Guidelines on Submission of Deposit Product Information ... · TITLE Guidelines on Submission of Deposit Product Information i ... 1.1.4 These Guidelines on Submission of Deposit

GUIDELINES ON

SUBMISSION OF DEPOSIT PRODUCT INFORMATION

ISSUE DATE : 18 AUGUST 2010

Ref No DI/GL7/2010(DPI) Issued on 18 August 2010

TITLE Guidelines on Submission of Deposit Product Information

i

TABLE OF CONTENTS

SECTION 1: INTRODUCTION ............................................................................................... 1

1.1 BACKGROUND .................................................................................................................. 1

1.2 ENQUIRIES ........................................................................................................................ 2

SECTION 2: INSURABILITY CRITERIA .................................................................................... 3

2.1 INSURABILITY CRITERIA .................................................................................................... 3

2.2 EXCLUDED DEPOSIT .......................................................................................................... 4

SECTION 3: CERTIFICATION OF DEPOSIT PRODUCTS ............................................................ 4

3.1 DEPOSIT PRODUCTS THAT HAVE ALREADY BEEN CERTIFIED BY PIDM AS INSURABLE .... 4

3.2 OTHER DEPOSIT PRODUCTS ............................................................................................. 5

SECTION 4: DPR FORMS ..................................................................................................... 5

4.1 SUBMISSION OF DPR FORMS ........................................................................................... 5

4.2 NEGOTIABLE INSTRUMENTS OF DEPOSIT ........................................................................ 5

4.3 REPURCHASE AGREEMENTS AND SELL AND BUY BACK AGREEMENTS (“REPOS”) .......... 6

4.4 INVESTMENTS LINKED TO DERIVATIVES .......................................................................... 7

4.5 COMBINATION-TYPE DEPOSIT PRODUCTS ....................................................................... 8

4.6 GUIDE TO COMPLETING THE DPR FORMS ....................................................................... 8

4.7 SUBMISSION OF COMPLETED DPR FORMS ...................................................................... 8

4.8 INSURABILITY STATUS OF DEPOSIT PRODUCTS................................................................ 9

4.9 SUBMISSION AFTER 30 SEPTEMBER 2010 ........................................................................ 9

4.10 SUBMISSION OF DECLARATION ...................................................................................... 10

4.11 IMPLEMENTATION OF THE PRODUCT REGISTRY SYSTEM AND ISSUANCE OF DEPOSIT

PRODUCT CODES ............................................................................................................ 10

APPENDIX A.....................................................................................................................11



Page 1

SECTION 1: INTRODUCTION

1.1 BACKGROUND 1.1.1 As members are aware, the Government Deposit Guarantee (“GDG”) is scheduled

to expire on 31 December 2010. Thereafter, the scope of coverage of insured

deposit products will be based on the provisions of the Malaysia Deposit Insurance

Corporation Act 2005 (“the Act”).

1.1.2 Also, certain deposits and instruments that are currently guaranteed under the

GDG may or may not be insured by PIDM on or after 1 January 2011, according to

how those deposits or instruments are assessed under PIDM’s insurability criteria.

1.1.3 In preparation for the exit of the GDG and to enable the member institutions

(“members”) to comply with the provisions in the draft Malaysia Deposit Insurance

Corporation (Provision of Information on Deposit Insurance) Regulations 20101

(“Information Regulations”), PIDM will resume the process of certifying all the

deposit products of members, in order to determine whether they are insurable or

not. Members will be separately advised when the Information Regulations are

ready to be implemented.

1.1.4 These Guidelines on Submission of Deposit Product Information (“Guidelines”)

apply to both Islamic and conventional members.

