OBA Guide

Relationship Statement on deposits insured by OBA (National Deposit Insurance Fund)

The Relationship Statement provides information about not just the general OBA rules but also the actual deposit products, and the securities issued and managed by the Bank, registered under the names of our clients.

In accordance with the provisions of Act CCXXXVII of 2013 on credit institutions and financial enterprises (Hpt) K&H Bank will, upon the client’s request, issue to the client the Relationship Statement about OBA-protected deposits in any branch during business hours. In the Relationship Statement K&H Bank provides information about the current value of OBA-protected deposits, payment and savings accounts registered under the name of the client and managed by K&H, as well as similar bonds issued by K&H before 2nd July 2015.

Information about debt securities issued by the Bank

From 3rd July 2015, bonds and deposit bills issued by the bank are no longer covered by OBA protection. Those bonds and deposit bills that were issued before 2nd July 2015 remain covered by OBA until their maturities.

Community deposits

In accordance with the effective provisions of Act CCXXXVII of 2013 on credit institutions and financial enterprises (Hpt), in the case condominiums, housing co-operatives, building societies and school savings groups, the €100,000-equivalent OBA coverage applies to each constituent unit of the aforementioned entities (multiple OBA coverage). (For instance, the OBA coverage for a condominium of ten flats is ten times €100,000, i.e. the forint equivalent of €1 million.)

According to new provisions of the Hpt which came into force on 3rd July 2015 however, the OBA coverage is limited to the forint equivalent of €100,000 even for condominiums, housing co-operatives, building societies and school savings groups.

For those term deposits of condominiums, housing co-operatives, building societies and school savings groups that existed on 2nd July 2015, the multiple OBA coverage continues until their maturities. For non-term deposits (i.e. payment account balances, current account balances, housing savings fund deposits) the multiple OBA coverage continued until 31st August 2015.