IBAN – (international bank account number) is an account number format stipulated by a standard of the European Committee for Banking Standards. It serves to clearly identify the client’s account, country and bank where the client keeps his account.

The main objective of using the account number in IBAN format is reducing errors and simplifying and automating transaction processing in cross-border payments.

IBAN can contain up to 34 alphanumeric characters. It is necessary for the client to enter this number exactly and completely (without the text “IBAN”).

To verify an account number in the IBAN format free of charge, then call the free information line on 800 521 521.

Information effectiveness depends on the degree to which the market price reflects all the available relevant information.

If a financial instrument is undervalued in view of the given public information momentarily available, investors try to buy the security, expecting that the price will increase to the equilibrium price.

The driving force of information effectiveness is the competition that exists among investors, who try to maximise their profits.

A document processed by the Bank handed over to payment cards acceptors. By signing the Contract the Merchant confirms receipt of these Instructions. The instructions are also available at www.kb.cz.

The purpose of insurance is to protect the client from a financial loss resulting from a certain event. The type of insurance depends on the area or the risk that you would like to insure: life insurance (e.g., VITAL) or non-life insurance, damage liability insurance (e.g., Merlin) or yield insurance.

Supplementary services offered to selected payment cards, such as travel insurance, payment protection insurance or purchase insurance. For more information visit the product sheet of your payment card or refer to the insurance conditions.

A premium of the bank for lending money (principal).

The percentage increase of the borrowed amount for a certain period of time. The interest rate defines how much from the principal the debtor has to pay to the creditor for the loan or credit for a period of time defined contractually in advance. This is also referred to as bank rate.

A period, in which the agreed interest rate is valid, i.e. a period, in which a client is going to pay the same annuity.

If the subscriber has failed to repay the whole rate of issue of the subscribed stock before the company is entered in the Companies Register (the so-called outstanding share), after it is entered into the Register the company issues an interim certificate to the subscriber, which will replace all the shares of one type subscribed by him and not paid.

An investment coupon is a registered security, which entitles its holder to buy shares intended for sale in exchange for the investment coupons.

Issues of publicly tradable securities are designated with the ISIN code (International Securities Identification Number). This international system is regulated by the ISO-6166 standard.

ISIN is a twelve-digit alphanumeric code, where the first two characters represent the abbreviation of the issuer’s country of origin (CZ – Czech Republic). This abbreviation is contained in ISO 3166. The next nine digits represent the basic number, with the last number representing the control number.

In the Czech Republic use is made of only the last six digits of the basic number, i.e. the first three numbers of the basic number are zeros. Issues are classified by the basic number into circuits according to the business activities performed by the company.