FAQ

1 - Accounts
1.1 - Regular accounts
2 - Cards
2.1 - Credit Cards
2.2 - Debit Cards
3 - Insurance
3.1 - Insurance - Call Centre
3.2 - Insurance - tax
4 - Loans
4.1 - Personal Loans
4.2 - Mortgage loans
5 - Payment orders
6 - Unit Trusts
7 - Supplementary pension insurance
7.1 - Supplementary pension insurance - Expresní linka
7.2 - Supplementary pension insurance - taxes
8 - Cheques
9 - Internet banking
9.1 - Setting up the service
9.2 - Using the service
9.3 - Certificates
10 - Construction savings
11 - KB branches
12 - Phonebanking
12.1 - Setting up the service
12.2 - Using the service
12.3 - Expresní linka Plus
12.4 - Mobile banking
13 - KB Shares

1 - Accounts

I would like to open a a private account at KB. What is required?

To open your first account at Komerční Banka, all you need is a national identity card and one other ID card, such as a driver's licence or a passport, if you are a Czech citizen. Foreigners need to provide a valid form of identification (such as a national identity card or passport) and another valid form of identification with a photo. The minimum initial deposit for private individual accounts is CZK 300.

Can I change the type of account and keep the same number?

Yes. As an individual you can convert the type of your account to any other type designed for individuals and keep the same account number. For example, you can change your B-Account to a Perfekt-Account, or an Ideal-Account to an Extra Account, etc.

I have moved and I need to transfer my account to another branch. What do I need to do this and what are the fees?

It is easy to transfer your account to another branch within Komerční Banka. Just ask to have this done at your existing branch or at your newly chosen branch. The transfer of accounts is free of charge.

I have heard about the option of having a permitted unsecured overdraft. What are the conditions for this?

Once you have had your account for at least six months and if you have fulfilled the monthly credit deposit requirements you can ask your branch to set an overdraft amount on your bank account. The maximum allowed overdraft is 60,000 CZK. You can draw from the permitted overdraft over a maximum period of 180 calendar days, after which the account must have a positive balance again. It is also possible to acquire a permitted unsecured overdraft immediately after opening any offered package for individuals, up to CZK 10,000 after submitting verification of your income. You can withdraw from this overdraft for a maximum of 30 calendar days, after which the account must again show a positive balance.

How can I control the funds in my KB accounts?

Komerční Banka offers both telephone and Internet banking. Telephone banking - With the Express Line you can carry out standard banking operations over the telephone. Through telephone banking you can find out your account balance, transaction history, perform one-time or repeated payments, and other operations. Therefore the product enables full service of your bank account. The Express Line can also send SMS messages to your mobile about your account balance. With "My Bank" Internet Banking you can control your account easily over the Internet. You can view your account balance, account movements, perform one-time payments within the Czech Republic and abroad, and download account statements. Both of these services are available 24 hours a day, 365 days per year.

Can you explain to me what a package is?

A package contains multiple services in one. For example, it comes with a debit card, offers you the ability to manage your account online or by phone and even includes an overdraft option. The set of included services differs depending on the type of KB package you select.

Do you offer a special account for students?

Komerční banka offers the G2 Account for students. G2 is not just any ordinary account. It is an account customized to the needs of young people and students from 15 to 30 years of age. With a student account, you will get a regular account in Czech crowns free of charge, with a permitted overdraft option, a G2 international payment card and the ability to manage your account by phone or over the Internet and tap from a line of credit for students with a limit up to CZK 500,000. You can also have your payment card, account statements and card statements sent by regular mail or e-mail. Also deposits and other incoming payments to your student account and several withdrawals from KB ATMs are free of charge. The G2 card for an above-standard package also includes one ATM withdrawal abroad free of charge per month and also a foreign currency account held in EUR.

I would like an account with favourable interest for depositing around CZK 200,000.

Komerční Banka can offer you term and savings accounts with higher rates of interest than standard current accounts. You can only withdraw your deposit in a term account on its maturity date, which is within 7 days, 14 days, 1 month or 5 years. You can also earn favourable interest on a guaranteed deposit with maturity in 3, 6 or 12 months. If you have a regular account at Komerční banka, you can ask to open a KB Savings account or KB Top Savings account (depending on the type of package), which also earn favourable interest. If you are interested in a higher return on your invested funds, you can also invest in Investiční kapitálová společnost unit trusts or invest your funds in the Vital savings programme.

I have a term deposit, but this month's due date falls on a Saturday. When can I withdraw my funds?

If the due date of a deposit falls on a weekend or a holiday, you can withdraw your funds on the following business day. If you manage your term deposit via the Express Line, which is available 24 hours a day, you can call on the due date of the term deposit.

Can I open an account with the bank in Swiss francs?

Komerční Banka offers foreign currency accounts for individuals in several different foreign currencies, such as EUR, USD, CHF and GBP. It is possible to deposit an amount in any foreign currency with which Komerční banka trades into any of the offered foreign currency accounts. Opening a foreign currency account requires depositing the equivalent of CZK 1,000 in the currency of the account. If you already have an account at Komerční Banka, you are only required to show a valid national identification card.

What is the Perfekt konto (Perfect Account) package?

The Perfect Account package provides easy and comfortable access to your current account and enables you to tap immediately from a permitted overdraft line of credit of up to CZK 10,000 and to manage your account any time over the telephone banking Express Line or online with the internet banking service Mojebanka. A Visa Electron Perfect payment card can also be used with your account, and you can withdraw from KB automated teller machines twice per month free of charge.

