Electronic Share Application (ESA) through a Cool Bank

One of my friends, SW was desperate today when he suddenly discovered he could not perform the ESA for MSM IPO  using his HSBC credit card. He has just returned from a week long outstation duty this morning (Friday 10 June) and the following two days are weekend and the closing date for this IPO is on Monday 13 June.

The problem was due to his losing his old credit card which had been registered and LINKED to his CDS (Central Depository System) account with Bursa Malaysia and he forgot to re-register the new replacement card. The time was 3pm and according to his HSBC banker the registration would take three days to be activated. And the most that they could help is to activate it by Monday but that itself she was not sure as the registration is done centrally. SW was flabbergasted and told me his predicament. I was sorry for him then there was a bright spark.... I told SW to quickly withdraw his required cash from his HSBC Premier account for the number of IPO units to be applied with an extra cash  and rush  to Maybank.

I rang up my banker Patricia at Maybank and asked her to help SW open a new account into which he put in his cash. This was accomplished in less than 15 minutes with Pat's efficient service. I was thinking of SW performing an online share application which is a special facility at Maybank but Pat went on a step further by asking SW to perform an ESA using his new Maybank ATM card..... what? No registration like the other bank?.... "No" said Pat you just need to key in your CDS account number into the ATM machine and hey presto! You have your application!! SW was over the top and I am getting a free dinner on Saturday evening at Hyatt Regency.

As the bulk of my savings is still with HSBC and my ATM card is actively linked to my CDS account, I will still use their ESA facility.  At HSBC ATM machine you  need not  key in your CDS account number as it has been LINKED so that is the difference. There are pros and cons I supposed in the two systems. The cons is when you lose your card and have a new one and most likely you will  forget to re-register till the next IPO comes along. And what if when the time is restricted?

Had I known about this Maybank ESA system before, I would not be so frustrated late last year when I too failed to perform the ESA for MHB IPO at HSBC due to my replacement ATM card not being "registered". Certainly Maybank appears more friendly for stock market investors as it has both  an online share application facility as well as ESA service without the hassle of prior registration.

When you are loyal to an organisation, you will miss what others have to offer. I was a loyal customer at HSBC and paid the price for it. MHB IPO was 3.60 and today's price is 8.10.... what a loss of  an opportunity!

Well, I am glad I have opened an account with Maybank at least I would not be caught again with a "useless" ATM card when performing an ESA. I have an alternative now.

And good luck SW hope you will be successful with your MSM IPO after your foul-up at HSBC.

And the moral of the story is.... HAVE CASH WILL TRAVEL.