These terms are in addition to “Part A - the General Terms of Business in respect of our banking services”. In the event of any conflict between this Part B, and Part A, the terms of this Part B shall prevail.
a) The Definitions in clause 1 of Part A identified below shall be amended as follows: -
b) The following additional definitions shall apply: -
c) The clauses in Part A identified below shall be amended as follows: -
a) The CTA is designed for clients who anticipate a need to make or receive payments the value of which would exceed the Deposit Limit (as referred to in 2.1 e) in Part A). It is a pre-condition of opening a CTA that you also open an EFA – see section 3 below.
b) Whilst there is no intraday limit to the amount of funds you may hold in your CTAs, in order to manage our liquidity in accordance with our regulatory requirements you understand and agree:
c) It is your responsibility to monitor your account balances and it is your responsibility to transfer out such amount as is required to ensure the balances stand at zero at the cut off time. Such transfer as may be required can be made either: -
d) If your CTA balance has not been reduced to zero by you at the cut off time, in accordance with the CTA Mandate which you have granted to us, we will transfer such amount as is necessary to your EFA maintained with a Recipient Bank or Banks in order to bring your CTA balances to zero. In doing so we will levy a charge (as detailed in the Product Schedules) and deduct it from the balance transferred. You should note that if this happens you may not receive same day value at the remitting bank because of timing differences.
e) It is your responsibility to transfer funds from your EFA to the CTA for the purposes of outward payments or foreign currency transactions. In the event that outward payments have not been processed immediately prior to the cut-off, 2 c) and d) of this Part B will apply to the CTA balance.
f) Prior to the cut-off each day you will also be able to transfer funds
provided that 2 c) and d) of this Part B will apply.
g) In the event of inward payments received after the cut-off time, we reserve the right to reject such payments and to return them to the remitter. You will be notified of any such rejected inward payments via Velta.
h) We will debit all account fees and charges relating to the CTA (as detailed in the Product Schedules) from the Primary CCA monthly in advance on the 1st Business Day of each month. Commissions when charged will be debited monthly in arrears on the last Business Day of each month. We will charge you VAT or comparable sales taxes where law or regulations require us to do so.
i) The Product Schedules are available on the Website. Our fees and charges are quoted in GBP and if the Primary CCA is not a GBP account the fee will be charged in the currency of the Primary CCA at our prevailing exchange rate on the day the fee is applied.
j) Any transaction costs or charges incurred in connection with transactional activity will be levied in the transaction currency and applied to the currency account from which the transaction was initiated on the day that they are incurred.
a) It is a precondition of these EFAs that you have first opened a CTA.
b) EFAs are fiduciary deposit accounts designed to permit us to place your funds at our discretion with one or more our Recipient Banks. The aim is to reduce your exposure to us and your risk in each EFA will be to the Recipient Bank(s) only. The EFA provides daily access to funds without the need to give advance notice for any transfers to CTA accounts (in line with published cut off times which please note are earlier in the day than standard cut off times for CCAs). No near cash instruments will be used in the exercise of this discretion.
c) Further details of the accounts and specific terms which apply to them from time to time including any fees to be charged together with a list of Recipient Banks are to be found in our Product Schedules which are available on the Website and may be amended by us from time to time.
d) The Recipient Banks are not entitled to combine a fiduciary deposit account with any other account of ours or to exercise any right of set-off or counterclaim against funds in that account in respect of any debt owed by us to the Recipient Bank.
e) The fiduciary deposits are placed with the Recipient Banks in our name (as agent). Fiduciary deposits are not on our balance sheet; they are held as a deposit with us and are placed at your sole risk with the Recipient Bank.
f) In particular: -
g) By opening an EFA and entering into this agreement you give us full authority to place your funds at our absolute discretion with the Recipient Banks.
h) Your funds may be pooled with funds of other EFA clients in the same deposit held with the Recipient Banks.
i) In the event of default by a Recipient Bank all EFA clients assume their pro rata portion of credit risk and liquidity risk to the Recipient Bank.
j) Under the terms of the fiduciary deposit account products, we will not reimburse you for any losses due to a credit default of Recipient Banks or provide liquidity in the event a Recipient Bank defaults on liquidity.
k) The fiduciary deposits are segregated from all the other funds that we hold. In the event that we are unable to repay our clients that hold deposits directly with us, and providing there is no credit or liquidity default by the Correspondent Banks, the Excess Fiduciary Deposits will be returned to the EFA clients pro rata their portion of the total account.