What is the difference between the Extra account and Premium account packages?

Both types of accounts are intended for individuals. The Extra account is an advantageous package that includes features such as two payment cards, a virtual payment card for payments made over the internet, by phone or using internet or mobile banking services and a regular account in EUR. With this package all transactions entered using the Mojebanka and Mobilni banka applications and all incoming payments to your account are free of charge.

The Premium account is an exclusive package and includes two prestigious payment cards that include foreign travel insurance, a virtual card for payments made over the Internet, the ability to manage your account by phone, online or with mobile banking services and a maintained regular account in EUR. A chip card and chip card reader are provided for accessing the Mojebanka application, and you will receive an optical key for access to the Express Link service. All transactions entered using the Mojebanka and Mobilni banka applications and all incoming payments are also free of charge with this package.

Who is the Dětské konto (Children's Account) intended for, and what do you need to open a children's account?

The children's account is a savings account for our smallest clients, intended for children from infancy to the age of 15. The children's account functions just like a "piggy bank " where a child can deposit small amounts of cash, pocket money received from parents or grandparents, money received for Christmas or even reward allowance received for a good report card. The advantages of the children's account include its free management and a very good interest rate! To open a children's account, you will need the child's birth certificate and the child's parent or legal guardian will be asked for valid identification. Iif the children's account is your first account at KB, the child's legal guardian will be asked to present an additional document for identification, such as a passport ordriver's licence.

1.1 - Current accounts

What does it mean to combine a current account with an Ideal savings account?

These products are a part of the Ideal package for natural persons (private citizens) by Komerční Banka. The Ideal Account is a product package of the type "more-in-one" which will enable you to save and obtain the VISA Electron payment card free and even to overdraw your account. By joining the current and saving accounts in one, all free financial funds on accounts will be flexibly evaluated.

A month ago I set up a direct debit using the SIPO service, but so far nothing has happened. Why is that?

For the SIPO direct debit service, the deadline for entering payments is the eighteenth business day of the month. If an order for direct debit payments is entered by the eighteenth business day, it is effective as of the next month, butiff it is entered after the eighteenth business day of the month, it becomes effective in the month following the next month. For direct debit payments to O2 (Český Telecom), the deadline is usually the twenty-fourth day of the month.

2 - Cards

2.1 - Credit Cards

What is a credit card?

A credit card is a payment card which a client can use to access additional ffunds up to his/her credit limit. Credit cards can be used for payments or ATM withdrawals without using the funds deposited in the client's regular account. Komerční banka offers two types of personal credit cards, VISA Electron and MasterCard. VISA Electron is a credit card that can have a credit line of between CZK 10,000 CZK to CZK 60,000. This card includes payment ability protection insurance. The monthly payment is 5% of the currently due amount plus interest. A MasterCard is an embossed credit card with a credit line of between CZK 30,000 and CZK 250,000. This card includes an insurance program for foreign travel covering both the cardholder and his/her direct family members. The monthly payment is 10% of the currently due amount plus interest. A MasterCard business credit card is an embossed credit card with a credit line of between CZK 20,000 and CZK 200,000. Credit funds can be used to finance your business activities. The monthly payment is 10% of the currently due amount plus interest. Just like with personal credit cards, this business credit card also offers an initial 0% percent interest period of up to 45 days. Personal and business MasterCard credit cards can be used for one withdrawal per month from any ATM abroad free of charge.

I can't withdraw cash with my credit card. Why not?

You can use your credit card only if you have sufficient available credit on your account. Withdrawing funds is automatically restricted if you exceed your weekly limit, exceed your credit limit or do not make your regular minimum monthly payments.

What does the "privileged interest rate" of a credit card mean?

You will be eligible for the privileged interest rate if between the date when your credit card account statement is issued and the 20th day of the given month including that date you make the required minimum monthly payment specified on the statement. You also must not exceed the credit limit for the period. If you meet these terms and make your minimum monthly payments,interest will not be charged on the 25th day, which will make the period interest free.

Why didn't I receive a disclosure of my available credit line so I can enjoy the privileged interest rate?

We do not send a disclosure of the available credit line anymore. As of the 5th day of each month, we will send a statement which includes information with the credit card account balance, transaction history and transaction descriptions, the amount and the due date of the regular monthly payment and if the account is in good standing (meaning it is not delinquent), we will also include a description of an offer to take advantage of a special interest free period for that month.

I read about the option of getting a credit card in my statement. What do I have to do to get one?

If you would like to obtain a credit card, please visit the nearest branch of Komerční banka with your ID. If you are our client, you can also apply over the phone by calling the toll-free number 800 111 055. We can also provide you more detailed information on that number, and when calling it you will also have the opportunity to make an appointment to meet with your banking adviser.

2.2 - Debit Cards

Does Komerční Banka offer debit cards with insurance for travel abroad?

Insurance coverage for trips abroad is standard for international embossed debit cards With insurance coverage plans for embossed silver and gold Visa and MasterCard international cards, the insurance not only covers the cardholder, but also his/her family members. When the cardholder's direct family members travel with the cardholder, they receive continuous coverage for the first 60 days.

I made a card purchase in Great Britain for L50. What amount will be deducted from my account and when?