1.1.5 An overview of the process contemplated under these Guidelines is depicted in the

diagram below:

1 Scheduled to be effective on 1 January 2011



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1.2 ENQUIRIES

Enquiries on the Guidelines may be directed to [email protected]

Members' Deposit Products

Deposit products already certified by PIDM (see paragraph

3.1 of these Guidelines)

No action required under these Guidelines

Members will submit e-DPR forms in 2011 and Deposit Product

Codes will be issued to members by mid-2011

Deposit products not yet certified by PIDM. These are: (a) deposit products currently offered by

members; and (b) deposit products that will be launched by members.

Members to submit DPR Forms and the

product information documents under

these Guidelines not later than 30

September 2010

PIDM will inform members regarding

the insurability status of these products by

31 October 2010

PIDM will issue Deposit Product Codes to

members by mid-2011

mailto:[email protected]



Page 3

SECTION 2: INSURABILITY CRITERIA

2.1 INSURABILITY CRITERIA 2.1.1 A deposit product is insurable by PIDM if it satisfies the insurability criteria. The

insurability criteria are set out in the Guidelines on Insurability of Deposits2

(“Insurability Guidelines”), which will be issued in October 2010.

2.1.2 The insurability criteria are as follows:

(a) monies received by the member constitute an Islamic deposit or a

conventional deposit, whichever is the case, as defined under subsection 2(1)

of the Act;

(b) monies are received by the member in the usual course of its business of

deposit-taking. This criterion will exclude, for example, monies received from

Bank Negara Malaysia and monies received by the member strictly for the

purpose of payment transactions (e.g. payment through GIRO or an issued

traveller’s cheque);

(c) repayment of the principal amount is made in money and not in money’s

worth;

(d) the liability of the member in respect of monies received by it constitutes a

deposit liability or is treated as a “deposit accepted” in the records of the

member. Monies which are provided to the member as security for a

conventional credit facility or an Islamic financing facility are included in this

criterion if such monies are treated as a “deposit accepted” for purposes of

FISS reporting to Bank Negara Malaysia;

(e) the person entitled to a repayment by the member is identifiable from the

contract between the member and the depositor;

2 For the “Consultation Paper on Proposed Guidelines on the Criteria for Determining Insured Deposits” (issued in June 2007) and the “Responses on the Consultation Paper on the Proposed Guidelines on the Criteria for Determining Insured Deposits”, please visit PIDM’s website at www.pidm.gov.my

http://www.pidm.gov.my/



Page 4

(f) in the case of an Islamic product only, the monies deposited shall be used by

the member for one or more of the banking business purposes as specified by

Bank Negara Malaysia in its Framework Of Rate Of Return namely, provision

of finance, investment in securities, interbank placements, or such other

business prescribed by Bank Negara Malaysia that complies with Shariah;

(g) in the case of a conventional product only, the member is obliged to repay

the principal amount in full. This obligation may be specified in the contract

between the member and depositor, or by established principles of law, for

example, in the case of a savings or current account; and

(h) an investment linked to derivatives or a structured product3 may be eligible

for deposit insurance provided it satisfies the criteria set above. The fact that

deductions may be made from the principal amount on early withdrawal,

redemption or termination of an investment by the investor or the member,

prior to the maturity date of such investment does not, by itself, mean that

the criteria cannot be fulfilled.

2.2 EXCLUDED DEPOSIT 2.2.1 The Act also provides that certain deposit products are excluded from deposit

insurance.

SECTION 3: CERTIFICATION OF DEPOSIT PRODUCTS

3.1 DEPOSIT PRODUCTS THAT HAVE ALREADY BEEN CERTIFIED BY PIDM AS INSURABLE 3.1.1 Prior to the implementation of the GDG, members have submitted and PIDM has

certified certain of their deposit products as insurable (“Existing Insurable Deposit

Products”).

3.1.2 No action from the members is required under these Guidelines in respect of the

Existing Insurable Deposit Products.

3 Including any investment product that falls within the definition of “securities” under the Securities

Commission Act 1993 and which derives its value by reference to the price or value of an underlying reference (e.g. any security, currency, commodity, index or other assets or reference, or combination of such assets or reference).



