Fiduciary Deposit FAQs

1. Why can’t I hold more than £250,000 in my CCA??

Capital International Bank has capital requirements that it must adhere to in order to meet its regulatory obligations. To ensure we can provide our services to all clients that require them, we have implemented a cap of £250,000. However, we can enable unlimited funds through alternative bank account solutions where your monies are held on your behalf by Capital International Bank with another bank. These are known as fiduciary deposits.

2. Why is the cut off time 14:30 and what happens if I need to move money after 14:30?

The cut off time is 14:30 because this leaves sufficient time for the team at Capital to ensure that all remaining balances held in client CTAs are moved into their linked EFAs before the close of business.

If you need to move money after 14:30, you can do so with any available funds you have in your CCA. You cannot make any transactions in your CTA after 14:30.

3. Is there any fee if monies have to be returned to the sender?

There is no fee levied by Capital International Bank for monies returned to the sender. There may be charges levied by any intermediary bank in the process between Capital International Bank and the sender’s bank.

4. If my funds are rejected, will these be received back on the same day?

We will instruct the return of funds on the day of receipt. We cannot however guarantee the day and time they will be re-credited as payments may be impacted by cut-offs and time zones.  

5. Can I access my CCA at all times or is this account, like the CTA, locked for my use after 14:30?

You can always access your CCA and enter transactions and you can utilise regular payment cut off times for different currencies.

6. Do I need a CTA account if I am dealing with amounts under £250,000?

You do not need a CTA account if all balances held in CCA accounts in all currencies remain below £250,000.

7. Are fixed term balances included in the £250,000 limit?

No, they are not included.

8. Is there any room to go over the £250,000 limit? Say by £100, for example?

You should assume that any inward receipt that takes the balances of your accounts (excluding the CTA and EFA) over £250,000 will be rejected. However, there may (from time to time) be some flexibility when total account balances at Capital International Bank enable it. The Capital International Bank team may use discretion to allow some short-term excess where this may be possible. However, the default expectation should be that monies in excess of £250,000 will be returned to the sender.

9. If I have both a CCA and a CTA, which should I use?

If you are regularly going to have transactions exceeding the £250,000 limit on the CCA, then you should use the CTA as your primary account for all inward transactions. You can then maintain a “float” balance in your CCA making use of appropriate FX, payments and transactions. Your CTA receipts can then be used to top up the CCA, to make large FX and payments and to top up your EFA.

10. Is the CCA/CTA off balance sheet?

No, all monies in the CCA and CTA are held on Capital International Bank’s balance sheet.

11. What if I have an emergency transfer after 14:30?

Unless you have sufficient funds in your CCA to facilitate the emergency transfer, you will need to transfer monies back from your EFA to your CTA and make the emergency transfer on the next available day.

12.What if I’m in a time zone that isn't convenient for the cut offs?

As Capital International Bank is located in the Isle of Man, all cut off times relate to the time in the Isle of Man (UK time).

13. Are there plans to have a greater number of currencies available in the EFA?

Yes, we will add additional currencies over time.

14. Will I receive a notification outside of the VELTA (e.g. by email) if my funds are rejected?

Where possible, we will contact you to let you know.

15. Do I need to sign up for new T&Cs?

There are additional terms and conditions applicable to the use of the CTA and EFA to which you must agree prior to these accounts being opened for you.

16. What happens if a transfer I wasn’t aware of takes me over the £250,000 limit? I don’t always know when people are going to pay me.

If you do not have a CTA and EFA open, then the inward transfer will be rejected and returned to sender. If you have a CTA and EFA open, you should give the CTA account details to anyone who is sending you money to avoid this situation.

17. Is there an interest rate on the EFA?

Any interest earned from placements with counterparties will be applied on a pro-rata basis to your balance in the fiduciary account. Please note interest rates may also be negative and will be charged against your balance held.

17 (b) Is there an interest rate of the BFA?

The interest rate is agreed at the time of placement and paid in full at maturity

18. Is money always returned if it takes my CCA over the £250,000 limit? Or, if I already have a fiduciary deposit account, can the excess be moved from the CCA to the CTA automatically?

Clients need to monitor their balances against their limit. This can be achieved using the Client Limits page in VELTA where you can check your current position. We will endeavour to engage with you where possible, however the default position for any monies that take the balance over the £250,000 limit is for them to be returned to sender.

19. I need to access to my funds. Can I break my BFA?

Breakages are not permitted on the BFA, if you think you will need access you should not place funds.

20. What time will funds be available on maturity of a BFA?

Funds will be returned by the Participant Bank and we cannot confirm the time of receipt. Please note that if receipt of funds may be delayed if received after the cut off time for the CTA  

21.  Can I “roll” my deposit?

No, funds will be repaid to your CTA on maturity however you can instruct us to set up a new deposit on the same day via VELTA Secure Messages.

Pleast note: All times are quoted in GMT (BST)