Maybank launches Islamic passbook savings account

Maybank has launched Savings Account-i, the first Syari’ah-compliant passbook savings account in Singapore, which aims to meet the needs of about 250,000 consumers who may still prefer passbook accounts. These are mainly Malay customers in 2 major age groups – those between 45 to 69 years old, and those below 15, who may open the account jointly with their parent or legal guardian as a Trust Account.

The Savings Account-i is based on the Al-Wadi’ah principle (i.e. guaranteed safekeeping). “Hibah” or “token” in the form of dividends may be given to account holders at the Bank’s discretion. Since January 2006 to May 2007, Maybank has been paying dividends on its PremierOne Account-i at rates which are equivalent to the interest rates on non-Islamic savings accounts (i.e. 0.25% p.a. for first $3,000 and 0.3750% p.a. for the next S$47,000). For the iSavvy Savings Account-i, the dividend rates for 15 May to 31 May 2007 was increased to 0.5% p.a. for daily balance below $5,000 and 1% p.a. for above.

“With so many banking products doing away with passbooks now, we want to introduce the Savings Account-i as an inclusive product which takes into account older customers who still prefer using passbooks, as well as children who can now start saving the Islamic way even before they reach 15,” said Mr. Rosli Bin Mohd Yusof, Head of Islamic Banking, Maybank Singapore.

Via The Asian Banker.