Page 5

3.2 OTHER DEPOSIT PRODUCTS 3.2.1 We are resuming the process of certifying members’ deposit products to confirm

their insurability status. The deposit products that PIDM will certify are those that:

(a) are currently offered by the members; and (b) will be launched by the members.

3.2.2 The cut-off date for submission of the information on deposit products referred to in

Section 3.2.1 is 30 September 2010. PIDM will inform members regarding the

insurability status of these products by 31 October 2010. Notwithstanding the cut-

off date, members are required to submit to PIDM, information regarding new

deposit products that will be launched after 30 September 2010.

3.2.3 Enclosed in the Guidelines is a CD containing softcopies of the deposit product

registration forms (“DPR Forms”) in MS Word for Islamic deposit product and

conventional deposit product respectively. The contents of the Islamic and

conventional DPR Forms are in Appendix A of the Guidelines.

SECTION 4: DPR FORMS

4.1 SUBMISSION OF DPR FORMS 4.1.1 The Islamic and conventional DPR Forms set out the questions to be completed

by the members. Members are required to use the Islamic DPR Form for Islamic

deposits and conventional DPR Form for conventional deposits. Subject to the

specific provisions on negotiable instruments of deposits, repurchase

agreements, investments linked to derivatives and combination‐type of deposit

products below, members are required to complete one DPR Form for every

deposit product offered.

4.2 NEGOTIABLE INSTRUMENTS OF DEPOSIT

4.2.1 Conventional negotiable instruments deposits (“NIDs”) and Islamic negotiable

instruments (“INIs”) are not insurable by PIDM.

4.2.2 In respect of conventional NIDs, the DPR Form is to be submitted according to the

type of the NIDs. The members are to submit one DPR Form, on a collective and one-

off basis, for each type of NID, namely, fixed, zero coupon or floating rate or a



Page 6

combination of either of the three. The members are also required to submit one (1)

set of master or generic deposit product information4 applicable for that type of NID.

Example: A member has issued numerous zero coupon NIDs. One DPR Form is to be

submitted in respect of the zero coupon NIDs issued on a collective and on-off basis.

The master or generic deposit product information is to be submitted. The member is

not required to submit a new DPR Form in respect of new launches or issuance of

zero coupon NIDs.

4.2.3 In respect of INIs, the DPR Form is to be submitted according to the Shariah contract

or contracts applied to the INIs. Members are required to submit one DPR Form, on

a collective and one-off basis, for each group of INIs that apply the same Shariah

contract or contracts. The members are required to submit one (1) set of master or

generic deposit product information applicable for that type of INI.

Example: A member has issued numerous INIs according to the Shariah contract of

Mudharabah. One DPR Form is to be submitted in respect of this type of INIs on a

collective and on-off basis. The master or generic deposit product information is to be

submitted. The member is not required to submit a new DPR Form in respect of new

launches or issuance of INIs that are based on the Shariah contract of Mudharabah.

4.3 REPURCHASE AGREEMENTS AND SELL AND BUY BACK AGREEMENTS (“REPOS”) 4.3.1 Conventional repurchase agreements (“conventional repos”) and Sell and Buy Back

Agreement (“Islamic repos”) are not insurable by PIDM.

4.3.2 In respect of conventional repos, members are required to submit one DPR Form, on

a collective and one-off basis, for all types of conventional repos. The members are

also required to submit one (1) set of master or generic deposit product information

applicable for the conventional repos.

4.3.3 In respect of Islamic repos, members are also required to submit one DPR

Form, on a collective and one‐off basis, for all types of Islamic repos. The members

are also required to submit one (1) set of master or generic deposit product

information applicable for the Islamic repos.

4 Product brochure, term sheet, contract terms and conditions, deposit application form, sample deposit placement receipt and/or product description.



