HUF and FX current account management

We record our clients’ HUF and FX amounts on a current account that can be managed in any currency recorded at the bank. We notify the account holder of the amounts credited and debited and the balance of the account in an account statement. Completing and monitoring current account transactions can be ensured using our electronic banking products.

Coverage verification

The bank verifies that its client has a given amount on the current account and separates this amount for a specified period and purpose of usage.

HUF and currency cash turnover

Cash desk payments

Authorised persons may withdraw cash from a specific bank account . Using a bankcard, cash can be withdrawn from an ATM and the card can be used for payment via POS terminals.

Cash payments in excess of HUF 100 million:

As of 1 October 2013, the bank only pays out cash in excess of HUF 100 million (or its foreign currency equivalent calculated at the official MNB exchange rate) to its corporate and small business clients based on an individual agreement. (According to Section III.1.114 of the General Terms and Conditions)

Cash desk payment

Amounts can be deposited to the accounts held at our bank through our cash desks.

Batch transfers

These are transfer orders submitted under the same title, in batches, which may be launched by the client towards several beneficiaries who may hold accounts at various banks.

Batch collection

A given service provider can submit a group collection order to the debit of its partners who have payment obligations towards it. A group collection order is the name for collection orders submitted under the same title, in batches.

Standing orders

Using a standing order, a client may request the following transfer orders to be performed:

• fixed orders, to be performed always at a specified time, 
• payment order for a minimum or maximum amount exceeding the limit (residual).

Handling of HUF coins

We provide an opportunity for our clients to pay in large amounts of coins via our cash desks. The bank engages a subcontractor to process the coins. This service is performed by Group4 Kft. based on the agreement concluded with them. The bank transfers the coins to Group4 Kft. after closing time. The bank credits the value specified by Group4 to the client’s account on the day following the deposit.

Cash deliveries

Cash delivery:
At the request of the client, we transport cash to the client’s site or bank branch. The delivery is performed by the cash processing companies which have a contract with the bank. The service does not require any separate contracts. The fee charged for the service is included in the currently valid list of conditions. Our main partner is Group4 Kft.

Cash delivery through cash processing companies:
The goal of our bank is to channel large cash deposits to cash processing companies, to free the work of the branch and to reduce cash turnover.
Recommended when there is regular cash delivery from the client’s address and cash processing need. The service requires a separate contract between the cash processing company and the client.

Payment in bags
Delivery of HUF and foreign currency amounts in cash delivery bags. Transportation is performed by the account holder. The bank engages a subcontractor to process the cash. The bank will credit the values delivered to it to the client’s bank account according to the contract, either on the date of delivery or on the first working day following the delivery.

Within the framework of our small treasury service, the local government will engage the bank to provide coverage up to the amount of a predefined institutional limit within the given calendar month for transfers from participants with a monthly financing limit.

Within this framework, the bank will automatically transfer, without the separate order of the local government, the coverage of the transfer orders formally submitted to the bank from the Institutional Supply Sub-account created for this purpose to the participants’ Budgetary Settlement Account.

Based on the daily transfer orders submitted by the participants, the bank will settle the requested daily subsidy amount with the individual participants, even if the local government has not yet placed the whole subsidy budget for the given month on the sub-account.

In such an event, the local government authorises the bank to settle the missing amount generated due to the lack of coverage automatically, from the local government’s Budgetary Settlement Account.

Postal cash transfer order

The PEK (Postal Settlement Centre) will process the amounts deposited by clients using the service at the post office on the day following the payment and transfer them to the account managing bank, which credits them to the beneficiary’s account. The crediting of express transfers marked “EKM” will take place on the working day following payment at the post office, on the date of the postal transfer.

Postal payment orders

Our clients can submit their payment orders to be transferred through the post office to our bank. Orders submitted by 1:00 p.m., or on Spectra by 2.00 p.m., will be processed on the date of submission, while those submitted later will be processed on the following banking day, and we will forward the orders to the Hungarian Post Office which will deliver the amount, if it is below HUF 100,000, to the addressee on the second banking day, or will send a notification to the address if it is in excess of this amount.

