I. Description The non-settlement interbank deposit business refers to the fund deposit and withdrawal between ICBC and other financial institutions not for the purpose of settlement. The counterparties accepting the deposit of ICBC must be financial institutions with deposit-taking qualifications. Non-settlement interbank deposit includes non-settlement deposit due to other financial institutions and non-settlement deposit due from other financial institutions according to fund flows. The non-settlement deposit due to other financial institutions means ICBC takes deposit from customers; the non-settlement deposit due from other financial institutions means ICBC provides deposit for financial institutions with deposit-taking qualifications.
II. Target Customers Non-settlement deposit due to other financial institutions: financial institutions duly established in China Non-settlement deposit due from banks: financial institutions which are duly established in China and qualified to take deposit.
III. Functional Features 1. Flexible financing term. The longest period of non-settlement interbank deposit shall not exceed one year while the shortest shall not be less than seven days. The deposits are all time deposits. 2. Flexible trading elements. The trading elements are determined by both parties of trading after negotiation based on a variety of influencing factors. The level of interest rate is affected by various factors such as changes in market capital supply and demand, customer qualifications and financing strategies.
IV. ICBC Advantages 1. Safe storage of funds. ICBC can guarantee the security of funds stored by virtue of its abundant funds, strict risk control system and strong solvency. 2. Simple procedures. ICBC continues to improve the business process and is capable of providing customers with efficient and fast service. 3. Competitive price among peers. ICBC publishes the interbank deposit price on its official website every day, providing customers with quality, open and transparent prices of product.
V. Price The interest rate of non-settlement interbank deposit in RMB and foreign currencies are determined by ICBC and interbank customers after negotiation with reference to SHIBOR, LIBOR and HIBOR.
VI. Service Channels and Hours Interbank customers can consult or apply for the service at ICBC branches which provide the service during business hours. Trading time: business hours from Monday to Friday (excluding statutory holidays).
VII. Operation Guide i. Non-settlement deposit due to other financial institutions 1. The customer consults with ICBC according to its own needs, and initially determines the elements such as transaction period, amount and price. 2. After the preliminary trading intention is reached, ICBC conducts comprehensive business review and approval over the trading term, amount, prices and customer qualifications. 3. The customer goes to the ICBC counter to conduct deposit business and obtain the deposit confirmation. 4. On the maturity date of the deposit, the customer should take relevant documents and deposit confirmation to ICBC counter to collect principal and interest. ii. Non-settlement deposit due from other financial institutions 1. ICBC and the interbank customer determine the elements such as transaction period, amount and price. 2. After reaching the initial trading intention, the parties further determine the trading elements and initiate business approval. 3. After the approval of business, ICBC will transfer funds to interbank customers and open the deposit confirmation at the counter. 4. On the maturity date of the deposit, ICBC collects principal and interest.
VIII. Risk Prompt The non-settlement interbank deposits are subject to various risks including policy risk, liquidity risk, operational risk and exchange rate risk. The level of interest rate is affected by many factors such as macroeconomic policies and changes in the operation of the money market. Customers should fully recognize the risks that this business may involve and well manage the liquidity.
Note: The information given on this page is for reference only. See the announcements and rules of local outlets for details.