Page 7

4.4 INVESTMENTS LINKED TO DERIVATIVES

4.4.1 Generally, conventional investments linked to derivatives or structured products

(“ILDs”) are insurable if they are 100% principal guaranteed if held to maturity

provided that they satisfy the other insurability criteria.

4.4.2 In respect of non‐principal guaranteed conventional ILDs, the DPR Forms are

to be submitted according to the underlying reference or combination of

underlying references. Hence, members are required to submit one DPR Form, on a

collective and one‐off basis for each group of ILDs that derive their values by

reference to the same type of underlying reference or the same combination of

underlying references. Members are not required to submit a fresh DPR Form in

respect of future launches of that group of ILDs. The members are required to

submit one (1) set of master or generic deposit product information

applicable for that type of ILDs.

Example: If a member has issued numerous non-principal guaranteed conventional

ILDs that derive their values by reference to the price of commodity, then, one DPR

Form is to be submitted for this group of ILDs. The member does not need to submit a

fresh DPR Form in respect of future launches of ILDs that derive their values by

reference to the price of commodity. If the underlying references of the non-principal

guaranteed conventional ILDs are a combination of commodity and another

reference, the member will have to submit a separate DPR Form in respect of that

group of ILDs.

4.4.3 Generally, conventional ILDs which are 100% principal guaranteed are insurable,

subject to these ILDs meeting the insurability criteria. As such, PIDM will assess

these ILDs against the insurability criteria to determine their respective insurability

status. Members are required to submit one DPR Form for each principal

guaranteed conventional ILD. The members are required to submit the deposit

product information for that ILD.

4.4.4 Members are required to submit one DPR Form for each Islamic ILD. The members

are required to submit the deposit product information for that ILD.



Page 8

4.5 COMBINATION-TYPE DEPOSIT PRODUCTS 4.5.1 These refer to deposit products that are made up of two or more deposit

products (“component deposit product”) but are “packaged” together and

marketed under one brand or name. Under these circumstances, the member is

to submit one DPR Form for each component deposit product.

Example 1: A member offers a foreign currency savings account and a foreign

currency fixed deposit account. These accounts are marketed under one brand. The

member is required to submit one DPR Form each for the foreign currency savings

account and the foreign currency fixed deposit account, together with the relevant

deposit product information for these accounts.

Example 2: A member offers a cheque book facility in respect of its savings account.

One DPR Form is to be submitted in respect of the savings account. This is not a

combination‐type account.

4.6 GUIDE TO COMPLETING THE DPR FORMS

4.6.1 Appendix A sets out the instructions and guidance to assist members to complete the DPR Forms.

4.7 SUBMISSION OF COMPLETED DPR FORMS

4.7.1 Members are required to submit the softcopy of the completed DPR Forms (in MS Word) together with the softcopies of the deposit product information in the following manner:

(a) members are to create one folder for each deposit product and save, in

the said folder, the softcopies of the completed DPR Form and the

deposit product information. Separate folders should be created for

separate deposit products. Please follow this naming convention for the

folder: name of the member‐name of the deposit product-deposit type, for

example, abc‐super‐fd (where ABC is the name of the member, Super

Returns is the name of the product and the deposit type is fixed deposit).

Use short words, if possible;

(b) the DPR Form and the deposit product information are to be saved

according to their document type, namely, dpr for DPR Form; bre for

Product Brochure; ts for Term Sheet; appn for Application Form; rect for

Sample Deposit Placement Receipt; illus for Product Description or

Illustration and formula for the Formulation for Calculation of Interest;



