Al Rayan Bank

United KingdomUnited Kingdom(AA)

Deposit amount: Min. £1,000 – Max. £85,000

Protection limit: Up to £85,000 payout in GBP

Sharia account

logo of Al Rayan Bank

Account information

Rate
Duration
Deposit Guarantee
Product Type

Rate

4.40% AER

Duration

3 years

Deposit Guarantee

£85,000

Deposit Guarantee logo

Product Type

Fixed Term

Product Type

Fixed Term
Account Name

Al Rayan Bank: 36 months Fixed Term Deposit

What is the expected profit rate?

4.4%AER / 4.45% Gross (this savings account offers expected profit rather than interest as it follows Sharia principles).

Since it was founded in 2004, Al Rayan Bank has always met the expected profit rate it has quoted to customers.

AER is the Annual Equivalent Rate and represents what the expected profit rate would be if profit was realised and paid once each year.Profit is calculated daily, reinvested annually and is payable on maturity. Profit will be paid gross without prior deduction of tax.

Can Al Rayan Bank change the profit rate?

The rate applicable to your savings account is fixed once your application is approved and you fund your account. The rate will stay the same throughout the duration of the fixed term. Should the bank amend the rate advertised before you have fully transferred funds and the rate is lower than the rate you originally ordered, you will have 14 days to cancel your application, and your original deposit amount will be returned to your Transaction Account. We will contact you if this occurs.

Please ensure you log in and check your Raisin UK Account during the funding process.

In the very unlikely event that the expected profit rate will not be met after you have purchased the product, Raisin UK will contact you advising of the new expected profit rate. You will then have the option to accept the new profit rate or terminate this agreement immediately upon which Al Rayan Bank will return the original deposit with the accrued profit up to that date.

If your deposit amount returns a loss, Al Rayan Bank shall offer to make good the amount of any shortfall that you may have suffered. Al Rayan Bank is required by current UK banking regulations to make this offer to you. You shall therefore be entitled, should you choose to accept this offer, to receive payment from Al Rayan Bank of the full amount that you had previously deposited.

You are entitled to refuse this offer. You will be able to do so by logging into your Raisin UK customer portal and opting out. We would like to draw your attention to the guidance offered by the Al Rayan Bank Sharia Supervisory Board. The guidance is that if Al Rayan Bank is required to make good the amount of any shortfall (set out above) and you accept this offer, this will not comply with Sharia principles.

Please note, for renewal orders the rate you will receive will be confirmed as the rate available 5 days before the date of maturity. Please see our FAQs for more information.

What would the estimated balance be after 36 months based on a £1000.00 deposit?

The estimated balance after 36 months on a deposit of £1000.00 is £1,132.00.

This projection is for illustrative purposes only and does not take into account individual circumstances.

How do I open and manage my account?

To open this savings account, you must apply online through Raisin UK. Savings accounts at Raisin UK are only available through this online application process, and to be eligible to apply, you must:

Be a UK resident who is aged 18 or over

● Hold a UK bank or building society account from which you will fund your application

● Have a valid mobile phone number and email address

● Have a UK National Insurance Number

Your application acceptance will be subject to the successful completion of Anti-Money Laundering/Know Your Customer (AML/KYC) checks.

The minimum amount you can deposit is £1000.00, and the maximum amount you can deposit is £85000 (per product and banking institution).

You can manage your savings account through Raisin UK by logging into your Raisin UK Account. You can contact Raisin UK by telephone, by email or in writing by using the contact details provided in the Raisin UK Terms & Conditions.

Please ensure you have read all sets of Terms and Conditions (Al Rayan Bank Term Deposit Conditions, Raisin UK Terms & Conditions and Meteor Asset Management Raisin UK Deposit Terms and Conditions) before applying for this product. If you have any queries relating to any of the Terms and Conditions, please contact Raisin UK through your Raisin UK Account.

Can I withdraw money?

Because this savings account is a fixed term deposit, withdrawals are not permitted before the maturity date, except if an account holder dies or becomes bankrupt. This savings account does NOT operate on the basis that you can end the fixed term of your savings account prematurely and pay a fee to withdraw your funds sooner.

Your savings account will not automatically renew at the end of the fixed term for a further fixed term. At the end of the fixed term, unless you elect to renew your savings account with us, we will credit the profit that has accrued into your Raisin UK Account.

Additional Information

Meteor Asset Management (MAM), with their administration arm Meteor Investment Management (MIM), will administer the deposit on your behalf.

Funds will appear in MIM’s account by the following business day from funding your application at the latest. Funds will be remitted to Al Rayan Bank by MIM on the next business day after arriving in the MIM account. It can therefore take up to 2 business days for an ordered product to be set up and start earning profit.

All cash in transit and deposits once established, will be held by MIM and MAM in trust for you under FCA client money and asset rules. Please see the Meteor Asset Management Raisin UK Deposit Terms and Conditions for further details.

Shari’a banking, also known as Islamic banking, covers any financial activity that complies with Shari’a principles, reflecting the belief that exploitative gains, such as earning interest on money, are prohibited. Subsequently, Shari’a savings accounts use the money from deposits to invest and generate a profit, rather than an interest rate. There are no restrictions on who can apply for a Shari’a savings account.

Bank Details

Founded in 2004, Al Rayan Bank is an inclusive Islamic bank which welcomes customers of all faiths and beliefs. As the oldest and largest Islamic bank in the UK, Al Rayan Bank serves over 85,000 customers throughout the UK with Sharia-compliant and FSCS protected banking products. Because Al Rayan Bank is an ethical, Sharia-compliant bank, they adhere to Sharia banking principles, which you can read about on our Sharia banking page. Al Rayan Bank PLC is authorised by the Prudential Regulation Authority and regulated by the Financial Conduct Authority and the Prudential Regulation Authority.

Security & Deposit Protection

The FSCS is the United Kingdom's statutory deposit guarantee scheme that covers deposits in individual savings accounts up to £85,000, per banking group regulated by the Financial Conduct Authority or the Prudential Regulation Authority. It is available for deposits with most UK high-street and online banks and means if the bank fails, and deposits become unavailable, the scheme may cover your deposit account deposit up to the £85,000 per person, per banking group limit. Compensation limits are per person per firm, not per deposit. Be aware that if you have other deposits with this bank (or banking group) then the £85,000 protection applies only to eligible deposits up to this limit.

Who is Raisin?

We are the UK savings marketplace for Raisin, one of Europe’s most successful technology-led financial services companies. We connect you with a range of banks and building societies offering deposit-protected savings accounts with competitive interest rates, making it easier for you to grow your money. Using our savings marketplace is simple. By registering for a Raisin UK Account, you'll only ever need to fill in one application form. Then you can browse, apply for and fund a range of savings accounts, and manage everything under one roof. No paperwork or endless passwords to remember - just a free, easy way to grow your savings.