Payment orders can be submitted as follows:

• the account holder takes the completed transfer orders or the data carrier directly to the post office,
  
• the account holder submits the payment orders together with the list of such orders to the account managing branch,
  
• the account holder sends the data on the payment orders to the account managing branch electronically
  

It is very important for our bank not only to fulfill the orders of local government and its institutions at a high level but also to provide quality services for their employees that meet all their needs.

Our goal is that both the local government and its employees consider our bank as their bank and that they will use our full range of services.
When developing the structure and content of our proposals, we always pay attention to those preliminarily set expectations that are conveyed to the bank by our clients on behalf of their employees.

The bank not only provides account management services for our retail clients but it also offers a wide range of products for private individuals, such as:

• classic banking products
  
• electronic products
  
• private credit products
  
• investment opportunities
  

A local government can switch its selected account managing bank as of the first day of the calendar, according to Government Decree No. 292/2009 (XII.19.) on the operating order of the state budget.*

Any local government can switch its account managing credit institution as of the first day of the calendar, according to Government Decree No. 217/1998 (XII.30.) on the operating order of the state budget.

In the the event of switching bank, UniCredit Bank undertakes the following:

• the installation of the necessary software and, if needs be, the hardware, at the local government and its institutions.
  
• our experts will help the staff of the local government to get to know the new system through on-site training.

*In the light of Section 84 of Act CXCV of 2011 on the state budget and Sections 145-147 of Government Decree 368/2011 (XII.31.) on the implementation of the Act on the state budget.

Overdraft Facility

The bank opens an overdraft facility for the local government’s current account and keeps it available for the local government. The credit line is revolving, i.e. the repaid amount can be used again. The overdraft facility provides assistance for the continuous daily operation of the local government and to solve any temporary financing problems. The term of the credit line is a maximum 1 year. The amount of the overdraft facility is determined based on individual assessment.

Working capital loan

UniCredit Bank provides assistance for the safe, problem-free financing of the tasks of local government with a loan for a fixed amount and with a term predetermined by the local government.

Multi-purpose credit line (MPCL)

A multipurpose revolving credit line provided for local governments, within the framework of which the bank provides HUF overdraft facilities, short-term HUF working capital loans, issues bank guarantees, opens letters of credit for a maximum amount, discounts a promissory note and provides a guarantee declaration for a promissory note.

Investment and development loans using own funds

Loans for investments, for the purchase of movables or property. The precondition for using the loan is the existence of own funds, creditworthiness, appropriate security and an investment purpose acceptable for the bank.

Project financing

The bank is available for its clients with medium-term and long-term, project-type financing schemes that are based on the cash flows generated by the implemented investment upon the repayment, and it assists in composing the structure of the project through consultancy services.
The financing schemes are adjusted to the special needs to the greatest extent possible, and the detailed lending conditions are developed after familiarising ourselves with and analysing the business plans relating to the specific transaction.
In the light of the specific features of the project, we can provide medium and long-term funding, in both HUF and other currencies, that is tailored to the return of the projects.

For further information please contact our staff who are available nationwide at our branches, or call 06-1-301-5205. Please send your e-mails to onkormanyzat@unicreditgroup.hu.

State-subsidised loans for the renovation and modernisation of residential buildings and building parts

The central budget assumes 70% of the interest rates of the loan amounting to a maximum of 50% of the costs and used for the renovation and parallel modernisation of a flat owned by the municipality (including the renovation and simultaneous modernisation costs allocated to the common ownership ratio pertaining to the flat ownership).

Financing of energy saving investments

The mandatory tasks of local governments include the costs of street lighting and electricity and heating at the institutions of the local government – these represent significant costs. However, the majority of them often do not have sufficient funds of their own for modern, energy-saving equipment or investments aiming at energy rationalisation.  However, these investments are quickly recovered and significant costs can be saved in the long run by their implementation.

Our bank facilitates the realisation of energy and cost-efficient, environment-friendly investments with its special financing proposal. The company implementing the project will conclude a long-term operating contract with the local government and it may apply for a bank financing. It will repay the loan from the cost savings achieved through the decrease in energy use.

For further information please contact our staff who are available nationwide at our branches, or call 06-1-301-5205. If you would like to ask a question in writing, please send it by e-mail to onkormanyzat@unicreditgroup.hu.