Commercial Bank of Ethiopia, CBE


Deposit service

Deposits Type Special Demand Deposit Account *Description* Special Demand Deposit Account (SDDA) is a non-interest bearing deposit account operated by a saving like passbook and vouchers. *Features* A non-interest-bearing deposit account. The initial deposit for opening a Special Demand Deposit Account is Birr 50. *Benefits* A deposit account service for those customers demanding non-interest bearing saving deposit account. *Eligibility* Individuals Trade operators Organizations Cooperatives and associations Domestic banks Financial institutions Government Local/Central Private sector Public Agencies and Enterprises. *Documents Required* Valid Identity Card acceptable to the Bank and three passport-size photographs. Acceptable ID Cards to the Bank are: Kebele ID Card Farmers Association ID Card Employing Organization ID Card School, College, and University, ID Card renewed for the current academic year Driving License Valid Passports Work or Resident Permit Foreign National of Ethiopian Origin Identification Card along with a valid passport. All the above types of ID Cards should be renewed as long as they are renewable. Saving Account *Description* It is an interest-bearing deposit account. *Features* Opened with an initial deposit of Birr 50. Rate of interest on saving account is 3% per annum. Interest will not be paid on balances below Birr 50. Interest is computed on the minimum outstanding balance of each month. Interest is paid half-yearly in June and December. Back to Top *Benefits* Among the several reasons for people to save their money, the following are some: To consume in the time of emergency. To purchase expensive goods. To earn interest by depositing in the bank. *Eligibility* Individuals and organizations. Resident and non-resident. Non-literates and minors. *Documents Required* Valid Identity Card acceptable to the Bank and three passport-size photographs. Acceptable ID Cards to the Bank are: Kebele ID Card Farmers Association ID Card Employing Organization ID Card School, College, and University, ID Card renewed for the current academic year Driving License Valid Passports Work or Resident Permit Foreign National of Ethiopian Origin Identification Card along with a valid passport. All the above types of ID Cards should be renewed as long as they are renewable. *Types of Savings Account* *Private* Individual Persons’ Accounts Literate Non-literate persons Blind Customers Accounts. *Joint Accounts* And Account And/or Accounts. *Company Accounts* *Accounts of Churches, Mosques, Missions, etc.* *Earmarked Accounts* Club Accounts Private Accounts Idir Accounts. *Special Accounts* Tutor accounts are opened in the name or names of minors followed by the word “minor” or “minors.” Liquidators’ account is opened in the name of a person or company but appointed by court as liquidator in bankruptcy. Interdicted accounts are saving accounts opened in the name of the interdicted person. Staff accounts are saving accounts like the individual accounts opened for the employee of the Bank. *Non-Private Accounts* Thrift and credit co-operatives society. Mandate file is a must to open such an account. The opening of such accounts must first be approved by a regional organization of the co-operatives, and the approval letter, indicating the names of the persons authorized to operate the account, must be submitted to the Bank. Back to Top Fixed Deposit *Description* A time-deposit account is a deposit account that bears interest based on the duration of the deposit. *Features* No restriction as to the initial deposit. Minimum deposit period three months. Granted repayment of principal and interest at agreed rate. *Benefits* Interest rate is unaffected for the duration of the deposit, irrespective of market fluctuations. Safety of principal and deposit. No maximum limit for deposit. Premature withdrawals permitted at no rate of interest. *Eligibility* Individuals Sole-proprietorship Partnership. Documents Required A valid Identity Card (I.D) acceptable to the Bank. Acceptable ID Cards to the Bank are: Kebele ID Card Farmers Association ID Card Employing Organization ID Card School, College, and University, ID Card renewed for the current academic year Driving License Valid Passports Work or Resident Permit Foreign National of Ethiopian Origin Identification Card along with a valid passport. All the above types of ID Card should be renewed as long as they are renewable. Current Account *Description* A non-interest-bearing deposit account that is operated by checks. *Features* A non-interest-bearing deposit account with a check book facility. It can be interchangeably called “checking account” or “demand deposit.” Overdraft facility permitted. The initial deposit for opening a current account for: An individual is Birr 500. Private Sector, Public Agencies, Enterprises, Cooperatives, Government, International and other mass organizations Birr 1,000. *Benefits* Enhances business transactions Decreases circulation of money Strengthens credit system Facilitates documentation of flow of fund and enterprises. Back to Top *Eligibility* Individuals and organizations. Resident and non-resident. Non-literates and minors. Documents Required Proper Identification Card. Photocopy of trade license for trade operators. Certificate of registration, rules and regulations of the associations, and minutes of the resolution of the members for cooperatives and associations. License from the National Bank of Ethiopia for domestic banks. For public agencies and enterprises, the Chairman of the Board of the enterprise should produce a letter of appointment from the Public Enterprises Supervising Authority. *Classification of Demand Deposit* As per the chart of accounts of the Commercial Bank of Ethiopia, demand deposits are classified under the following categories: Demand Deposit Non-resident Correspondents their Accounts Non-Resident Foreign Currency Account (NRFCY) Non-Resident Non-Transferable Birr Account (NRNT) Non-Resident Transferable Birr Account (NRT). Back to Top Demand Deposit Resident Cooperatives and Associations: accounts opened for mass organizations such as Kebeles, Farmers Association, Trade Unions, Savings and Credit Associations, etc. are classified under the above categories. Domestic Banks: accounts of local banks are included in this category. A license from the National Bank of Ethiopia should be obtained to open accounts for commercial banks. Financial Institutions: These are accounts of insurance companies. Government Accounts: (Local and Central) all accounts opened in the names of Ministries (Offices, Bureaus) budgetary and town developments of municipalities are classified under this account. The authority to open these accounts emanates from either the local or the central Finance Bureau and local or central urban development and housing offices. Private Sector: the following demand deposit accounts are subsumed under this account. Private individuals Private companies Ikubs, Edirs, Religious Private and International Organizations. Public Agencies and Public Enterprises: The chairman of the Board of the enterprise should produce a letter of appointment from the Public Enterprises Supervising Authority.