Advanced Interest Deposits
The Advanced Interest Deposit from Mashreq give you the opportunity to get your interest upfront, when you book your deposit, without waiting for it to mature. The advance interest offers you the opportunity to use your money for additional investments, adding to your overall portfolio and income. These deposits are available in two currencies currencies KD and USD, with durations ranging from six months to five years.
With the Advanced Interest Deposit from Mashreq you can
- Make deposit starting at KD 5,000 or USD equivalent
- Withdraw your advanced interest deposits at any time
- Deposit as an individual, company, institution, club and/or government department
Terms and Conditions
The interest rate offered on the Advanced Interest Deposit is based on the completion of the tenor chosen at the time of the deposit. Partial withdrawals from the principal amount invested are not possible. If you break the deposit by withdrawing the principal amount invested before the completion of the tenor, you will not receive the full prinicpal amount.
Example
If you deposited KD 100,000 for a tenor of one year at an interest rate of 4%, and you want to break the deposit after 5 months, the amount you receive will be calculated as follows:
Applicable Penalty Calculation
Principal Deposited x (Y% - 2%*)/360 x number of days money deposited
where Y is the rate on a 5 month deposit at the time when the deposit is broken and * is the early withdrawal fee
So for the example provided KD 100,000 x (4% - 2%)/360 x 150 Days = KD 821.92 (Interest Accrued)
Amount repaid after 5 months = KD 100,000 – (KD 4000 (Advance Interest Paid) - KD 821.92(interest accrued) )
Amount repaid after 5 months = KD 100,000 – KD 3178.01 (after deducting interest paid & interest accrued) = KD 96,921.92
Please Note: This example is for illustrative purposes only. The amount of any applicable penalty will depend on the variables indicated in the penalty calculation above.