In this case it is not possible to determine exactly what amount will be deducted from your account. The currency exchange rate is converted to either USD or Euros (depending on the card issuer), and then it is converted to the currency of your account based on the selling exchange rate.

A certain amount was charged to my card, but I did not make this transaction. Why was it charged?

This is probably the annual fee for the credit card. If you believe it is a wrong charge, you can dispute it at the branch where your regular account is held, or if you are a phone banking customer you can dispute the charge by calling the Express Line.

Can I use my Bankokarta payment card to make purchases over the Internet?

Purchases over the Internet can be made securely with VISA, MasterCard, and Visa Electron electronic cards, which can be unblocked for online purchases by visiting a branch or contacting the bank by phone if you are a customer of the Express Line phone banking service. If you would like a payment card only for purchases over the Internet, we can offer you an e-Card, which is a virtual card. This is not a standard plastic card, but a 16-digit number issued either by MasterCard or VISA, depending on which brand of card you choose. To obtain this virtual card you must already have at least one standard payment card. The e-Card is valid for three years, and its minimum annual fee is CZK 65. If you are an Express Line client, you can also apply for the card over the telephone. Other clients can directly contact their local branch.

What is Mojekarta?

Mojekarta is the option to design your own picture on the front of your credit or debit card and customize its appearance. An application for this card can be filled out at a KB branch or by calling the Express Line if you use that service. After completing the application, we will e-mail you the design code, which is a 16-digit number that enables you to enter your design via a website.

3 - Insurance

Vital

The Vital banking insurance product is a KB savings product for clients who want to take advantage of the ability to save up necessary funds risk free for achieving their mid-term goals and objectives or who want to maintain a good standard of living after entering retirement. With this product your savings are guaranteed to earn interest at a specific rate for 5 years, including shares contributed by the insurer. You can request an exceptional withdrawal repeatedly and at any time or you can make an exceptional deposit. If you set up the Vital insurance product so that the coverage lasts until you reach the age of 60, you can also take advantage of tax benefits from capital life insurance and deduct CZK 12,000 annually from your tax calculation base. We offer Vital in three variants: Vital Plan, Vital Renta and Vital Junior.

What does insurance-technical reserve mean with the VITAL capital life insurance?

It is the total amount saved including all supplementary deposits and valuations as part of the insurance.

What should I do if I have accidentally overpaid my premiums for Vital life insurance?

You have two options in this case. You can either request a refund of the overpaid amount in writing, or the overpaid amount will automatically be deducted from your following payment.

Can I make exceptional deposits to or withdrawals from my VITAL capital life insurance?

You can make exceptional deposits of at least CZK 5,000 and withdraw at least CZK 1,000 at any time, but the withdrawals must not be greater than 90% of the technical reserve (the value of your account), and must maintain a minimum balance of CZK 5,000. The minimum amount for a withdrawal is CZK 1,000.

I need to insure a vehicle

Third party liability automobile insurance will protect you from potential financial impacts caused by claims brought by an injured party. Liability insurance from the Česká pojišťovna, which can be arranged at Komerční banka, will be appreciated by everyone who drives in the Czech Republic and abroad, since Česká pojišťovna has earned a reputation for honesty and quick compensation.

I need to insure property

Property and individual liability insurance will help you permanently insure even recreational dwellings or a household and will cover liability for damages caused by the regular activities of all persons living together in a common household with the insured person. Property insurance will provide financial compensation in case of damage to insured property as a consequence of a natural disaster, theft or burglary.

PATRON

Do you want your close relatives to be covered financially if you pass away due to sudden injury? The Patron accident insurance product provides this. Patron is insurance linked to your regular account at Komerční banka. In the event that you pass away due to sudden injury, this insurance will help your family cope with immediate expenses that could arise in such a difficult situation. It will also substitute your average annual income, which will help your close relatives to maintain their current standard of living. Swift settlement of claims is provided, and up to CZK 20,000 can be paid out within 48 hours following submission of all documents needed for fulfillment of insurance claims, along with main fulfillment, which is paid out in 12 equivalent monthly payments. The amount of payment depends on an average amount of credit income for the past 12 months on the current account at Komerční banka and on the agreed upon type of insurance.

VITAL Invest

Vital Invest is investment life insurance which uniquely combines the ability to influence the appreciation of the invested funds and together with guaranteed financial security in unpleasant situations. You choose your own investment strategies by choosing from the five offered funds (a fund with guaranteed appreciation, conservative, balanced, dynamic and dynamic plus) depending on which fits your expectations and the approach to the investment risk. You may also choose any random combination and thus optimize the achieved profit. The selected strategy can be changed at any time for the duration of insurance coverage validity.

Mortgage risk insurance

Risk life insurance agreed for a loan is intended for those who ask for a mortgage loan at Komerční banka. It serves mainly for protecting a family from having to pay back the loan in difficult life situations. The insurance applies to the risk of death or permanent disability and covers the risk of work disability or loss of employment. The insured amount is determined by the amount of the granted loan, and the validity of the coverage it decreases as the loan is being gradually paid off. Should an insurance event occur during the coverage period, the insurance company will settle any outstanding amount of loan with Komerční banka. If the client has arranged risk life insurance from KB, he/she can obtain a more favourable interest rate for a mortgage line of credit.

