Reading this guide, you will find out how does FNB Islamic investment work in South Africa.
Chances are you have heard about FNB South Africa Islamic investment only that you don’t know how the investment works.
Worry not because you have come to the right place.
The Islamic investment is among the investment products offered by First National Bank, and although there is a reference to Islamic, it is open to everyone, whether Islamic or not, according to FNB.
However, you ought to adhere to the Islamic investment terms and conditions.
I’ll share with you all you need to know and understand how FNB Islamic investment works in detail through this quick guide.
What is FNB South Africa Islamic Investment?
FNB Islamic investment is a type of investment that is preferably met for Muslims since they have banking policies different from other religions.
Even though First National bank says that anyone willing to invest under Islamic investment can do so, there is no limitation.
Thus is open for everyone, and it is free such that there are no charges incurred to be allowed to start the investment.
How Does FNB Islamic Investment Work In South Africa
First of all, you need to have an Islamic account to start the Islamic investment, and you ought to meet the qualification and have all the required documents to open the account.
After opening the account, the opening balance to Islamic investment required R10 000.
The Islamic investment duration is 60 months, and you get an interest rate of 6.5% per annum.
The Islamic investment is fixed such that you’ll not have access to the funds until the investment matures.
But the bank allows you to have access to the profits.
There are no additional funds during the investment period, only can add money at maturity.
The 60 months is worth it because the interest rate is high.
You can get even higher profits if you get to invest a huge amount.
Notably, Islamic investment has to comply with FNB South Africa Islamic banking policies or shariah-compliant finance.
The policies are drawn from the Shariah law.
Among the crucial policies is to share the profit and loss, and also the law prohibits the lenders and investors from collection and payment of interest.
It is imperative to note that faith is critical in the Islamic region, and they also factor into Islamic investment.
It also means that it is scrutinized even more closely.
All who choose to invest in Islamic investment are required to adhere to the Islamic Investment Policy and set of rules.
That is how FNB Islamic investment work in South Africa.