Page 9

(c) the DPR Form is to be saved as an MS Word document. The deposit

product information and other attachments are to be saved in any of the

following file formats: (a) xls; (b) xlsx; (c) doc; (d) docx; (e) ppt; (e) pptx; (f)

pdf (searchable); (g) txt; or (h) rtf. If the aforesaid file formats are not

available, please save in any of the following: (a) jpeg; (b) jpg; (c) bmp; (d)

tiff; (e) gif; (f) png; or (g) pdf (not searchable); and

(d) the folders in respect of all the deposit products submitted are to be saved in

a CD(s) and delivered to PIDM by 30 September 2010. See below for the

illustration:

abc‐super‐fd [Folder name of the deposit product] .......... dpr.doc [File name for DPR Form] ......... bre.txt [File name for Brochure] .......... ts.doc [File name for Term Sheet] .......... appn.pdf [File name for Application Form] .......... rect.ppt [File name for Sample Deposit Placement Receipt] .......... illus.txt [File name for the Product Description or Illustration]

.......... formula.txt [File name for the Formulation for Calculation of Interest]

4.8 INSURABILITY STATUS OF DEPOSIT PRODUCTS 4.8.1 PIDM will inform the members, not later than 31 October 2010, regarding the

insurability status of the deposit products submitted. 4.9 SUBMISSION AFTER 30 SEPTEMBER 2010

4.9.1 Notwithstanding the cut‐off date referred to in Section 3.2.1, members are

required to submit to PIDM, the deposit product information regarding new

deposit products that will be launched after 30 September 2010 to enable PIDM to

assess their insurability status.

4.9.2 The deposit product information referred to in Section 4.9.1 and the completed

DPR Form should be provided to PIDM at least 14 business days before the

expected launch date. Members can submit to PIDM the draft version of the

deposit product information rather than the final version. However, there should

not be any amendments to the draft deposit product information after the

submission which will affect or change any of the answers given in respect of the

questions marked with an asterisk (*) in the DPR Forms in Appendix A, as such

change may affect the deposit product code or the insurability status of the



Page 10

deposit product. Where the draft version of deposit product information is given

to PIDM, members are required to submit the final documents immediately

upon launching the deposit product. Members are also required to inform PIDM if

the deposit products are not launched.

4.10 SUBMISSION OF DECLARATION

4.10.1 Upon informing the members regarding the insurability status of the deposit

products or soon thereafter, PIDM will request the members to sign the relevant

declarations. The person signing the Declaration must be a senior officer designated

by the member, holding a senior position in Management or charged with the

responsibility of a department within the member, and is able to engage PIDM in

discussions and clarification on the deposit product.

4.11 IMPLEMENTATION OF THE PRODUCT REGISTRY SYSTEM AND ISSUANCE OF DEPOSIT PRODUCT CODES

4.11.1 When the Product Registry System is implemented by PIDM in 2011, PIDM will

require members to submit the electronic DPR forms (“e‐DPR Forms”) in respect

of the Existing Insurable Deposit Products and all new deposit products to be

launched by the members during that time. The contents of the e‐DPR Form will

be substantially similar to the DPR Forms. Members will be advised on this in due

course.

4.11.2 The deposit product codes in respect of all the deposit products will be issued to

the members in mid‐2011.

Perbadanan Insurans Deposit Malaysia 18 August 2010



Page 11

APPENDIX A (Instructions and Guidance to Complete the DPR Form)

A. MEMBER INSTITUTION’S INFORMATION

QUESTIONS FURTHER DETAILS

1.* Name and FISS Code Fill in the name of the Bank and the FISS Code.

2. Name of Contact Person Fill in the name of the officer completing this form (“Officer”).

3. Designation Fill in the designation of the Officer.

4. Department Fill in the department in which the Officer works.

5. Street Name 1 Questions 5 – 9: Fill in the address where the Officer works.

6. Street Name 2

7. City

8. Postcode

9. State

10. Telephone No. Fill in the Officer’s telephone number and the general number.

11. Fax No. Fill in the Officer’s fax number.

12. Email Address

Fill in the Officer’s e‐mail address. We will not accept postmaster or general use e‐mail addresses, eg. [email protected].

13. MI Reference

This is the reference number that the Bank may insert so that PIDM can quote this reference if there is a need to correspond on this matter.

