A Savings Account is a product with which Municipal Bank collects funds from an individual without a specific term, in a specific currency against the issuing of a personal bank book, granting them the right to receive the agreed interest at the end of each calendar year or upon closure of the Account.
Municipal Bank opens savings accounts in BGN and foreign currency to local and foreign individuals (not including sole proprietors) and local Groups of Citizens Without BULSTAT Registration. The person in whose name the account is opened is the account holder (depositor).
Upon opening the Account, the account holder is provided with General Terms and Conditions of Savings Accounts and General Terms and Conditions for Single Payment Transactions and Providing Information Related to Them and each movement at the account is reflected in the bank book of the account holder provided by the Bank.
Documents needed for opening:
- ID/Passport;
- Sample request for opening a bank account to individuals (the request).
Municipal Bank opens the following types of Savings Account:
- Savings Deposit - opened only for the benefit of legal majors in person by the account holder, or a third party;
- Deposit in Favour of Children - opened for the benefit of an under age or minor individual jointly or severally by his/her parents, and a third party, or personally by a minor individual pursuant to the internal banking regulations on depositing. The disposal of the funds under the deposit may be done in accordance with the legislation in force in the Republic of Bulgaria;
- Conditional Deposit - opened for the benefit of a legal major, minor, or under age individual, by a third party, the latter stating in the request the condition(s) for the account holder toreceive the amount. The conditions may not run counter to the laws in the country, may not contain ambiguities, that might hamper the payment of the amounts deposited, be connected to business deals, inheritance issues and the like. The conditions may be rescinded by a written request of the party to have made the conditions.
Minimum amount required for opening: : equal to the minimum available balance required by the Bank for this type of deposit as provided under the Bulletin of the Interest Rates Applied by Municipal Bank AD for Transactions With Retail clients – Appendix 1 to the Tariff of Municipal Bank AD for the interest rates, fees and commissions for retail clients (the Tariff).
Payment transactions possible for a Savings Account Only the following exhaustively listed single payment transactions are possible pursuant to the Law on Payment Services and Payment Systems, namely:
- Depositing cash at the Account;
- Withdrawing cash from the Account;
- Credit transfer to another account/deposit opened in the name of the Account holder in the Bank’s system;
- Credit transfer upon Account closure;
- Ancillary services (foreign exchange services, etc.).
The Bank makes single payment transactions and provides information on the depositor pursuant to the General Terms and Conditions for Single Payment Transactions and Providing Information Related to Them.
Placing amounts: cash or by a credit transfer, as follows:
- At a Savings Deposit – personally by the depositor or a third party;
- At a Deposit in Favour of Children – by the lawful representatives of the Account holder or a third party;
- At a Conditional Deposit – only by the depositor, who has opened the Account and set the condition.
Withdrawing amounts: in person by the account holder, via a legal representative, or a duly authorised individual, against a Bank book and an identification document. Withdrawal from a Conditional Deposit may de done upon meeting the condition(s), with no need of the depositor's approval, and against a document, certifying the condition(s) has/have been met.
Management and disposing of the amounts at a Conditional Deposit is not allowed to individuals with power of attorney to do so.
The Bank accrues interest on the fundsunder the Savings Account, at the end of the year or upon deposit closure on the basis of 360/360 days. The Bank shall not pay interest on Savings Account, where the funds have remained with the deposit for less than 7 calendar days, as of the deposit opening date.
The Bank does not accrue interest on residual Savings Account balances lower than the minimum available balances required as per the Tariff.
The Bank does not charge opening and placing amounts at Savings Accounts.
The Bank charges for withdrawing amounts in cash and/or making credit transfers from Savings Accounts exceeding a certain level in accordance with the Tariff in force as at the time of collection.
The amounts at the deposits with Municipal Bank AD are secured by the Deposit Insurance Fund, at the statutory levels.