Savings Products

Deposit products

Current Accounts

The accounts are maintained for the convenience of payments and receipts. They have also been known as demand deposits, checking accounts, or transactional accounts. These account not intended for investment purposes and neither for saving purposes. They are usually maintained for the purposes of receipts such as salary and payments such as for utilities  Through variety of channels including, phone banking, internet banking, mobile banking, Automated Teller Machines, POS terminals, current accounts can be accessed.

Savings accounts

Due to the development of financial services industry, savings accounts also give the convenience of payments and receipts albeit with higher return as compared to current accounts.  Savings accounts can be used for precautionary purposes to meet inadvertent spending requirements at the same time it gives customer to accumulate his or her savings in savings accounts with a benefit of accruing interest on the outstanding funds.

Time Deposits

Time depostis also known as term deposits, fixed deposits, or simply a bond are deposits of money kept in a bank account for investment purposes in fixed income securities. They are low risk high quality fixed income products and offer good diversification and asset allocation benefits.

Weighted Average Interest Rates on different type of deposits in Pakistan  on December 2008

                                                December 2008

Call Deposits:              6.45

Savings Deposits         4.99

Term Deposits                  

Less than 3 Months         5.26

Less than 6 Months         6.76

Less than 1 year              7.64

Less than 2 year              8.38

Less than 3 years             8.41

Less than 4 years             8.53

Less than 5 years             8.51

More than 5 years           9.05