interest for 7 days is 0.190...
They are not able to explain the final figure....
What a poor bank NTB

If Interest Paid by NTB is .19 then that is the correct amount....

((155*7%)/365)*7) = 0.208 Less 10% WHT is equal to net interest of 0.19 (rounded to nearest cents)

greedy wrote:

SL.Market wrote:

DK wrote:

SL.Market wrote:

Whitebull wrote:Anyway they should give a proper explanation when a customer asks.If they fails it is either their pathetic level of customer service or some sort of fraud.

This is fraud.... When I going to place FD many From NTB asked me I can offer this rate bla bla..
it is due to just calling to them and expressing my requirements...
But in this case no one answer

Well machan why don't YOU answer the questions that we asked you? What was the amount that you received, what was the type of the deposit, what was the advertised rate? You can't say there are many zeros missing and then leave it at that, it depends on what exactly the number is. Also note that since this is a leap year, they can do the calculation as 7/366*7/100. That would give you .2075 for 155 without any deductions.

For FDs, the legal clause is that the bank has the right to change the interest rate that was advertised at the start of the FD even during maturity. E.g. if you have a 5 year FD for 11.5%, and 2 years after you get in to it the rates fall to 6%, the bank can amend the rate as well. This has been done by BoC as well

For Call Deposits, it is the daily money market rate applied at the end of each day. Therefore the rate WILL change.

It is a 7 days call deposit at a rate of 7% (you can call today and ask from NTB for confirmation)
I deposited it only for 7 days
The amount is Rs.155 multiple of some thousands

Interest for 7 days is 0.190...
They are not able to explain the final figure....
What a poor bank NTB

If Interest Paid by NTB is .19 then that is the correct amount....

((155*7%)/365)*7) = 0.208 Less 10% WHT is equal to net interest of 0.19 (rounded to nearest cents)

Dear greedy... 155 should multiple of some thosands...
then nearest cents argument not valid...
as a example Rs.15 50 000 the interest should be Rs.1872 not Rs.1900 even with WHT...
That is why i m telling they doing some fraud....

Look buddy, if you really have 155*thousands of rupees in the bank, I dont think the bank would ignore you

DK wrote:Look buddy, if you really have 155*thousands of rupees in the bank, I dont think the bank would ignore you

I think this is another fraud....every customer should have equal rights....

Whitebull wrote:

DK wrote:Look buddy, if you really have 155*thousands of rupees in the bank, I dont think the bank would ignore you

I think this is another fraud....every customer should have equal rights....

How those rights are executed depends on the person.

SL.Market wrote:

greedy wrote:

SL.Market wrote:

DK wrote:

SL.Market wrote:

Whitebull wrote:Anyway they should give a proper explanation when a customer asks.If they fails it is either their pathetic level of customer service or some sort of fraud.

This is fraud.... When I going to place FD many From NTB asked me I can offer this rate bla bla..
it is due to just calling to them and expressing my requirements...
But in this case no one answer

Well machan why don't YOU answer the questions that we asked you? What was the amount that you received, what was the type of the deposit, what was the advertised rate? You can't say there are many zeros missing and then leave it at that, it depends on what exactly the number is. Also note that since this is a leap year, they can do the calculation as 7/366*7/100. That would give you .2075 for 155 without any deductions.

For FDs, the legal clause is that the bank has the right to change the interest rate that was advertised at the start of the FD even during maturity. E.g. if you have a 5 year FD for 11.5%, and 2 years after you get in to it the rates fall to 6%, the bank can amend the rate as well. This has been done by BoC as well

For Call Deposits, it is the daily money market rate applied at the end of each day. Therefore the rate WILL change.

It is a 7 days call deposit at a rate of 7% (you can call today and ask from NTB for confirmation)
I deposited it only for 7 days
The amount is Rs.155 multiple of some thousands

Interest for 7 days is 0.190...
They are not able to explain the final figure....
What a poor bank NTB

If Interest Paid by NTB is .19 then that is the correct amount....

((155*7%)/365)*7) = 0.208 Less 10% WHT is equal to net interest of 0.19 (rounded to nearest cents)

Dear greedy... 155 should multiple of some thosands...
then nearest cents argument not valid...
as a example Rs.15 50 000 the interest should be Rs.1872 not Rs.1900 even with WHT...
That is why i m telling they doing some fraud....

