DBH - Deposits

Worldwide, Housing Finance is considered to be one of the safest long term lending investments and Housing Finance Institutions are the perfect place for individuals to keep their savings. In Bangladesh, DBH is not only the pioneer in this sector, but considered to be one of the best-managed institutions in the finance sector. Like any other bank, DBH is also licensed by Bangladesh Bank to collect fixed/term deposits.

Among all Bank and financial institute of Bangladesh only DBH awarded the highest ‘AAA’ credit rating. The level of credit rating provides a very important indication of be the financial safety. Security and strength of the concern Bank or Financial institution and is particularly relevant to its deposits and investor such as shareholders and lenders.

Competitive rate of return, high quality service and safety of your hard earned savings are but a few reasons why DBH should be your only choice of deposits. As a depositor, consider the following positive factors that make DBH a clear winner amongst others/its peers:

• DBH has international joint venture, institutional shareholding and credit lines from some of the most prestigious international agencies, which characterize its growing reputation as one of the best-managed companies of the country.

- Shareholders include IFC (full affiliate of the World Bank), HDFC (the largest Housing Finance Institution in India with an asset in excess of Rs.48,000 Crores), BRAC (One of the most respected and largest national NGO), Delta Life Insurance Co. and Green Delta Insurance Co.

- The fact that institutions like IFC & FMO (Netherlands Development Finance Company) have extended large long term loans to DBH means that DBH has fulfilled the rigorous lending criteria of these institutions.

• Non-Performing Loans, or NPL, is one of the key indicators of the strength of any bank or financial institution. DBH’s NPL of less than 0.50% is one of the best among all Banks and Financial Institutions in the country. This basically means that we care for your moneys’ safety and are very careful who we lend to.

-DBH’s excellent loan recovery system has become a model for many of our competitors.

• Consistent growth of assets and profit, while keeping the NPL at check, depicts DBH’s superb operating efficiency and management strength as the leader in the industry.

- During the last 8 years, DBH’s average assets grew by 60% p.a. while average profit grew by 58% p.a.

• In addition to the above, DBH Deposits score over the Bank deposits in the following ways:

- Being the specialist in Housing Finance, DBH is Involved in highly secured business with minimum risk exposure as all of our loans are 100% collateralized by way of mortgage over the properties we finance.

- Technical support from HDFC, IFC, and FMO

- Strict credit criteria ensures that we do not lend in high risk ventures like industrial finance, foreign exchange transactions, cash business, or trade finance.

• Highly skilled and specialized human resource coupled with a state-of-the-art IT allows DBH to provide the best customer service to our clients

• In a true sense, DBH provides the most safety and peace of mind to thousands of its depositors.

With AAA rating wrap yourself in a blanket of security. Place your saving in DBH deposits. With AAA rating we're one of the safest financial institutions in Bangladesh. Choose form our wide range of deposit products designed to meet your different needs.

The objective of Rating the Non Banking Financial Institutions (NBFIs) is to provide an opinion on the relative inherent quality of the Equity Instrument contemplated to be issued at Public Offer. The rating opinion is reflected by the earnings prospects, risk and financial strength, associated with the specific entity. Rating of NBFIs for the purpose of Public Offer does not predict the future market price of the share, rather it rates the fundamentals of a company, which ultimately act as important inputs in the price behaviour of the share over the medium and long term perspectives. In the short term, NBFI Rating facilitates the reconciliation of the market attitude with respect to the share of a company to the long term fundamentals as reflected by the equity rating (grade awarded).

Safeguard of interest of the prospective investors and other stakeholders of the companies is the focal point of any credit rating agency. Rating is presented as symbol such as 'AAA' (Triple A) which tops the scale to 'D' as the lowest in the rating scale in terms of risk associated with the investment made in the particular entity or the particular instrument.

Besides, the rating also considers strong parental support it continues to get from the sponsors and highly qualified professional support from management in taking appropriate action in any adverse operating environment.

It's a matter of great pride for DBH to be the country's first ever 'AAA' (Triple A) rated Financial Institution. The Company was awarded 'AAA' rating on 27 September 2007 for long term and ST-1 for short term. Credit Rating Agency of Bangladesh Limited (CRAB) rated the highest 'AAA' credit rating on the basis of qualitative and quantitative analysis of the Company. DBH was also awarded by CRAB the highest credit rating 'AAA' for long term and ST-1 for short term respectively on 16 March 2006 and 09 October 2006.

The highest credit rating reflects DBH's strong market position in the housing finance sector along with its sound asset quality and conservative provisioning policy, well-diversified resource base and ability to maintain steady track record of profitability in a strongly competitive market environment.

Bank/FIs rated in this category are adjudged to be of best quality, offer highest safety and have highest credit quality. Risk factors are negligible and risk free, nearest to risk free Government bonds and securities.

Financial Institutions rated in this category are adjudged to be the strongest financial institution, characterized by excellent financials, healthy and sustainable franchises, and a first rate-operating environment. The level, growth and quality of earnings over the medium term are of the highest grade and changes in business/economic circumstances, as may be envisaged, are unlikely to significantly impair the underlying fundamentals. Financial Institutions rated in this category are characterized with excellent position in terms of liquidity, internal fund generation, and access to alternative sources of funds.

Cash deposit is not acceptable. Please issue an account payee cheque from your account to make deposits with DBH.

Deposit shall be made by 'Account Payee’ cheque drawn in favor of "Delta Brac Housing Finance Corporation Ltd. with duly filled application form. Deposit cheque should be made from the depositor’s bank account and repayment cheque will also be made on that account

Premature encashment may be allowed only after the completion of 12 months subject to management approval. In such cases, return will be calculated at 2% lower than the rate, which was applicable for the period completed

DBH deposit will be automatically renewed with accrued interest from the date of maturity for further one year at the then prevailing rate of return unless it is encashed during the month of deposit matured.

The minimum period of DBH Deposit is One Year. Deposit cannot be en-cashed within one year as per rules of the Bangladesh Bank. However, we accept corporate deposits for tenure of Six (6) months

Deposits can be made in the name of minors through their guardians. The guardian has to submit his/her photograph along with the photocopy of identification card like National ID, passport or driving license. The guardian can also avail loan against deposits.

The depositor(s) have to return the deposit certificate duly discharged to DBH office to get the repayment Cheque. If the deposit matures on a holiday, payment will be made on the next working day.

Depositors can take loan against deposit up to 95%* of the principal deposit amount. Loan amount will depend on the deposit scheme, its tenure and subject to management approval.

Our sophisticated loan processing software will enable us to provide the loan Cheque within 10-15 minutes.

Customer may choose fixed rate or variable rate option; where variable rate deposit (VRD) option keeps the return on your savings always above the market rate. The rate of return on VRD is linked to the benchmark rate. Benchmark rate is the rate of return applicable on DBH 1-year fixed rate deposit. Rate of return on VRD is reset at the beginning of each return period i.e. 1st July for MID, CD, QID, EWD and at the end of 12 months for AID.

Return starts counting from the day of placing Form & Cheque to DBH office. In case of large deposit, deposit will be effective from Cheque clearing date.

The following documents are required to be submitted with your application form: