As of July 1, 2006

1. Product

Automatic Installment -Type Foreign Currency-Denominated Time Deposit < Under name of: PowerBuilder >

2. Conditions

Individual customers withholding PowerFlex account

3. Method of Purchase

Purchase of this deposit is available only through Shinsei PowerDirect (online banking). Please note that purchase is not available by Shinsei PowerCall (telephone banking) or at the branch.

4. Installment Term

6 months, 1 year, 2 years or 3 years (no automatic renewal).
The termination date (maturity) of installment term is, in principle, the date corresponding to the initial installment date for the relevant installment term. If the initial installment date is the last day of the month, or if there is no corresponding date for the initial installment date, the termination date (maturity) shall be the last day of the corresponding month to which the initial installment date belongs for the relevant installment period shall be the termination date (maturity).

5. Installment Dates
  • The initial day of crediting this deposit after application shall be the initial installment date, and thereafter, each corresponding day in every month after the initial installment date shall be the automatic installment date. If the initial installment date is the last day of the month, the last day of every month shall be the automatic installment date, and if there is no corresponding date for the initial installment date, the last day of the month shall be the automatic installment date.
  • The automatic date one month prior to the termination date (maturity) of the automatic installment period shall be the last installment date.

6. Suspension of installment

Customers who desire to suspend the automatic installment may do so anytime, at the branch or by Shinsei PowerCall (telephone banking) by the procedure specified by Shinsei Bank (You can not suspend the automatic installment through Shinsei PowerDirect (online banking)). In such case, all the automatic installments on the automatic installment dates occurring on or after the day following the application day will be suspended. Re-opening of automatic installment will not be accepted, once the automatic installment is suspended.

7. Installment method / currency / minimum amount / unit

At the time of application for the deposit, customers can select either a type to designate in yen-denominated amount or a type to designate in foreign currency-denominated amount. You can purchase and select the type only through Shinsei PowerDirect (online banking).

 

(1) Designating amount in yen

(2) Designating amount in foreign currency

(1) Installment method

Yen-denominated installment amount designated by customers at the time of application (customers to designate both initial installment amount and one specific amount on each automatic installment date) shall be automatically debited from customers' PowerFlex Yen savings account on each installment date and deposited into the said account by exchanging to the Installment Currency, at the exchange rate specified by Shinsei Bank.

Yen-denominated amount equivalents (yen-denominated amount to be calculated so that installment currency-denominated amount after conversion at the exchange rate specified by Shinsei Bank equals the installment amount) of installment amount in foreign currency ("Installment Currency") designated at time of application (customers to designate both initial installment amount and one specific installment amount on each automatic installment date, and the same foreign currency on each installment date) shall be automatically debited from customers' PowerFlex Yen savings account on each installment date and deposited into the said account by exchanging it to the Installment Currency at the exchange rate specified by Shinsei Bank.
  • Application for this deposit shall not be accepted if the balance of PowerFlex Yen savings account (including available overdraft amount) does not satisfy the necessary amount for automatic debiting at the automatic installment process time specified on the initial time of installment day ("Initial installment time").
  • If the balance of PowerFlex Yen savings account (does not include available overdraft amount) at the time of automatic debiting specified by Shinsei Bank (“Automatic installment time”) on the automatic installment date does not satisfy the necessary amount for automatic debiting, the debit of this installment day shall not be made. Please note that in such case, no remedial measures will be taken, such as reduction, revision, etc. of monthly automatic installment amount of the automatic installment day debiting failed to be made in order to install deposit for the next automatic installment date.
  • If the balance of the customers’ PowerFlex Yen savings account (does not include available overdraft amount) at the time of automatic debiting specified by Shinsei Bank on or after the immediately succeeding automatic installment date exceeds the necessary amount for automatic debiting, the installment shall be re-opened by debiting only the necessary amount for the month.
  • Please note that deposits made into the account on or after 0 a.m. on the automatic installment date may not be on time for automatic debiting time. To ensure installation, please deposit not later than 0 a.m. on each automatic installment date, so that the balance of Yen savings account (does not include available overdraft amount) is at least the necessary amount for automatic debiting. In addition, in case other withdrawals, cash withdrawals and transfers etc. are made after the deposit, and Yen savings account balance does not meet the necessary amount for automatic debiting, please note that the debit shall not be made.
  • When installing in a foreign currency-denominated amount is designated, the necessary amount for automatic debiting will change according to the trend of the exchange market. It is recommended to deposit enough amounts in PowerFlex Yen savings account, to ensure installment in case of sudden exchange fluctuations.