14. MI Business Type Conventional Banking Islamic Banking

Both This refers to the type of banking business the Bank operates. If the Bank operates both conventional and Islamic banking (window), then the Bank is to select “Both”.

B. DEPOSIT PRODUCT INFORMATION


15. Name of Product Fill in the name of the Product.

16. Date of Launch If the Product is already launched, and the date is not known, to state “Already Launched; Launch Date Not Available”.

If the Product will be launched and the launch date is not known, to provide answer in general terms, eg, first quarter of 2011.

Where one DPR Form is to be submitted for launched deposit products on a collective basis (eg: NIDs and Repos), to state “Collective

Submission ‐ Various Launch Dates”.

* See paragraph 4.9.2 of the Guidelines. If draft versions are submitted, there must not be any changes to this answer

mailto:[email protected]



Page 12

17. Please indicate which of the following documents are attached:

Product brochure Term Sheet Contract Terms & Conditions

Deposit Application Form Sample Deposit Placement Receipt

Product Description or Product Illustration

Others (please specify)

Select the documents you have attached. If a master agreement is applicable for various deposit products, members have to attach the master agreement for every deposit product and indicate the sections in the master agreement that are relevant for the deposit product.

18.* What is the deposit

currency?

Ringgit Only Foreign Only Ringgit and Foreign

Select the currency type of the deposit product.

19.* Please select ONE of the

following deposit types:

Demand Deposit Savings Deposit Fixed Deposit Specific Investment General Investment Commodity Murabahah Short Term Deposit Bearer Deposit

Negotiable Instrument of Deposit / Islamic Negotiable Instrument Repurchase Agreement

Money Market Deposit Investment Linked to Derivatives Offered / Structured Product

Other Deposits Accepted (please specify) Select the deposit type.

Please note that “Money Market Deposit” referred to above means a deposit in a specific account opened or maintained with a member

who is an approved interbank institution (approved by Bank Negara Malaysia) expressly for the purpose of placement in the interbank money market (including, where applicable, the Islamic Interbank Money Market).

* See paragraph 4.9.2 of the Guidelines. If draft versions are submitted, there must not be any changes to this

answer



Page 13

C. INFORMATION RELATING TO INVESTMENT LINKED TO DERIVATIVES/STRUCTURED PRODUCT


20.* Please state the category of

underlying assets/reference

or combination of

underlying reference

State the type of underlying reference or the combination of underlying

references ( eg. security, index, currency, commodity or other assets or

reference).

21. Have you obtained the

necessary approvals from

the Securities Commission

and Bank Negara Malaysia

in respect of the issue,

offer, invitation for or

making available this ILD?

Yes

No

If Yes, to attach copies of the approval.

22. * If repayment of principal is

not by way of money,

please state how or in what

method will the principal be

repaid

To complete if applicable.

D. SPECIAL CONDITIONS


23. Are there any special

conditions for this product?

Yes

No

If your answer to question 23 is Yes, please answer question 24

If there is a special condition for a customer to meet in order to be eligible to

open an account of this deposit product, to select “Yes” and provide the

information in Question 24.

24. Please select the special

condition that applies and

provide the details

Age

Income Level

Occupation

Purpose of Account

Others (please specify)

Eg. if only adults above 55 years of age are eligible to open this account, to

select “Age” and state that only adults above 55 years of age are eligible to

open this account.

* See paragraph 4.9.2 of the Guidelines. If draft versions are submitted, there must not be any change to this

answer



Page 14

E. DEPOSIT PRODUCT INFORMATION

1. ISLAMIC DPR FORM


25.* Is this an Islamic deposit? Yes

No


This is an Islamic DPR Form, and if the deposit product is an Islamic deposit,

to select “Yes”. For conventional deposit products, use the Conventional DPR

Form.

Notwithstanding that an Islamic ILD is referred to as an “investment”, it will

qualify as an Islamic deposit if it fulfils the definition of Islamic deposit

referred to below.

