Multi-Year Fixed Deposits offer businesses excellent returns along with peace of mind.
- Available at low entry levels; in amounts from as low as AED 25,000 (US $10,000)
- Applicable on tenors that range from 12 months up to five years
- Various interest types available for customer selection
- MYFD clients may select their preference between Simple and Compound Interest payments.
Difference between Simple Interest and Compound Interest
When interest is calculated on your deposits, it could be calculated in two ways. Under the Simple Interest method, interest is calculated on the initial deposit amount or principal. Irrespective of how often interest is calculated it will always be calculated on the principal. Under the Compound Interest method, interest is calculated on the principal and interest earned thereon.
MYFD benefits for businesses operating in UAE:
Below are reasons why businesses should have a Multi Year Fixed Deposit:
1. It encourages a savings habit as the money you deposit needs to be in the account for a period of time without you making any withdrawal.
2. Investing in MYFD earns you a higher interest rate than depositing your money in a saving account.
3. You are assured of returns for your investment.
4. MYFD acts as a fall back for your business in the event of a cash flow squeeze or can be used to meet your future cash requirements.
5. You get to choose how long you want to invest your money in a fixed deposit account ranging from 12 months to five years.
Fixed deposits are a favourable choice for businesses, offering positive returns as well as peace of mind. MYFD offers flexibility and easy access to your money but with the benefits associated with fixed terms investments. This means that as a capital and liquidity friendly option, FH is expecting the MYFD to be a popular choice among corporate clients.
Through the adoption of strong, well-planned strategies and by constructing robust internal systems and procedures, while remaining focused on efficiency, Finance House’s ability to provide comprehensive services designed to fill gaps in the UAE market is solid. Through products such as the MYFD, FH has achieved remarkable success in developing and marketing financial breakthroughs that cater to customers’ needs, as well as maintained a track record of profitable growth throughout the years.