(2) Installment currency

At the time of application, you will be asked to select from among US dollars, Euro, Sterling pounds, Australian dollars and New Zealand dollars.The installment currency may not be changed during the installment period.

(3) Minimum installment amount / installment unit

Customers must designate, at the time of application, the initial installment amount and one specific amount of installation on each automatic installment date. Requests to designate different installment amount for each installment date will not be accepted. Also, automatic installment amount may not be changed once designated.

  • Initial installment amount:
    10,000yen or more, and in the units of 1,000yen
  • Automatic installment amount:
    10,000yen or more, and in the units of 1,000yen

The actual foreign currency-denominated installment amount shall be the amount converting each yen-denominated installment amount designated by customers into the installment currency using TTS rate specified by Shinsei Bank on respective installment dates. A fraction less than one auxiliary currency of the installment currency arising from such conversion shall be rounded off.

The installment shall be as follows subject to installment currency, and customers are requested to designate the initial installment amount and one specific automatic installment amount on each automatic installment date respectively in the denomination of installment currency, at the time of application. Requests to designate different installment amount for each installment date will not be accepted. Also, automatic installment amount may not be changed once designated.

  • Initial installment amount installing in US dollars, Euro or Sterling pounds:
    100 currency units or more, and in the units of 10 currency units.
    In case of Australian dollars, or New Zealand dollars:
    200 currency units or more, and in the units of 10 currency units.
  • Automatic installment amount installing in US dollars, Euro or Sterling pounds:
    100 basic currency units or more, and in the units of 10 currency units.
    In case of Australian dollars, or New Zealand dollars:
    200 basic currency units or more, and in the units of 10 currency units.

8. Handling at maturity

This transaction is handled only in an automatic cancellation type. Therefore, the deposit principal will be repaid in lump sum by crediting the proceeds into the PowerFlex installment currency account on the termination date (maturity) of the installment period.

9. Interest
(1) Applicable interest rate
The interest rate (contractual interest rate) indicated over-the-counter at the time of application shall apply until the termination date (maturity) of the installment period. As for specific interest rate, please contact our branch or Shinsei PowerCall, etc.
(2) Frequency of interest payment / payment method
Interest shall be paid in lump sum by credit entry to the PowerFlex installment currency savings account after the termination date (maturity) of the installment period.
(3) Calculation method
Interest is calculated for the actual number of days elapsed from (and including) each installment date to (but excluding) the termination date (maturity) of the installment period on a 365-day a year basis, with the unit of one supplementary currency as the unit on which interest is paid. Fractions of 0.5 and over shall be counted and the rest shall be rounded off.

10. Caution for currency fluctuation

(1) If repayments are not converted into other currency on the termination date (maturity) of the installment period, they shall not be less than the aggregate installment amount (installment currency-denominated) until the termination date (maturity) of the installment period and thus, the principal shall not fall below original value. However, if they are converted into other currency, exchange loss may arise from the trend of the exchange market, causing the amount of yen to be received on maturity (the amount calculated by converting the repaid funds on maturity into yen by an exchange rate prevailing on maturity) to go below the aggregate amount of yen automatically debited at the installment time, thereby the principal may fall below original value.

(2) If installment in a foreign currency-denominated amount type is designated, the automatic debiting amount required at the time of automatic installment date will change according to the trend of the exchange market. Even in cases where customers confirm the balance of ordinary yen deposit in PowerFlex account (not including overdraft availability amount) exceeding the automatic debiting amount required based on the exchange rate at that point in time by 0 a.m. on the day immediately preceding the bank business day for each automatic installment date, please note that the installment of deposit on the automatic installment date may not be made due to the balance of customers' yen savings account (does not include overdraft availability amount) smaller than the automatic debiting amount required as a result of the subsequent fluctuation in exchange rates.

11. Forward exchange contract

Forward exchange contract cannot be handled.

12. Exchange settlement market (exchange rate)

The installment of this deposit is made by converting yen into the installment currency, and in such case, TTS rate specified by Shinsei Bank shall apply. Furthermore, where repayments are made at the termination date (maturity) of the installment period or by cancellation before maturity, or interests are converted from installing foreign currency into yen, TTB rate - including exchange fee specified by Shinsei Bank shall apply. For this reason, the principal of the installment amount may fall below original value even if there are no fluctuation in exchange rates. Regarding a specific exchange rate, please contact our branch or Shinsei PowerCall, etc.

13. Other fees

Additional handling fee is required for foreign currency remittance. Please contact our branch or Shinsei PowerCall (phone banking) for further details.

14. Deposit insurance

The installment deposit is not covered by deposit insurance.

15. Cancellation before maturity

This deposit cannot, in principle, be cancelled before the termination date (maturity) of the installment period. However, if we find it necessary to accept cancellation before termination date (maturity) of the installment period, Shinsei Bank shall repay only the principal. If the funds repaid as a result of cancellation before maturity are converted from installing foreign currency into yen, TTB rate - including exchange fee specified by Shinsei Bank - shall apply, and thus, exchange loss may arise due to the trend of the exchange market, and even if there is no fluctuation in exchange rates, the amount of principal may fall below original value.

16. Bonus

If customers install the installment amount - designated by them at the time of application - on all installment dates until the termination date (maturity) throughout the installment period without any skipping in installments, the amount in yen calculated by the following formula will be credited as bonus interest into the customers' PowerFlex Yen savings account on the day specified by Shinsei Bank after the termination date (maturity) of the installment period.

[ Principal amount (installment currency-denominated) at the termination date (maturity) of the installment period ] × 0.50 (yen)
(Provided, however, discarding fraction of less than 1 yen)

Please note that the above bonus interest will not be paid by Shinsei Bank if the installment on the automatic installment date is not made even only once due to failure of debiting for such month because the balance of customers’ PowerFlex Yen savings account (not including available overdraft amount) at the time of automatic debiting specified by Shinsei Bank on the automatic installment date does not satisfy the necessary amount for automatic debiting.

Learn more about "Example of bonus interest calculation"

17. Tax

Interest (including bonus interest): Subject to a 20% withholding tax
Exchange gains: Subject to comprehensive income taxation and shall be declared as "other income" on your final tax return.
Exchange losses: The loss can be deducted from miscellaneous income.
Maruyu (tax-exempt savings) program is not applicable to this deposit.

18. Overdraft service

This deposit is not subject to overdraft service for PowerFlex account.

Example of bonus interest calculation

Bonus interest stated above in product description "15. Bonus" is calculated as follows.

[ Conditions for calculation example ]

Installment term

1 year

Installment method

Foreign currency denominated amount designated type

Installment currency

US dollar

Installment currency

300 USD
(Same amount for initial installment amount and automatic debiting amount)

Principal amount (installed currency denominated amount) at installment termination (maturity)

3,600 US dollar
(300 USD × 12 times)

Bonus interest = 3,600 × 0.5 = 1,800 yen
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The English translation used in the product descriptions are intended solely for customer convenience, and shall be used as for reference only. Should there be any discrepancy between the Japanese and the English text, the Japanese text shall take precedence.