Merlin

Do you want to feel safer when using your payment cards? Do you want to have protection against loss or theft? Then Merlin is intended just for you. Merlin is insurance that will safeguard you against fraudulent use of your card in case it is lost or stolen anywhere in the world. Your feeling of security will be enhanced further by the fact that the protection provided by the Merlin product also covers theft of cash withdrawn using your card, the loss of your personal documents, mobile telephone or keys lost or stolen with the card.

Brouček - life insurance for children

Brouček is investment life insurance for children, which advantageously combines provision of finances for the child and insurance protection for the child and adult. This insurance policy can be concluded for children from the day they are born until the age of 14. You can choose between two insurance alternatives - savings and protection. Brouček combines the possibility of achieving interesting appreciation and at the same time guarantees financial security in unpleasant situations. Other than the basic risks (death and permanent disability of the adult party insured) it is possible to also arrange additional insurance for the event of injury or hospitalisation. The insurance policy can be concluded not only by the child's parents, but also for example grandparents who can save for the child's future.

3.1 - Insurance - Call Centre

With VITAL capital life insurance, can I notify the bank by phone about exceptional deposits and withdrawals?

At this time you can request this in person or in writing at a Komerční Banka branch by filling out a exceptional deposit or withdrawal form.

Can I make a change to my insurance contract over the telephone?

No. Each change must be made in writing with the client's signature. However, you can send a written request for the change by mail.

3.2 - Insurance - tax

I have deducted premiums for capital life insurance and Vital from my tax base, but now I have cancelled my contract before reaching age 60. Do I have to return the written-off taxes?

Yes. In this situation, you must file a tax return and return the difference by which you had taken advantage of a reduction.

4 - Loans

4.1 - Personal Loans

I would like information about personal loans and what they entail?

Komerční Banka offers personal savings loans that can be drawn either in cash or in some other way. The minimum amount of each loan is CZK 30,000, and the maximum is CZK 500,000. These loans are valid for a maximum period of 6 years. To obtain a loan, you must have a current personal account in Czech crowns at KB before applying. Komerční Banka can provide an unsecured loan of up to CZK 250,000 based on an individual case assessment. When you submit your application to the bank for a loan, you must also provide to forms of identification, confirmation of your monthly income, and the loan application. Application forms are available at all KB branches.

I would like some information about Perfektní půjčka (Perfect Loan).

Perfektní půjčka is provided as a cash loan of between CZK 30,000 and a maximum amount of CZK 250,000. You can repay a Perfektní půjčka loan over 6 years by making payments from your regular account at KB, which can also be opened before applying for the loan. Komerční banka can provide an unsecured loan of up to 250,000 CZK. The amount of the granted loan depends on an individual assessment. Advantages include free loan processing and free management of the loan account with no additional fees besides interest. Together with the application for the loan, the client will be required to provide the bank with two forms of identification, confirmation of monthly income and the loan application, which is available at all KB branches.

I would like to consolidate all of my loans into one.

The KB Optimální půjčka (Optimal Loan) is used for consolidation of loans and is provided between CZK 30,000 and CZK 500,000. The maturity period of these loans is a maximum of 10 years (subject to the condition that the existing loans are repaid over a period of longer than 12 months, otherwise the loan is provided with a maximum maturity of 6 years). Banking and non-banking products can be consolidated (consumer loans, credit cards, authorised overdrafts) provided not only by Komerční banka, but also by other financial institutions or hire-purchase companies. It is also possible to provide an additional amount above the level of the consolidate loans in terms of the KB Optimální půjčka.

4.2 - Mortgage loans

I intend to buy some property. Can you tell me whether KB can provide a loan for this purpose?

Yes. You can take advantage of a standard mortgage loan. Mortgage loans of a minimum of 200,000 CZK are offered to individuals, and mortage loans of CZK 500,000 are offered to businesspersons and legal entities. The maximum amount of the loan is limited based on the client's ability to pay the principle and the value of the pledged property. Komerční Banka offers two types of loans for individuals, a standard mortgage loan (a maximum of 70% of the value of the pledged property) or mortgage loan plus (a maximum of 100% of the value of pledged property). Mortage loans with a maximum of 70% of the value of the pledged property are provided to businesspersons. Loans have repayment periods of between 5 and 30 years (a maximum of 20 years for businesspersons. Agreements are signed at branches. For a sample calculation of monthly payments and what loan amount you are eligible for, please phone our toll-free number at 800 11 10 55. If you do not own an appropriate property to use as collateral, you can apply for a “Personal Property Loan” and use standard guaranteeing means, such as a guarantor. The minimum loan amount for this is CZK 100,000, and the maximum amount is 80% of the property's value. The maximum payment period is 10 years, and to obtain any of these loans, all you need is a regular account with KB, a filled out loan application form and confirmation of income from your employer. You must also provide details about the property (the purchase contract, a statement from the real estate register, etc.).

I would like to use part of the loan for purchase of real estate and part for household fixtures and fittings. Is this possible?

Yes. Komerční banka offers the 2in1 mortgage, where part of the loan can be used for investment into real estate and part can be drawn for anything you wish (e.g. fitting out a household). The minimum amount is CZK 250,000 (CZK 200,000 for investment into real estate and CZK 50,000 for use as you wish). The non-specific part may be a maximum of 20 % of the total level of the loan and also a maximum of CZK 400,000. Both parts of the 2in1 mortgage can have a maximum maturity of up to 30 years.

Is it possible to have a mortgage loan where I can change the level of my instalments according to my financial situation?