26. Please specify which clause in

which document supports

your answer

An Islamic deposit is a “sum of money or money’s worth received or paid

on terms by any person, under which the receipt and repayment shall be in

accordance with the terms of any agreement consistent with the

Shariah”.

If there is no specific clause in any of the documents attached to support

your ” Yes” answer to Question 26, a sample response could be: There is

no specific clause in any of the documents attached. The money is received

or paid on terms under which the receipt and repayment shall be in

accordance with the terms of any agreement consistent with the Shariah.

Please tick all applicable Shariah contracts and specify the tiering amount or percentage below

27. How is the tiering

apportioned?

By Amount

By Percentage

If there are 2 or more Shariah contracts applicable for the deposit product, to

state if the tiering is apportioned according to amount or percentage.

28. * Please select all that apply

and specify the amount /

percentage and indicate the

ranking

Wadiah

Qard

Murabahah

Wakalah

Musyarakah

Mudharabah

Other

If there are more than two (2) Shariah contracts, to select the applicable

Shariah contracts. If tiering is apportioned by amount, to state the amount

and if by percentage, to state the percentage. To also indicate the ranking of

the respective Shariah contracts. If there is no tiering, please state “No tiering

applicable”.

Eg. If the Shariah contracts of Wadiah and Mudharabah are applicable, to

select both Wadiah and Mudharabah. If tiering is apportioned by amount,

* See paragraph 4.9.2 of the Guidelines. If draft versions are submitted, there must not be any change to this

answer



Page 15


state the amount apportioned for Wadiah and Mudharabah respectively. Also

state which of the Shariah contract ranks first and which, second.

29. Is profit payable on the

deposit?

Yes

No


30. Please attach the formulation for the calculation of profit, the reference rate for the

calculation of profit, the

compounding period

and/or the reset date

(whichever is applicable)

Yes, formula attached

To state the formulation for the calculation of profit, the reference rate for

the calculation of profit, the compounding period and/or the reset date

(whichever is applicable) on a document and attach here.

31.* Will moneys deposited be

used within Bank Negara

Malaysia’s Framework of Rate

of Return, namely, provision

of finance, investment in

securities, interbank

placements, or such other

business prescribed by Bank

Negara Malaysia that complies

with Shariah?

Yes

No

32. Is specific approval required

from Bank Negara Malaysia or

Syariah Advisory Council?

Yes

No


This question applies only to new non-ILD deposit products that have yet to be

launched.

33. Please attach a copy of the

specific approval required from

Bank Negara Malaysia or

Syariah Advisory Council

Yes, approval attached

* See paragraph 4.9.2 of the Guidelines. If draft versions are submitted, there must not be any change to this answer



Page 16

2. CONVENTIONAL DPR FORM

QUESTION FURTHER DETAILS

25. * Is this a conventional (i.e.,

non‐Islamic) deposit?

Yes

No


This is a Conventional DPR Form, and if the deposit product is a conventional

deposit, to select “Yes”. For Islamic deposit products, use the Islamic DPR

Form.

Notwithstanding that a conventional ILD is referred to as an “investment”, it

will qualify as a Conventional deposit if it fulfils the definition of deposit

referred to below.



your answer

A deposit is “a sum of money received or paid on terms under which it will be

repaid or is repayable, with or without interest or a premium, or with any

consideration in money, either on demand or at a time or in circumstances

agreed by or on behalf of the person making the payment and the person

receiving it”.


your “Yes” answer to Question 26, a sample response could be: There is

no specific clause in any of the documents attached. The money is

received from the customer on terms that it will be repaid or is

repayable, @

with/without interest or a premium, or with any

consideration in money, either on demand or at a time or in

circumstances agreed by or on behalf of the member and the customer

(@

delete whichever inapplicable)

27. *

Is the MI obliged to repay the

principal in full?

Yes

No




your answer

The obligation to repay in full may be specified in the contact between

the member and the depositor, or by established principles of law.

For ILDs, the fact that deductions may be made from the principal

amount on early withdrawal, redemption or termination of an

investment by the investor, prior to the maturity date of such investment

does not, by itself, mean that the criterion cannot be fulfilled.

29. Is interest payable on the

deposit?

Yes

No


30. Please attach the formulation

for the calculation of interest,

the reference rate for the

calculation of interest, the

compounding period and/or

the reset date (whichever is

applicable)

Yes, formula attached

To state the formulation for the calculation of interest, the reference rate for

the calculation of interest, the compounding period and/or the reset date

(whichever is applicable) on a document and attach here.


mailto:@with

mailto:@delete



Page 17

3. ISLAMIC DPR FORM AND CONVENTIONAL DPR FORM


34.*

(315

)

Is this deposit repayable

outside Malaysia?

Yes

No

Withdrawal of money via an ATM outside Malaysia does not render the

deposit as one that is repayable outside Malaysia.

35. *

(32)

Is this deposit in a foreign

currency?

Wholly in foreign currency

Partly in Ringgit and partly in foreign currency

No (MYR only)

36. *

(33)

Is this a money market

deposit?

Yes

No

“Money Market Deposit” means a deposit in a specific account opened or

maintained with a member who is an approved interbank institution

(approved by Bank Negara Malaysia) expressly for the purpose of placement

in the interbank money market (including, where applicable, the Islamic

Interbank Money Market).

37. *

(34)

Is this a bearer deposit? Yes

No

38. *

(35)

Is this a negotiable instrument

of deposit?

Yes

No

39.*

(36)

Is this a deposit pursuant to a

repurchase agreement?

Yes

No

5 The numbers in parenthesis correspond to the Conventional DPR Form



Page 18

F. DEPOSIT LIABILITY

QUESTION FURTHER DETAILS

40.*

(376

)

Is the deposit received in the

usual course of the MI’s

business of deposit taking?

Yes

No

(If your answer to question 40 is Yes, please answer question 41)

This will exclude, for example, monies received from Bank Negara Malaysia

and monies received by the members strictly for the purpose of payment

transactions (eg. payment through GIRO or an issued traveller’s cheque).

41.

(38)

Please specify which clause in


your answer


your “Yes” answer to Question 40, to state that there is no specific clause in

any of the documents attached and that the deposit is received in the usual

course of the member’s business of deposit taking.

42.*

(39)

Is the deposit repayable in

money?

Yes

No


This includes payment by way of cash, or cheque payment or crediting into a

deposit account with the member. The answer is No if the deposit is

repayable in money’s worth, for example, by the delivery of a commodity.

43.

(40)



your answer

If there is no specific clause in any of the documents attached, to explain if

the deposit is repayable in money.

44.*

(41)

Is the MI’s liability a deposit

liability or a deposit

accepted?

Yes

No


This is based on the member’s reporting to Bank Negara Malaysia

under the Guideline for Submission of FISS Reports.

Monies which are provided to the member as security for a

conventional credit facility or an Islamic financing facility are regarded

as a deposit liability or deposit accepted if such monies are treated as a

“deposit accepted” for purposes of FISS reporting to Bank Negara

Malaysia.

45.

(42)



your answer


your “Yes” answer to Question 44, to state the FISS Code that is or will be

submitted to Bank Negara Malaysia under the Guideline for Submission of

FISS Reports.

46.*

(43)

Is the person entitled to

repayment identifiable from

the contract with the

depositor?

Yes

No



6 The numbers in parenthesis correspond to the Conventional DPR Form



Page 19

47.

(44)


which document supports your

answer

Such document would include the application from that the depositor is

required to fill up.

Documents

Guidelines on Submission of Deposit Product Information ... · TITLE Guidelines on Submission of Deposit Product Information i ... 1.1.4 These Guidelines on Submission of Deposit