Get dividends paid straight to your bank account!

Here’s how to get your dividend payments straight to your Jamaican bank account!

One of the most exciting moments in your investment journey is the day you get your first dividend payment. 

Whether it’s $10 or $10,000, getting that first cheque in the mail is something special. Until it becomes annoying to have to go all the way to the bank to deposit or cash those cheques.

Well, you can actually get them deposited straight into your account, saving you all the runaround.

All you have to do is fill out a dividend mandate.

The dividend mandate lets the Jamaica Central Securities Depository, JCSD, know where to send your money once companies pay out the funds.

The JCSD is the agency that handles all of the local investment accounts. The dividend mandate form is super simple, quick and easy to fill out. 

Normally, your broker would give you the form when you’re opening your investment account. If not, just type in JSE dividend mandate into Google and you should see a link that will take you to the JSE’s page where you can download a copy. If you’re watching this on YouTube, I’ve also put the link in the description.

It’s super simple and takes less than five minutes. 

If you want your dividend payments to be sent directly to your bank account, just tick the box up here that says electronic deposit and then fill out your banking details. Easy peasy.

Ohh and don’t forget to write down your JCSD number, that’s the seven-digit number you got when you opened your account. Without that, the JSCD won’t be able to identify who you are.

If you want to get paid by a cheque, then skip section 1 and fill out section two with the address you want the cheque to be sent. 

Regardless of your delivery option, everyone needs to fill out section three and then that’s it.

Once you’re done, you can email a copy of the form to the JCSD at the email addresses (jcsdds@jamstockex.com copied to jcsdrs@jamstockex.com). 

Or you can drop it off in person at JCSD which is at the Jamaica Stock Exchange on Harbour Street in Kingston.

Once that’s done, then that’s it. The next time your company pays out a dividend or interest payment, you’ll be set.  One of the things to consider when filling out your mandate is how much money you’re likely to receive in payments. 

If you’re getting a hefty payment then a cheque is fine but if your payments are gonna be like $100 then it could cost you more than that just to lodge the cheque.  Also, cheques take a couple of days to clear, so you’ll have to factor in that time before the money is available.

But if you’re all for convenience, sending your dividends straight to your account definitely makes life easier.

And that’s the bottom line.