- FSCS protects deposits up to £85,000 per person
About QIB (UK)
Headquartered in London, QIB (UK) Plc provides private banking services and structured real estate financing in the UK, as well as a range of personal savings products, and has been fully authorised by the Prudential Regulation Authority and regulated by the FCA and PRA.
The Financial Services Compensation Scheme (FSCS), the UK’s statutory deposit guarantee scheme, protects all eligible deposits offered by QIB (UK) Plc through the Raisin UK savings marketplace.
In 2019 QIB UK won The Banker’s UK country award for best Islamic Bank. QIB UK won this award in part for its provision of attractive products and services including its leading deposit products available through Raisin UK. As a result of this offering, QIB UK is seeing increased interest from non-Islamic customers who are looking to benefit from the bank’s competitive rates, as well as its high ethical standards and customer service.
Established in 1926, The Banker is read by senior decision makers at the world’s foremost financial institutions. Each year, The Banker produces a definitive ranking of the industry’s best Islamic financial institutions in order to promote and reward excellence in the global Islamic banking community.
(this savings product offers expected profit rather than interest as it follows Shari’a principles)
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 annually and re-invested for deposits that are longer than one year. Profit is payable on maturity and will be paid gross of UK income tax. This means that there will be no income tax deductions from the profit payments you receive on your QIB (UK) deposit.
Should QIB (UK) change the expected profit rate, one of the following will occur:
- Should the bank amend the rate advertised before you have fully funded your Raisin UK Account, and the rate is higher than your original order, you will receive the new higher rate upon funding.
- Should the bank amend the rate advertised before you have fully funded your Raisin UK Account and the rate is lower than the rate you originally ordered, you will have 5 business days from the date of the rate change to fund your Raisin UK Account to receive the original rate after which time we will cancel your order. You will be contacted if this occurs.
- If your Raisin UK Account has been funded with the full amount you wish to deposit before a rate change occurs, you will open your savings account at that original rate.
Please ensure you log in and check your Raisin UK Account during the funding process.
Separately, in the unlikely event that the advertised expected profit rate will not be met, (after you have opened your savings account), Raisin UK will contact you advising of the new expected profit rate. You will then have the option to accept the new expected profit rate or terminate this agreement immediately upon which QIB (UK) will return to you the original deposit with the accrued profit up to that date.
‘Make Good’ Offer
If your deposit amount returns a loss, QIB (UK) shall make good the amount of any shortfall that you may have suffered. You shall therefore be entitled to receive payment from QIB (UK) of the full amount that you had previously deposited.
You are entitled to refuse this offer, and can do so by emailing firstname.lastname@example.org with the email title ‘Make Good Opt Out’. If you accept this offer, you shall therefore be entitled to receive payment from QIB (UK) of the full amount that you had previously deposited with QIB (UK).
We would like to draw your attention to the guidance offered by the QIB (UK) Shari’a Supervisory Board. The guidance is that if QIB (UK) needs to make good the amount of any shortfall (set out above), this will not comply with Shari’a principles.
To open this savings account, you must apply online through Raisin UK. Savings accounts 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 and hold a UK bank or building society account. Your application acceptance will be subject to the successful completion of an AML/KYC check conducted by Meteor Asset Management Limited (“MAM”), who administers the deposit on your behalf.
The minimum amount you can deposit is £1,000 and the maximum amount you can deposit is £85,000.
You can manage your savings account by communicating through your Raisin UK Account using the secure messaging feature. Alternatively, you can contact Raisin UK by telephone, by email or in writing by using the contact details provided in the Terms & Conditions. Raisin UK will only provide instructions relating to your savings account through email and the secure messaging feature through your Raisin UK Account.
As 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 deposit prematurely and pay a fee to withdraw your funds sooner.
Raisin UK will contact you approximately one month before the maturity date of your savings account to advise you of your options. If Raisin UK does not receive a response from you, your deposit will be held in your Raisin UK Account at the end of the fixed term until you decide what you would like to do with the proceeds.
Your deposit will not automatically renew at the end of the fixed term for a further fixed term.
Transfers of funds must be received within 60 days (the funding window) of your savings account application date. Any funds received after this period will be held in your Raisin UK Account awaiting your instruction.
Funds must be transferred to your Raisin UK Account from a UK bank or building society account in your name and by electronic bank transfer only, and to the exact amount pledged when you applied for the savings account.
Should you not transfer the amount you pledged before the funding window closes, your application will be cancelled. Should you transfer more than you pledged before the funding window closes, the amount that exceeds your original pledge will be held in your Raisin UK Account pending your instruction.
Typically your funds will be remitted on to QIB (UK) by MIM so that the deposit will be in place on the second business day after the full amount of the application is received by MIM. Depending on how your funds are transferred it can take up to 2 business days to appear in MIM’s account. Depending on the bank’s processes it can then typically take an additional 2 business days for an ordered account to be set up and start earning profit.
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 products 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 product.
To purchase a savings account from QIB (UK), you will be required to provide the following information:
- A valid email address which Raisin UK can use to send you confirmation of your application;
- Your personal details including your name, date of birth and National Insurance number;
- Your address and postcode;
- A UK mobile telephone number; and
- The details of a UK bank or building society account from which you will fund your application.
Your deposits with QIB (UK) 1 Year Fixed Term Deposit – are eligible for protection by the Financial Services Compensation Scheme (FSCS). 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 savings account deposit up to the £85,000 per person, per banking group limit.
Your deposit will be administered by MAM and Meteor Investment Management Limited (“MIM”) who will process your application and cash respectively. Cash and deposits will be held by MIM and MAM in trust for you under FCA client money and asset rules.
In the event that MIM or MAM cannot meet their obligations, you will remain the beneficial owner of any deposits purchased for you, and also cash held on your behalf in MIM’s client account. In both cases these will remain covered under the FSCS protection for the deposit taker or the banks holding client money up to £85,000. For more details please see our MAM Terms and Conditions.
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.