Savings Plan - Meethaq

Meethaq Savings Plan

Achieve your life goals with meethaq savings plan, which offers a unique combination of saving, investment and protection

Features:

Goal based savings product allowing customers to save for education, wedding, retirement or any other purpose.
Plans start as low as rials Omani 50 per month
Plans ranging from 3 years up to a maximum of 70 years of customer age
Flexible contribution payment options (monthly/quarterly/semi-annual/or annual)
Free Direct debit/standing order facility to transfer the contributions to the savings plan account
Attractive profit rate (with profit added back to the savings plan account, on monthly basis)
Complementary Inbuilt takaful cover to protect the savings goal provided by a local takaful company
Contributions invested in shariah compliant financing and investments of meethaq
Option to withdraw up to 10% of the accumulated contributions from the savings plan account in case of an emergency
Option for partial withdrawal one time in a calendar year (from jan-dec)
Customer can top up the Saving plan with additional funds if required.

Eligibility:

All individuals aged 18 years and above, up to the maximum age of entry of 64 years, can apply for meethaq savings plan.

Expected Profit Rates:

Meethaq Savings Plan offers an attractive profit rate of 3% per annum (p.a).

Fees & Charges:

For more details, please refer to Meethaq Tariff Book, Click here

Terms & Conditions:

To read our Terms & Conditions, Click here
Application Form, Click here

Documents Required:

Signed savings plan application form.
ID card (for Omani nationals)
Resident card and passport (Residents)

FAQs:

What are some of the objectives met under the savings plan?

Education
Marriage
Retirement plan
Personal savings

Can a customer have multiple plans?

Yes, a customer can have multiple plans; however, the cumulative sum cover, or the takaful cover inclusive of all meethaq saving plans, will only be up to rials Omani 50,000*.

How does meethaq savings plan work?

Meethaq is a recurring deposit plan, where you as a customer will pay your contribution regularly
The bank will pay profit on your deposited amount while the takaful partner will provide takaful cover (refer to the table below).

What is takaful?

Takaful, derived from the Arabic root word ‘kafalah’, means mutual solidarity
It is an Islamic way to share participants’ risk on the basis of cooperation, brotherhood and mutuality for common good

What is the protection offered through the takaful cover?

In case of the customer’s death, a sum of the cash value (invested amount along with the profit earned) and the applicable takaful cover shall be paid
Takaful cover is diminishing with the plan term; and the formula to calculate the cover is total plan size (contribution amount X plan term) minus contributions paid till date
It 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

What is the claim process?

Meethaq Islamic bank, acting as a facilitator, will forward the customer’s case to the takaful company
The company will process takaful claims (the bank shall not be responsible for any claims submitted to the takaful company)
The claim shall be processed, subject to meeting the takaful policy terms and conditions

What is the procedure to apply for meethaq savings plan?

Visit any meethaq branch where the relationship manager or the personal banker will guide you with the details
Fill the application form
Sign the illustration (the schedule that provides the details on the contributions, the expected profit and takaful) prepared by the relationship manager or the personal banker, along with 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

Illustrative table to underst meethaq savings plan (OMR 100 initial investment):

Monthly Installment / Deposit / Contribution

Term / Tenor

Starting Takaful Coverage*

End of Term, Cash Value**

Total Contributions

Total Profit**

RO 50

15 years

9,000

OMR 11,505.38

OMR 9,100.00

OMR 2,405.38

RO 100

15 years

18,000

OMR 22,854.01

OMR 18,100.00

OMR 4,754.01

RO 150

15 years

27,000

OMR 34,202.65

OMR 27,100.00

OMR 7,102.65

* Takaful coverage will reduce as the regular contributions are paid by the customer.

** End of term cash value is based on expected profit rate and other assumptions. however, the actual results will be based on mudarabah pool income, weightages and payment of regular contributions by MSP holder or customer.

Disclaimer: The above values are 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 Savings Plan

Features:

Eligibility:

Expected Profit Rates:​

Fees & Charges:​

Terms & Conditions:

Documents Required:

FAQs:

What are some of the objectives met under the savings plan?

Can a customer have multiple plans?

How does meethaq savings plan work?

What is takaful?

What is the protection offered through the takaful cover?

What is the claim process?

What is the procedure to apply for meethaq savings plan?

Illustrative table to underst meethaq savings plan (OMR 100 initial investment):

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Expected Profit Rates:

Fees & Charges: