Saving Account and Fixed Deposit

 Concept and Types

 Saving Account of Commercial
Bank
 Saving Account of Islamic Banks
Concept and Types

 Basic Types
 Fixed
 Flexible
 Concept
 The Concept is very Old i.e. to earn on Savings which is general tendency
 Modern Economic Concept of inflation suggest that Purchasing Power will decrease
by the passage of time hence the surplus amount needs to be invested to maintain
purchasing power.
 Saving Accounts of Commercial Banks

 Take Loan
 Invest and earn Interest
 Distribute interest
 Interest rates are Pre-decided customer to customer (Based on
Criteria and Negotiation)
 Not Dependant
Interest Rates are Always Expressed in
Percent per Annum
         
  PO Ref No: 252464 KPP - 04 MB KPP - 04 MS
  Investment Budget
  Particulars Mudarba *Musharka

  QTY (may Change as per Order) 45,875 45,875

  Price per Unit 6.60 6.60

  Cost per Unit 5.50 5.50

 

  Total Revenue 302,775 302,775

  Total Cost (252,313) (252,313)

  Gross Profit 50,463 50,463

 

  Admin & Other Exp (1% of Revenue)** (3,028) (3,028)

 

  Net Profit 47,435 47,435

 

  Profit (as per Ratio 50% , 35%) 23,717 16,602

 

  Months Approx.*** 6 6

  Deposit Amount (as per Cost) 252,313 252,313

  Effective Profit Rate on 6 Months

19% 13%
Saving Account of Islamic Bank

 Mudaraba Basis
 Bank Become Mudarib and Depositor Rab ul Maal
 Bank invest amount in different Venues
 Bank Make a Pool of Funds
 Assign Weightages every month and distribute profit accordingly
 Give preference to Mudaraba Account rather than equity (Current Account)
Examples
of
Weightage
and
Mudarba