Yes. Komerční banka offers the Flexibilní hypotéka (Flexible Mortgage), thanks to which it is possible to increase your instalment level by up to 100 % or decrease it by as much as 50 %. Thanks to the Flexibilní hypotéka, you can defer repayment by up to 12 months or interrupt payment of instalments by up to 3 months. When payment of instalments is deferred, you do not have to repay the principal or the interest. These changes can be made at most once per year.

5 - Payment orders

Is it possible to cancel a payment order before it is due to be completed?

A submitted and approved payment can be cancelled before its realization is due at the branch where your account is held. You can find the charges for cancelling these types of payments in the KB Price list. If you entered a payment in advance of its due date via the express Line, you can cancel this payment over the phone by one business day before the due date at the latest. You can also use the Mojebanka application to cancel the payment no later than by one business day before the due date if the payment was submitted online.

A foreign client of mine would like to send me money. What details will they need from me to do this?

A payment sent from abroad to your account held at Komerční Banka can be made as what is called a flat payment, which can be made from any foreign financial institution. All the sender needs to know and write on the payment order is the account number in IBAN format and the recipient's name and address. The swift code (international identification) is also required, which is KOMB CZ PP. Entering KB Euro payments or SEPA Euro payments will save costs. The conditions for these types of payments from abroad are that the transfer is between countries that are part of the European economic zone, the payment is issued in Euros (for KB Euro payments up to a limit of EUR 50,000). The order must contain the IBAN and BIC (Swift code). Both the sender and the recipient pay fees (labels SVL and SHA), and the order must not be labeled as urgent and must be entered without special demands for processing. You can verify the IBAN format for an account number by calling our toll-free information line 800 111 055.

What are the charges for withdrawing from Komerční Banka ATMs and ATMs of other banks in the Czech Republic, such Česká Spořitelna ATMs?

Credit or debit cards issued by Komerční banka include one or more free withdrawals from KB ATMs per month depending on the type of card. A fee of CZK 5 is charged for other withdrawals from KB ATMs. A fee of CZK 35 is charged for withdrawing from ATMs of other banks, including Česká Spořitelna.

6 - Unit Trusts

What is the minimum amount I can invest in your unit trusts?

The first investment must be CZK 5,000, but for regular investing sending an amount of at least CZK 500 is sufficient. The minimum amount of each additional investment is CZK 500. *) The minimum amount of an investment into secured and guaranteed MAX, Ametyst and KB Akcent funds is CZK 10,000.

Are investments in unit trusts insured?

Since with an open-end unit trust no deposit is involved, but instead an investment into securities, these monetary means are not insured. Nevertheless, all holders of participation certificates can constantly follow (in the daily press, on the Internet or at KB branches), how the administrator of the unit trust is managing their funds and, if they are not fully satisfied they can ask to redeem their participation certificates at any time.

Can the Contract be entered into, and can investing be done by phone?

Yes, clients of the Expresní linka can enter into a framework Contract and buy participation certificates over the phone. Users of Internet banking also have the ability to do this using the Mojebanka application.

How often is the rate of individual unit trusts determined?

The value of one participation certificate (PC), which means its rate, is set daily and can be ascertained in different ways. It is published in the newspapers Hospodářské noviny, MF Dnes and Právo. It can be also be obtained by calling the toll-free information line 800 11 11 66 or from our website www.iks-kb.cz. The value of the assets for one participation certificate (= the rate) is computed to four decimal places, according to the Statutes. For secured and guaranteed MAX, Ametyst and KB Akcent funds, assets are evaluated once per week.

Does your company send statements to clients, and if so, how often?

IKS sends information on the condition of the property of the account participant (assigned to the contract) semi-annually or if any activity occurs on the account (such as a purchase or sale of allotment certificates). Statements are sent free of charge.

Can I receive statements and other information at an address other than my address of permanent residence?

Yes. When a contract is drawn up (also in addition), you can specify what is referred to as a correspondence address, which means the address where you would like any correspondence to be sent.

Why is it better to invest in open-end unit trusts?

Few people have enough money, information, experience and time to be able to invest on their own in different types of financial markets. By investing even a small amount in all IKS unit trusts, you have the opportunity to invest in the market best fits your needs based on the level of risk or the period during which it makes the most sense to invest. In addition, when investing individually the investor will incur higher transaction costs for each individual transaction.

If I transfer a participation certificate to another person, is payment of contributory tax required?

You can transfer a participation certificate for a consideration or for no consideration (i.e. as a gift). In the first case, this transfer is treated in the same way as the sale of a participation certificate. In the second case, the transferee should pay a tax on the gift. In this case, what is important is the price of the participation certificate and whether or not the transfer is between family members. This situation is regulated by the relevant legislative act.

Can a participation certificate be transferred to another person?

If a participation certificate is transferred between participation certificate holders, they must conclude a purchase contract or a gift contract and present it to an official at Komerční banka.

Can I authorize another person to conduct transactions with participation certificates?

Based on a notarized power of attorney, you can authorize a third party to handle your investment certificates. Of course, the extent of the granted power of attorney can be defined individually.

Do the unit trusts pay a dividend?

The investment strategy followed by all the unit trusts of the Family of IKS Unit Trusts is to increase the value of the assets of the particular unit trust by re-investing the entire yield attained. Therefore, profit is not paid out as a dividend, but it is re-invested to become the source of new yields so that the unit trust achieves the best possible results. If a holder of a participation certificate wishes to buy back part of his means (to have "something extra"), he can sell a few of his participation certificates at any time. This method makes sense for the holders of participation certificates from a tax point of view as well. If the unit trust paid out profit as a dividend, the final yield would always be reduced by 15 %i.e., the rate of the withholding tax.

