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FAQ’s – Alfa Term DepositFAQ’s – Alfa Term Deposit

FAQ’s – Alfa Term Deposit

Alfa Term Deposit is a digitized Term Deposit product on Alfa which offers Term deposit booking within just 10 seconds.

It also provides facilities such as digital Term deposit receipt, flexible maturity instructions, andoption to early encash the term deposit. With this product, you can fix your saving deposit by booking a term deposit for 1 month to 1 year and earn profit as per the Bank’s prevailing rate sheet.

Log on to Alfa, Go to ‘Savings’ option and Tap on ‘Alfa Term Deposit’.

Go to Alfa Term Deposit section in the app and tap on “Book a Term Deposit”, select the type of Term deposit (Conventional/Islamic) you want to book and proceed on the booking screen.

*Islamic variant will be launched soon.

Minimum amount is Rs.500. Bank Alfalah branch account holders can book Term deposits without any maximum limit through Alfa.

Islamic account holder will only be able to book the Islamic variant of the Term deposit which will be available on the app soon. Conventional account holders will be able to book conventional and Islamic, both variants of Term deposit, through Alfa.

The rates offered are as per the Bank’s prevailing rate sheet for LCY PKR Term deposits.

Alfa Term Deposit tenors are also as per the Bank’s rate sheet which are as below

  • 1 month
  • 3 months
  • 6 months
  • 1 year

Profit payment frequency is as below

  • Monthly
  • Annually/Maturity

Below customizable instructions on maturity are offered. Instructions can later on be updated as well

  • Encash at Maturity: Term Deposit will be encashed upon completion of the selected duration. Principal amount and net profit will be deposited into your account.
  • Rollover Principal: Term Deposit Principal amount will be automatically rolled over when the selected tenor is completed with the exact same instructions as initially booked and profit will be disbursed into your account. Rate to apply will be as per the prevailing rate sheet.
  • Rollover Principal + Profit: This option will only be available for Term deposits where profit payment frequency is set at Maturity and not Monthly. Upon completion of the selected tenor, Term deposit principal and net profit amount will be rolled over automatically with the same details as initially booked. Profit rate to apply will be as per the prevailing rate sheet.

Yes, Zakat will be deducted as per Zakat and Ushr ordinance, automatically upon Term deposit Encashment or Maturity if Term deposit booking amount is greater than announced Nisaab amount for the period, and Term Deposit is booked before 1 st of Ramzan and encashed/Matured afterwards.

During Booking the Term Deposit, you will see an option for Zakat exemption. If you want to get Zakat exemption, then you will have to check-mark the option and identify yourself as a ‘Muslim’ or ‘Non-Muslim’ by selecting the given checks. If selected Muslim, you will have to email a soft copy
of the CZ-50 form and your CNIC at Zakat@bankalfalah.com. If selected Non-Muslim, then you will be required to send a soft copy of your CNIC on the same email address.

You can refer to this Certificate to see how much tax has been deducted on your profit payments against the booked Term deposit. Tax deduction will be automatic and based on Filer/Non-Filer status.

Upon Early encashment, revised profit rate will be applicable as per Bank’s SOC.