How KTT Advisories Are Handled at Prominence Bank

1. What is a KTT advisory and what does it mean when Prominence Bank receives it? A KTT advisory or notification received on our secure telecom channel constitutes message arrival only. At this stage, the KTT has not been accepted, downloaded, credited, or posted to the beneficiary’s account. It is strictly a network advisory, not a booked credit.
2. When is the 1.5% KTT processing fee debited from my account? Immediately upon telecom receipt of the KTT advisory, our system automatically attempts to debit the 1.5% KTT processing fee, calculated on the KTT face value, from the beneficiary’s account. This debit attempt is made while maintaining the required minimum balance that must remain intact in the account.
3. What happens if I do not have sufficient funds to cover the 1.5% KTT fee? If the available balance is insufficient to cover the fee:

• The fee debit is still posted to your account.
• Your account enters a negative balance.
• A 5% overdraft penalty is applied in accordance with banking policy.

An account in negative or delinquent status is considered non-compliant and cannot proceed to KTT download, intake, or credit.

4. Can the KTT be downloaded or credited while my account is non-compliant or in negative status? No. While the account remains non-compliant:

• No operational intake is opened.
• No KTT is downloaded.
• No suspense or internal settlement entry is created.
• No credit is posted to the beneficiary ledger.

Only once the account holder clears the negative balance, pays all applicable penalties, and restores full compliance (including the required minimum business balance) can the KTT proceed to intake, download, and potential crediting in line with internal procedures.

5. Will the remitting bank be informed if my KTT cannot be processed?

Yes. Where appropriate, Prominence Bank may issue a non-acceptance advisory to the purported remitter, informing them that intake is refused due to beneficiary non-compliance. This is a rejection/return notice only and does not constitute acceptance, download, or credit of the KTT instrument.