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Savings Plan
Achieve your life goals with Meethaq Savings Plans

Meethaq Savings Plan is a Shariah compliant product which offers a unique combination of saving, investment and protection. It is a goal based savings product whereby the customer can identify the goal, and then contribute at a frequency as decided by himself/ herself to achieve the goal. Under this product the customer needs to save small amounts at a set frequency (monthly, quarterly, semiannually or annually) to achieve a targeted lump sum amount over a fixed term. These small savings help the customer accumulate a lump sum amount at a future date which ordinarily would not have been possible through regular savings or fixed deposit products.

Growth of Savings

Meethaq will grow the savings of the customer by investing the accumulated savings in its financing and investment activities. The returns generated will be added to the accumulated savings on a monthly basis. This will help the customer achieve his or her goal at a faster pace.

Protection of Savings

The product also comes with an inbuilt Takaful cover; this cover will reduce along the term of the plan as the accumulated savings grow. This Takaful cover makes sure that the customer’s goal for the Savings Plan is met even in case of an unfortunate event like Death or Permanent Total Disability.

The product also provides a Hospitalization Cash Benefit once in a calendar year in case the Customer is admitted to a hospital for a minimum duration of 24 hours due to injury or sickness as per the Takaful policy.

The purpose of the long term Savings Plan can be as follows:

  • Education
  • Marriage
  • Retirement Planning
  • Personal Savings
  • Any other goal
Planning your goals

Please visit any of our branches and your Personal Banker or Relationship Manager will help you plan for the set objective using a savings calculator designed for the product. The calculator will determine the monthly/quarterly/semiannual/ or annual deposit installments required to be saved to achieve your target amount at the end of the saving term.

Features & Benefits
  • Plans start as low as RO 50 per month
  • Initial contribution required is a minimum of RO 50
  • Plans are available from 3 years up to a maximum of customer-reaching-age 64
  • Flexible contribution payment options: Monthly/ Quarterly/Semi Annual/or Annual
  • Direct Debit/Standing Order facility to transfer the contributions to the Savings Plan account
  • Attractive profit rate to grow and accelerate the savings, the profit will be added back monthly to the Savings Plan Account
  • Inbuilt Takaful cover to protect the savings goal provided by a local Takaful company, in case of customer death the remaining amount from the goal amount will be contributed by the Takaful company
  • The contributions received will be invested in Shariah compliant financing and investments of Meethaq
  • In case of an emergency need, the customer will have the option to withdraw up to 10% of the accumulated contributions from the Savings Plan Account, the remaining funds shall remain intact after this need based withdrawal but the targeted goal amount will not be achieved. Partial Withdrawal is allowed only one time in a calendar year (from Jan-Dec)
  • Full encashment is also allowed but there is a 1% pre-closure fee that will be applied on the accumulated contributions from the Savings Plan Account, the remaining amount will be paid back to the customer
Illustrative example of how it works:

30-year-old Mr. Khalid has a 10-year-old son, Ismail.

Mr. Khalid plans to save RO 20,000 over 15 years.

This will provide for 25-year-old Ismail’s college fee.

Mr. Khalid chooses a plan with monthly contribution of RO 88 with an initial deposit of RO 100

At maturity, Mr. Khalid will receive RO 20,130.34 (Deposited amount along with profit)

In case of Mr. Khalid’s demise during the 5th year of the plan, the beneficiary will get:

  • RO 5,805.07 which includes Mr. Khalid’s contributions with profit
  • Plus, RO 15,806.34 from the Takaful Company
  • In total, the beneficiary will receive RO 21,611.41 which was the initial set goal by Mr. Khalid

Disclaimer: The above figures are just an illustration based on expected profit rate of 3% per annum and this may change based on the Mudarabah Pool Assets performance. The Mudarabah rates are declared on monthly basis.

Meethaq Islamic Banking is not liable for Takaful claim and its role is limited to facilitator only. The claim shall be paid by the Takaful company subject to meeting the policy conditions.

What is the death benefit?
What is the claim process?
What is the Eligibility Criteria?
How does Meethaq Savings Plan work?
Can a customer have multiple plans?
What is Takaful?
How to Apply

Just visit any Meethaq Branch and ask for the Meethaq Savings Plan, the Relationship Manager or the Personal Banker will guide you with the details. Fill the application form and the Relationship Manager or the Personal Banker will prepare the planning sheet, the illustration (the schedule that provides the details on the contributions, the expected profit and Takaful), the customer will sign the illustration, the application form, the terms and conditions and the product fact sheet. The Relationship Manager or the Personal Banker will issue the Savings Plan in the system.

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