Does the company charge any fees for the purchase or sale of participation certificates?

Currently (until further notice), the IKS funds opening fees are completely cancelled. Fees are applied upon surrender of participation certificates. KB funds have zero fees upon surrender, and fees are charged only at purchase. The fee amount can be verified on website www.iks-kb.cz, at KB branches or by calling the toll-free number 800 111 066.

How are advantages for taxation of yields from IKS funds calculated for individuals?

Tax advantages have been granted only to individuals who have been holders of participation certificates in a particular unit trust for more than 6 months continuously. In such situations, they are not obliged to include this yield in their tax returns.

7 - Supplementary pension insurance

Where can I enter into a contract for the KB Pension Fund?

You can contact any KB branch that provides supplementary pension insurance, or you can conclude a draft contract bz calling Komerční banka's toll-free information line 800 111 055. The draft contract will be sent to your address, which you will confirm by signing the contract and sending it to the Komerční banka Pension Fund's address.

In my supplementary pension insurance contract, I arranged an early retirement pension. I complied with the conditions for its payment and have asked for it to be provided. How will I continue paying my contribution?

If you have complied with the conditions for the early retirement pension and have asked for it to be paid, you will not contribute to this early retirement pension any more and you will contribute only to the old age pension.

How often will I receive a statement from the KB Pension Fund?

Statements informing clients of the status of their individual accounts are sent once a year, following the General Meeting at which the decision on profit distribution and on the annual appreciation on savings is adopted. (The General Meeting usually is held in May, and statements are sent out during June and July.) You can also request a current statement for your individual account either by contacting any branch providing supplementary pension insurance or by phone by calling the KB PF client line 272 173 173-5. You can also request a current statement through Komerční banka's Expresní linka if you use this service.

How often are KB Pension Fund statements sent to clients?

A statement containing the balance of an individual account is sent to the client once a year, after the General Meeting, which decides on the distribution of profit, i.e. on the annual increase in the value of the savings (the General Meeting takes place, as a rule, in May, the statements are sent during June and July). During the year, you can ask for a statement of your individual account, either through the branch that provides the supplementary pension insurance or by calling the client line of PF KB (tel. No.: 272 173 172-5), owners of an Express account can use the Express Line 800 150 250.

I have had supplementary pension insurance for a number of years and I would like to increase the amount I contribute each month. Do I need to contact the branch of Komerční bank where I signed the contract?

You can contact any KB branch providing supplementary pension insurance, or if you have Expresní linka you can also arrange this by phone.

7.1 - Supplementary pension insurance - Expresní linka

Is it possible to claim a benefit over the phone? Will such an application be sent to the Pension Fund immediately or will I have to sign it?

Pension Fund clients who have a contract and meet the conditions for the payment of benefits according to the original or new pension plan can request to have the benefits paid by calling the Expresní linka. The application does not need to be signed. Instead of your signature, you will simply need to approve the most important data as part of the required security procedure. Then, within 30 days, the KB Pension Fund will send you an exact list of how and in what amounts payments will be made.

Is it possible to find out the balance of a supplementary pension insurance account and to request a statement for this account over the phone?

Yes. Based on your telephone request via Expresní linka, we will complete a request form for a current statement, which will then be sent to the contact address specified in the contract.

7.2 - Supplementary pension insurance - taxes

How much can I deduct from my income tax base because I pay contributions to the supplementary pension insurance and what are the conditions for claiming this deduction?

Regardless of whether or not you are employed, you are entitled to deduct from your income tax base an amount equal to the total contributions paid in the calendar year, reduced by CZK 6,000. The maximum allowed deduction is CZK 12,000. If you decide to use this option, it is recommended to pay contributions of CZK 18,000 to the Pension Fund account each year, so that you can deduct the maximum amount allowed by the existing tax regulations. In practice this means that from the total amount of CZK 18,000, you will receive a State contribution for the first CZK 6,000, and the remaining CZK 12,000 can be deducted from your income tax base when annual income taxes are calculated.

I contribute CZK 1,500 each year for supplementary pension insurance. I will submit a tax return and I would like to include these contributions in the items deductible from the tax base. How should I proceed?

Confirmations for the tax return were sent out by KB Pension Fund at the beginning of the year. If your contributions to this Fund were more than CZK 6,000 and you did not receive the relevant confirmation, you should contact the branch of KB that provides your supplementary pension insurance, or if you are an Expresní linka customer, you can use the Express Line to get this confirmation. You can also get this confirmation over the phone by calling the KB Pension Fund customer service phone number 272 173 172-5. Each person contributing to a pension fund, regardless of whether he/she is an employee or not, can deduct an amount equal to the total contributions paid in the calendar year, reduced by CZK 6,000 from his/her income tax base. The maximum amount that can be deducted is CZK 12,000.

8 - Cheques

May I cash a cheque received from abroad at KB?

Komerční banka can facilitate cashing of cheques without the person to whom the cheque is made out to having to contact the cheque issuer. Cheques are usually accepted for depositing, and when a cheque is cashed it can take 5 to 20 days to clear. In this situation Komerční banka sends the cheque to the bank that issued it, and if that bank recognizes the cheque it will send the funds to Komerční banka, and Komerční banka will then arrange for the amount on the cheque to be paid to its recipient.

