Long-Term Wakala Deposit (5 Years)

The purpose of a deposit account is to earn profits on your account balance. For this very reason, some people prefer a fixed deposit account since the returns on the account are high. With Dubai Islamic Bank Long-term Wakala deposit account (5 years), you can earn a much higher interest rate on your deposits. A Wakala deposit account is an amalgamation of deposit and investment account that offers you the best of both worlds in one account. You can use this account to safely invest your savings and earn higher interests on your hard-earned money.

What are the features and benefits of DIB Long-Term Wakala Deposit (5 years)?

DIB Long-Term Wakala Deposit account (5 years) has several benefits that will compel you to open this account immediately:

Predictable Returns

When you choose to open a DIB Long-Term Wakala Deposit account (5 years), the bank explains to you the expected profits annual pay-offs for the account based on its performance in the previous years. Before opening the account, you will have a fair idea of the amount you will earn by depositing your money in this account. This will help you to plan your future better.

Calculated risks to earn maximum profits

One of the thumb rules of investments is “the higher the risk, the better the return”. When you open a Wakala deposit account, you permit your bank to invest in Shari’a compliant trade. The bank invests your deposits in the stock market to maximize the profit. Experts agree that the longer you stay in the market, the more profits you earn. DIB long-term Wakala Deposit account (5 years) circulates your money in the market to buy and sell stocks to ensure better returns to you. You may be concerned about your finances since the market keeps rising and falling. Don’t worry! The bank ensures that you do not lose your money. In the worst-case scenario, you may not earn any profit but you will receive a 100% deposit back. However since the bank invests for a longer period, the risk of losing money is minimized and you earn more. Besides the reinvestment opportunity offered with an account ensures you always end up on the winning side.

Reinvestment opportunity

 A reinvestment opportunity is an additional benefit on your DIB Long-Term Wakala Deposit account (5 years) that allows you to mitigate your finances, in case you did not earn any profit, or enhance your profits by reinvesting.

Let us say that you invested AED 100,000 in your DIB Long-Term Wakala Deposit account (5 years) in 2015. Between 2015 and 2019, you receive profits at the interest rate of 1.5% per annum. By the last quarter of 2019, you would have earned 6% interest increasing your fund value to AED 106,000 in four years. However, in 2020 the market lost some points reducing the rate of interest to -2%. Under such circumstances, you will earn AED 4000 on your deposits in 5 years. Now let us say that the market climbs again and you want to make more profit. You can reinvest the money for another 5 years and earn more profits on your principal amount and earned interest.

Free Credit Card   

As a DIB Long-Term Wakala Deposit account holder, you receive a free credit card against your deposit account. Accepted all across the globe, this card provides you with countless offers such as roadside assistance and credit card shield cover. Using this card for shopping will fetch some of the best discounts and cashback offers which will optimize your shopping experience. Additionally, you will be instantly enrolled in DIB’s Wala’a Dirham loyalty program. According to this program, you will earn 100 Wala’a Dirham on credit card bill payments every month. In case if you pay two or more credit card bill payments in a month, you will be granted 200 Wala’a Dirham by the bank. Since you will be already enrolled in the program, you will also earn Wala’a Dirham on your Wakala deposits, savings account, current account, and other transactions. You can earn up to 8000 Wala’a Dirham with a deposit of 1 million and above. 1 Wala’a Dirham is equivalent to AED 1. You can redeem the Wala’a Dirham to pay your DEWA bills.

No Maintenance Charges

 DIB Long-Term Wakala Deposit account is a low maintenance account as you will not require any services from the bank after the deposit. Besides, the bank can earn profits on your deposit. Owing to these factors, the bank does not charge any maintenance fee for opening and maintaining this type of bank account.

Rate of Interest

As per the past performance and market predictions, the bank expects a profit rate of up to 1.5% per annum for your DIB Long-Term Wakala Deposit account (5 years). In 5 years, this profit will sum to 7.5%. The Dubai Islamic Bank will pay the earned profit to you on the maturity of the deposit.

Fee and Charges

Penalty in case of premature liquidation  
Deposit liquidation in < 6 Months 100% of Wakala Profit
Deposit liquidation in >= 6 months < 12 Months 75% of Wakala Profit
Deposit liquidation in >= 12 Months < 24 Months 50% of Wakala Profit
Deposit liquidation in >= 12 Months < 24 Months 40% of Wakala Profit
Deposit liquidation in >= 12 Months < 24 Months 30% of Wakala Profit
Deposit liquidation in >= 48 Months < 60 Months 20% of Wakala Profit
Processing Fee for due diligence and documentation against Investment / Wakala Deposit Between AED 315 and AED 1,050

Minimum Deposit Requirement

You need to deposit AED 25,000 or more to open a DIB Long-Term Wakala Deposit account. 

Currency Accepted

DIB Long-Term Wakala Deposit account (5 years) is an exclusive bank account that does not accept any currency except AED. In case you need to deposit money using another bank currency, consider other accounts offered by Dubai Islamic Bank.

Eligibility Criteria

You can open a Long-term Wakala deposit account if you are 18 or above and a UAE resident or National. 

What documents are required for opening DIB Long-term Wakala Deposit (5-year) account?

 You will require the following documents to open a DIB Long-term Wakala Deposit account (5 years):

  • Copy of Emirates ID
  • Visa
  • Passport Copy
  • Recent Salary Certificate
  • Residential Address Proof

Please note: this list of documents is not final. The bank may require more or other documents to open and verify your account.

How to open a DIB Long-term Wakala Deposit account (5 years)?

 You can open a Wakala deposit account (5 years) via an offline or online platform

To open the account offline you require to:

  • Visit the nearest DIB branch
  • Fill in the form
  • Submit the required documents
  • Deposit the amount

To save your physical efforts, the bank also allows you to open your Wakala deposit account online:

  • Visit the DIB Long-term Wakala Deposit account (5 years) webpage
  • Click on apply now
  • Enter your details such as name, contact number, email ID, and salary
  • The bank will contact you to open the account

You can also book a call from the bank online to receive a call back from the bank and open the account

Your DIB Long-term Wakala Deposit account (5 years) can also be opened in a few minutes at policybazaar.ae

  • Visit policybazaar.ae
  • Click on the accounts tab
  • Fill in the e-form 
  • Submit related documents
  • The bank will contact you and open your account

FAQs on DIB Long-term Wakala Deposit account (5 years)

Q1: Does DIB Long-term Wakala Deposit account (5 years) comply with Shari’a norms?

Ans: Yes, all the investments made via DIB Long-term Wakala Deposit account (5 years) are Shari’a compliant.

Q2: Am I allowed to withdraw the deposit before the end of the tenure?

Ans: Yes, Dubai Islamic Bank allows you to withdraw your deposit before the end of the tenure. However, you will have to pay a penalty as per the bank’s norms (Refer to fee and charges section).

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