LB announces new Savings Account with 8.66% interest rate

LB Finance PLC, recently announced the brand new LB Finance Savings Account with ‘benefits without boundaries,’ another addition to the company’s portfolio promising the same.

The new scheme offers customers an 8.66% interest rate per annum, regardless of their balance. A minimum cash balance is, therefore, not a requisite.

“This is truly a no-holds-barred approach to saving and earning returns,” LB Finance Executive Director Niroshan Udage said.

“It allows a secure saving of funds without the pressure of having to maintain a minimum balance. It’s also comforting for savers that the high interest rate can be enjoyed regardless of account balance,” he added.

LB Finance also launched the Kids Savings Zone account for children and the Senior Savings Account for senior citizens. Both come with special benefits for the target group and look to finance them according to their specific needs. The financier is also setting a trend in the industry by liaising with Sampath Bank PLC to share the well-established banker’s wide-spread ATM facilities at outlets across Sri Lanka.  

The company has been experiencing success continuously; for the nine months ending 31 December 2011, income rose by 45% to stand at Rs. 5.596 billion propelled by its solid lending portfolio while net interest income grew by 34% to Rs. 2.622 billion.

LB Finance has consistently recorded massive increases in its profits over the years thanks to expedited growth and development; following this course, profit after tax grew by a staggering 81% year-on year to stand at Rs. 1.1 billion as at end-December 2011.

The LB Finance product range which is spearheaded by its trademark easy leasing and hire purchase facilities contributed to a total asset base of Rs. 38 billion, including a total of Rs. 32 billion worth of lending. This signifies a 37.6% increase from the Rs. 28 billion recorded at the end of the previous financial year.

In addition to lending facilities, the company’s primary mover and chief funding factor is their benefit-heavy fixed deposit schemes; deposit base grew rapidly from Rs. 19 billion to Rs. 24 billion over the nine month period. Net worth of LB Finance shares improved with the healthy financials recorded as net assets per share grew exponentially from the Rs. 37.74 during the last financial year to Rs. 50.78 at end-December 2011.   

LB Finance has a strong financial tradition of over 40 years and deploys a portfolio of financial solutions trusted widely by corporate, SME and household investor alike.  Udage said: “We have always maintained that our finest offering is our warm customer relations and the new products have specially verified that.”

LB’s product offering includes leasing, hire purchase, fixed deposits, microfinance, factoring, margin trading, inland money transfer and Islamic finance.

The newly-launched LB Finance Saving Accounts will be available across the extensive LB Finance network islandwide, including the recently-unveiled world-class Corporate Office at 20, Dharmapala Mawatha, Colombo 3.