Market leading 4% return offered on Savings Account from Islamic Bank of Britain

02 February 2012

Press Release

Islamic Bank of Britain plc (IBB), (www.islamic-bank.com) today announced it is offering an eye-catching expected profit rate of 4%* on its 120 Day Notice Account. As an inclusive bank, IBB welcomes all individuals looking to maximise the return on their savings. The minimum deposit for savers wishing to snap up the limited offer profit rate is £500. IBB is authorised and regulated by the Financial Services Authority (FSA) and is a member of the Financial Services Compensation Scheme. 

IBB is offering the expected return of 4% as a gift profit rate for the first 60 days after the account is opened. This means customers need to deposit their funds as soon as they open the account in order to maximise their returns. After the 60 day gift period, the profit rate will revert to the prevailing expected profit rate which
is currently 2%.

The 120 Day Notice Account will appeal to regular savers looking to earn a market-leading profit rate on their spare cash. Regular deposits made during the 60 day gift period will still earn an expected profit rate of 4.00% until the gift period ends. With the IBB 120 Day Notice Account:

  • Profit is calculated and accrued to the account monthly 
  • To withdraw money, customers are required to give 120 days’ notice to IBB, after which funds are available in a nominated account 

The 120 Day Notice Account is expected to be very popular and is the latest market-leading savings product from IBB, following the overwhelming popularity of its recent 24 month Fixed Term Deposit. As well as offering competitive returns, the IBB 120 Day Notice Account is based upon ethical principles. 

As an Islamic Bank, IBB does not pay interest to its savers. Instead, this rate is offered as an 'expected profit rate', because the Bank invests the depositors’ funds into Sharia compliant and ethical trading activities. As part of the agreement between the customer and the Bank, IBB monitors the target profit rate
on a daily basis to ensure that it is achievable and will be able to provide the return offered to the customer.

If, at any time, market volatility is likely to affect the customer's profit, IBB will inform them before their profit
rate is affected. IBB then offers the customer a choice to close the account or receive the lower rate of profit. The profit achieved prior to this will remain protected, as will the original capital they deposited with 
the Bank.

To date, for this type of savings product, IBB has always achieved the expected profit rate offered to its customers.

The 120 Day Notice Account has therefore been designed to provide savers, who have a minimum of £500 available funds, and wish to make subsequent deposits no matter how small, with a safe place to deposit their funds and receive an attractive return.

*Limited offer for the first 60 days of the account being opened and money deposited by the customer. Gross p.a. subject to personal
taxation circumstances.

Ends

About Islamic Bank of Britain 

Islamic Bank of Britain plc (Bank) has pioneered Sharia compliant retail banking in the UK and has launched a wide range of products, including the Home Purchase Plan (the halal mortgage alternative) Current Accounts and Savings Accounts. The Bank was also the first to introduce Sharia compliant business banking to the UK, and now offers a wide range of institutional and business banking products and services, including Commercial Property Finance. 

Several of the Bank’s products remain unique in the UK retail market. 

The Bank is authorised and regulated by the Financial Services Authority and is a member of Financial Services Compensation Scheme. All products offered by the Bank are fully approved by the Bank’s Sharia Supervisory Committee (SSC). 

Sharia compliant banking operates without the use of interest. The products that are offered are structured in a different way to those provided by conventional banks 

Whilst the Bank offers products and services that are designed in accordance with Sharia principles, it is an inclusive Bank and welcomes customers of all faiths. 

Notes to editors: 

Interviews with Islamic Bank of Britain are available on request. The bank should only be referred to as “Islamic Bank of Britain”. If abbreviated please use “IBB”. 

ENDS 

Issued by Islamic Bank of Britain Plc, Edgbaston House, 3 Duchess Place, Birmingham B16 8NH

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