Traveller's cheques are usually cashed immediately up to the amount of $20,000. If the value of the cheque is greater than $20,000, if the cheques have defects or if they are related to an inheritance, Komerční banka will accept them for deposit.

9 - Internet banking

9.1 - Setting up the service

Is Mojebanka expensive?

On the contrary. You will save money by using Internet banking. The Mojebanka service included for free in certain financial packages. The charge for an online payment is much less than the charge for a payment at a branch.

Will it save time?

Certainly. You will no longer have to waste time by going to the bank and queuing at counters. Instead you can quickly and easily manage everything you need from the comfort of your home or office.

Is it very complicated to set up the service?

No. Actually, it is easy to set up Mojebanka. First, you have to get a personal certificate directly at your local branch if you want to use a chip card for storing your certificate. You can also sign necessary contracts at a KB branch.

Is the service difficult to use?

No. Anyone can manage the Mojebanka service. The Mojebanka service has been designed with a user-friendly layout that makes it easy for the average user to manage. A demonstration version can be viewed on the website www.mojebanka.cz to help familiarize customers with the application. Online help is available if anything is unclear, or you can call our professional team of banking advisers at the toll-free customer service line 800 152 152.

Do I have to go to the branch?

Yes. Entering into the contract in person at the branch is important to ensure maximum security of your personal data and bank accounts. After this, all communication will be via the Internet.

Do I need to have an account at KB in order to use the Mojebanka service?

Yes. The Mojebanka service is only associated with accounts in Czech crowns held at KB. You only need to have a regular CZK account to be able to set up the service.

Do I need to have an Internet connection?

Yes. You have to be connected to the Internet to perform banking transactions using the Mojebanka service.

What kind of computer do I need?

For information on minimum PC configuration requirements, click on PC configuration.

How much does it cost to set up the service?

You can set up the Mojebanka service free of charge, whether you are an individual or an entrepreneur. Issuance of the personal certificate is also free.

9.2 - Using the service

What if I enter an invalid account number?

The Mojebanka service checks the account number format right after entering a payment or collection order. If you enter a wrong account number in the correct format, the payment will be performed if the account exists. If the account does not exist, the payment will be rejected.

Is there any limit for transactions?

You will set the limit yourself when signing the contract at the bank branch. The amount depends on your requirements. There is no maximum limit set by the bank.

How often can I use the service?

You can use Mojebanka at any time as often as you need 24 hours per day, 365 days per year.

Can I use Mojebanka with a single account only?

You can use Mojebanka to handle all your KB accounts that you want to manage online.

Can I cancel the service?

Yes. You can cancel Mojebanka at any time. You have to cancel it in person at the branch that maintains your account.

Can my spouse or another member of my household use the service?

Yes. It is entirely up to you whom you decide to grant access to your accounts using the Mojebanka service, but you have to specify these other users when entering into the contract, and/or an addition to the contract needs to be written. Each specified person will get his/her own personal certificate for using the Internet banking and will choose his/her own password. Never provide your own password to anyone, even your own family members.

9.3 - Certificates

What is the validity period of the personal certificate?

For security reasons, a personal certificate stored in a file is valid for one year. A certificate on a chip card is valid for 2 years. You need to extend your certificate online before its expiration. Therefore, you do not have to visit a branch to do this.

Can I suspend the validity of a personal certificate?

Yes. You can suspend validity of a personal certificate at any KB branch, by callingthe phone number 800 152 152 or by online by clicking on the link to start the Certification Wizard.

How can I extend the validity of a certificate before it expires?

You can do so within 30 days before the expiration date. Launch the Certification wizard to extend the validity of the certificate free of charge. If need be, you can call professional support toll free at 800 152 152.

How do I find out the remaining time of validity on an existing certificate?

Launch the Certification wizard to find out the remaining time of the certificate validity. Select the menu option Other operations with certificate / Displaying certificate and in the window select the option to display the remaining time of validity. If the expiration is within 30 days, you can extend your certificate. You will be informed of the upcoming expiration of the certificate every time you log into Mojebanka and Profibanka services.

How can I renew the validity of a personal certificate after it has been suspended?

If the validity of the certificate has already expired, it can only be renewed in person by visiting the KB branch that maintains your account.

Do I have to remember the password?

Yes. The password consists of 8 characters. You must not share your password with any other person.

10 - Construction savings

I'm interested in construction savings. Who should I contact?

You can contact any Komerční banka business location or call the Modrá pyramida customer service line 222 824 777. Internet banking clients can also enter into a contract for construction savings using the Mojebanka application.

11 - KB branches

What are the opening hours of KB branches?

The opening hours of Komerční banka branches are usually Monday - Friday. Some branches are also open on Saturdays. If you would like to know the opening hours of a particular branch, please contact our information line at 800 11 10 55. This information can be also found here.

12 - Phonebanking

12.1 - Setting up the service

Is Expresní linka safe?

Of course. The top quality security solution designed based on the experience of the world's leading banks is an advantage of the product. A security procedure consisting of identification and identity verification is carried out at the beginning of every phone call. All calls are automatically recorded and archived.

Will it be worth it financially?

Definitely. Expresní linka is provided free in selected service packages. Sending payment orders using Expresní linka is much cheaper than at a bank branch.

Will it save time?