I based my calculation based on some one who said WHT is 10% but it is actually 8%. Refer page number 3 in the link below;

http://www.inlandrevenue.gov.lk/publications/circulars/WHT%20on%20interest%20paid%20by%20banks%20or%20other%20financial%20institutions2011.pdf

Therefore, the interest could have been.....

((155*7%)/365*7)*(100%-8%)=).191435

greedy wrote:

SL.Market wrote:

greedy wrote:

SL.Market wrote:

DK wrote:

SL.Market wrote:

Whitebull wrote:Anyway they should give a proper explanation when a customer asks.If they fails it is either their pathetic level of customer service or some sort of fraud.

This is fraud.... When I going to place FD many From NTB asked me I can offer this rate bla bla..
it is due to just calling to them and expressing my requirements...
But in this case no one answer

Well machan why don't YOU answer the questions that we asked you? What was the amount that you received, what was the type of the deposit, what was the advertised rate? You can't say there are many zeros missing and then leave it at that, it depends on what exactly the number is. Also note that since this is a leap year, they can do the calculation as 7/366*7/100. That would give you .2075 for 155 without any deductions.

For FDs, the legal clause is that the bank has the right to change the interest rate that was advertised at the start of the FD even during maturity. E.g. if you have a 5 year FD for 11.5%, and 2 years after you get in to it the rates fall to 6%, the bank can amend the rate as well. This has been done by BoC as well

For Call Deposits, it is the daily money market rate applied at the end of each day. Therefore the rate WILL change.

It is a 7 days call deposit at a rate of 7% (you can call today and ask from NTB for confirmation)
I deposited it only for 7 days
The amount is Rs.155 multiple of some thousands

Interest for 7 days is 0.190...
They are not able to explain the final figure....
What a poor bank NTB

If Interest Paid by NTB is .19 then that is the correct amount....

((155*7%)/365)*7) = 0.208 Less 10% WHT is equal to net interest of 0.19 (rounded to nearest cents)

Dear greedy... 155 should multiple of some thosands...
then nearest cents argument not valid...
as a example Rs.15 50 000 the interest should be Rs.1872 not Rs.1900 even with WHT...
That is why i m telling they doing some fraud....

I based my calculation based on some one who said WHT is 10% but it is actually 8%. Refer page number 3 in the link below;

http://www.inlandrevenue.gov.lk/publications/circulars/WHT%20on%20interest%20paid%20by%20banks%20or%20other%20financial%20institutions2011.pdf

Therefore, the interest could have been.....

((155*7%)/365*7)*(100%-8%)=).191435

Even 8% of WHT NTB figure is wrong... but I have declared the year assement and 2.5% OF WHT is applied

Then the best option is to take up this issue with their top management. No point of wasting time your here.

Pls let us know the end result.

I never calculate the interest the bank pays.
However, there are certain time they never pay interest (in FD); when talked to them they would say "system error" and add the interest.

After all, we need to protect our money, nobody else would do it for us.

suddera wrote:Then the best option is to take up this issue with their top management. No point of wasting time your here.

You are telling something correct and but I am giving some hints to our members who already dealing with NTB... that is becareful with doing any dealing with them

SL.Market wrote:

suddera wrote:Then the best option is to take up this issue with their top management. No point of wasting time your here.

You are telling something correct and but I am giving some hints to our members who already dealing with NTB... that is becareful with doing any dealing with them

Appreciate ur effect.We should share these type of informations

Whitebull wrote:

SL.Market wrote:

suddera wrote:Then the best option is to take up this issue with their top management. No point of wasting time your here.

You are telling something correct and but I am giving some hints to our members who already dealing with NTB... that is becareful with doing any dealing with them

Appreciate ur effect.We should share these type of informations

I didn't mean that you shouldn't share this type of information with the forum members.
Please share the final out come of this incident too, B'cus that would helpful readers to come to a conclusion about NTB.

suddera wrote:

Whitebull wrote:

SL.Market wrote:

suddera wrote:Then the best option is to take up this issue with their top management. No point of wasting time your here.

You are telling something correct and but I am giving some hints to our members who already dealing with NTB... that is becareful with doing any dealing with them

Appreciate ur effect.We should share these type of informations

I didn't mean that you shouldn't share this type of information with the forum members.
Please share the final out come of this incident too, B'cus that would helpful readers to come to a conclusion about NTB.

Exactly right.