Example of a profit distribution for Investment Wakalah account in SAR
| Number of months | 1 | 3
| 6 | 12 | 18 | 24 | | Minimum amount | 100,000 | 100,000 | 100,000
| 100,000 | 100,000 | 100,000 | | Anticipated Profit Rate | 4.20049% | 5.20085% | 5.11660%
| 4.97774%
| 4.72420% | 4.32000% | | Number of Investment Days | 30 | 90 | 180 | 360 | 540 | 720 | | Anticipated Profit Return to the Customer in SAR | 350.04
| 1,300.21 | 2,558.30 | 4.977.74 | 7,086.30 | 8,640.00
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Calculation of Anticipated Profit Amount: (Investment Amount x Number of Days* in the Investment Period x Expected Profit Rate %) / (360) *1 Month = 30 days, 3 Months = 90 days, 6 Months =180 Days, 12 Months = 360 days, 18 Months =540 days, 24 Months = 720 days The above mentioned Expected Profit Rates are provided as an indication and it does not guarantee the same Profit Rates shall be available at the time of Investment. These Expected Profit Rates are based on Wakalah and change every day.
Example of a profit distribution for Investment Wakalah account in USD
| Number of months | 1 | 3 | 6 | 12 | | Minimum amount | 30,000 | 30,000 | 30,000 | 30,000 | | Anticipated Profit Rate | 4.24513%
| 4.21379% | 4.32324% | 4.16102% | | Number of Investment Days | 30 | 90 | 180 | 360 | Anticipated Profit Return to the Customer in USD
| 106.13
| 316.03
| 648.49
| 1,248.31
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Calculation of Anticipated Profit Amount: (Investment Amount x Number of Days* in the Investment Period x Expected Profit Rate %) / (360)*1 Month = 30 days, 3 Months = 90 days, 6 Months =180 Days, 12 Months = 360 days, 18 Months =540 days, 24 Months = 720 days The above mentioned Expected Profit Rates are provided as an indication and it does not guarantee the same Profit Rates shall be available at the time of Investment. These Expected Profit Rates are based on Wakalah and change every day.
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What are the conditions for an investment account?
- The customer must be at least 18 years’ old.
- Any individual customer can benefit from an Investment Wakalah account if he already has a Current account.
- The minimum entry amount for investment is SAR 100,000 or USD 30,000.
- When choosing to auto renew the Wakalah contract, the contract will be renewed according to the initial selected tenor, and the expected profit rate will be updated based on the rate available in the system on the day of contract renewal and so on.
- In the event that the client chooses to renew the Wakalah contract with the profits, the profits will be added to the principal amount and invested for the same investment tenor and so on. The customer will receive the principal and profit on cancellation of the contract for the completed investment tenor.
** In case of cancellation of the Investment Wakalah program before the due date, no profits will be granted for the period between the investment contract start and the withdrawal of the investment amount.
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FAQsIs the investment Wakalah account consistent with the sharia committee standards?The sharia committee of Bank Albilad has approved the product, and all Bank Albilad products are subject to their approval.
What is the minimum term for Investment Wakalah account?The minimum term of Investment Wakalah account is one month.
What is the maximum period for Investment Wakalah account?The maximum period for Investment Wakalah account is 2 years.
What is the expected profit that I can earn from Investment Wakalah account?The expected profit rate in the Investment Wakalah account varies according to the investment period and the amount.
What is the minimum amount required to open Investment Wakalah account?One hundred thousand Saudi riyals / thirty thousand US dollars (SAR 100,000 or USD 30,000)
Who can open Investment Wakalah account?Currently, any individual customer of AlBilad can open the Investment Wakalah account through his account in Albilad App or Albilad Net and Albilad Branches
Can the customer withdraw the Investment Wakalah account before the expiration of the period?Yes, the customer can withdraw the amount in the Investment Wakalah account before the specified period ends, but there will be no profit paid to the customers
Are there any fees for opening Investment Wakalah account?Currently there is no fee.
Do I have to visit the branch to open Investment Wakalah account?
What are the requirements for opening Investment Wakalah account?You just need to have a current account with Bank Albilad.
Can I open more than one Investment Wakalah account?Yes, it is possible to open up to 5 accounts in one day
What currencies can Investment Wakalah be opened in?The Saudi Riyal and/ US Dollar
How has the Investment Wakalah account changed to an account in which zakat is not due?The assets that’s the investment amounts are invested in has been changed to non-Zakatable assets.
Does the bank pay zakat on behalf of the customer? No, the bank does not pay zakat on behalf of the customer, but rather the invested amounts are invested in non-Zakatable assets Does the non-obligation of zakat include all periods available for investment in the account?Yes, because the money is invested in non-Zakatable assets.
Is there a Sharia approval for this enhancement?Yes, the approval of the Sharia Committee of Bank Albilad was obtained for this, and all Bank Albilad products are subject to the approval of the Sharia Committee. Does the non-obligation of zakat occur from the first day of investment in this account?No, the non-obligation of zakat applies to investment amounts in the account start from 15-10-2023
Can the bank pay zakat to me while I pay it myself?No, because the exemption is linked to non-Zakatable assets
Will there be an adjustment to the current anticipated profit rate?No, there will be no adjustment to the current anticipated profit rate.
Are there any amendments to the current agreement?No, only the assets where investments are placed has been changed. however, renewing the subscription or entering into a new deal requires signing the new agreement.
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