Certainly. You will no longer have to waste time by going to the bank and queuing at counters. You can arrange everything quickly and easily over the phone, whether a landline or mobile, from anywhere in the Czech Republic or abroad. The service is available 24 hours a day, 7 days a week.

Is it very complicated to set up the service?

It is very easy to set up Expresní linka. You will arrange the contract using the Expresní linka service. If you choose a PIN as security protection, you will receive a special envelope with your PIN within a week after signing the contract. From that moment, you can start using the Expresní linka service. If you own an optical key card and choose it as the security tool, you can start using the service after 3 business days.

Do I have to go to the branch?

Yes. Entering into the contract in person at the branch is important to ensure maximum security of your personal data and bank accounts. After this, all communication will be via telephone.

Do I need to have an account at KB in order to use the service?

Yes. The Expresní linka service is only associated with accounts in Czech crowns held at KB. You only need to have a regular CZK account to be able to set up the service.

How much does it cost to set up the service?

Setting up KB Expresní linka is free for individuals, entrepreneurs and legal entities.

Are there any other ways of obtaining a PIN for Expresní linka besides by mail?

You will specify the way to receive the PIN when signing the contract for using Expresní linka. The PIN is usually sent by registered mail with delivery confirmation. You can also arrange to have your PIN sent directly to your bank branch, where you can pick it up in person.

12.2 - Using the service

Can I use Expresní linka with a single account only?

You can use Expresní linka to handle all your KB accounts that you want to manage online. You can also manage other persons' accounts if you obtain necessary authorization from the account holders.

Is there any limit for transactions?

Yes. There is a maximum daily limit for a client set by the bank. Clients may reduce this limit to as low as zero based on their own needs.

Can I get a mini-statement from Expresní linka for a certain day?

Mini-statements are sent pursuant to the agreed Conditions for using KB Expresní linka, usually for periods of 10, 20 and 30 days.

Can I use Expresní linka abroad?

Yes. You can call the number +420 955 559 559 from abroad. Calls to this number are normally charged according to the rates of your operator.

How long does clearing of items created via Expresní linka take?

Transactions are scheduled in the same way as other types of payments and transfers. Funds are transferred immediately between KB accounts. If you schedule the payment on a business day before 8:30 PM, it can be expected to be processed on that same day.

Can my spouse or another member of my household use the service?

Yes. It is entirely up to you whether you share access to your accounts using the Expresní linka, but you have to specify the other authorized users when entering into the contract. Other authorized users whom you specify will obtain their own personal security codes to use with telephone banking.

Is it possible to transfer funds from an account in a foreign currency to an account in another foreign currency using Expresní linka?

Using Expresní linka, you can only transfer money to accounts in foreign currencies maintained at KB.

12.3 - Expresní linka Plus

What is Expresní linka Plus?

Expresní linka Plus is an add-on service for Expresní linka. It provides Internet access to your accounts.

How can I get Expresní linka Plus?

You can simply activate Expresní linka Plus (Internet access) via a telephone banker.

How can I access my accounts via the Internet?

On the website www.expresni-linka.cz click Login - Expresní linka Plus. Then on the login page enter the PIN for account that you use with the Express line.

Is it possible to block or deactivate Expresní linka Plus?

Yes. You can block/unblock or deactivate/activate this add-on service very easily by contacting a telephone banker.

12.3 - Expresní linka Plus

What is Expresní linka Plus?

Expresní linka Plus is an add-on service for Expresní linka. It provides Internet access to your accounts.

How can I get Expresní linka Plus?

You can simply activate Expresní linka Plus (Internet access) via a telephone banker.

How can I access my accounts via the Internet?

On the website www.expresni-linka.cz click Login - Expresní linka Plus. Then on the login page enter the PIN for account that you use with the Express line.

Is it possible to block or deactivate Expresní linka Plus?

Yes. You can block/unblock or deactivate/activate this add-on service very easily by contacting a telephone banker.

12.4 - Mobile banking

What is mobile banking?

Mobile banking makes it possible to manage your account using the keypad and display on your mobile phone. You can use mobile banking to verify your account balance or transaction history, or you can use it to make payments, top up your mobile phone credit or have messages sent to you about completed payments.

How do I sign up for the mobile banking service?

You can request activation of mobile banking by phone using the Express Line. A telephone banker will help you with setting up your phone and if necessary can check whether your mobile phone is compatible with the service.

How can I manage my account via my mobile phone?

Using mobile banking is simplified by the fact that for accessing your account you use the same security codes as when using the Express Line service (a PIN and password or an optical key card).

13 - KB Shares

I am a KB shareholder. What do I need to do to receive payment of dividends?

When paying dividends, Komerční banka always acts in accordance with its Articles of Association, which regulate payments of dividends from bank shares as outlined in its Section 6. KB also acts in accordance with the published notification about payment of dividends of KB shares for the given year.

Dividends for individuals can only be paid using one of these two methods:

Due to the amendment to the bank's guidelines adopted at the General Meeting in 2003, letters with information can no longer be sent to shareholders.

Dividends for legal entities are paid exclusively by transferring the payments to the bank account of the shareholder or administrator as specified by the shareholder or administrator after documents required by KB guidelines have been submitted and addressed to the bank's registered seat or any KB sales location.

For further information regarding dividend payments, you can call Komerční banka at +420 955 532 095 or send an e-mail to jiri_matyasek@kb.cz.