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 AED and USD, with durations ranging from six months to five years.
With the Advanced Interest Deposit from Mashreq you can
- Make deposit starting at AED 10,000 or USD 2,500
- Withdraw your advanced interest deposits at any time, the interest paid on early withdrawals will be 2% less than the regular rate
- 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 AED 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 AED 100,000 x (4% - 2%)/360 x 150 Days = AED 821.92 (Interest Accrued)
Amount repaid after 5 months = AED 100,000 – (AED 4000 (Advance Interest Paid) - AED 821.92(interest accrued) )
Amount repaid after 5 months = AED 100,000 – AED 3178.01 (after deducting interest paid & interest accrued) = AED 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.