The Commercial International Bank-Egypt (CIB) launched a new saving account under the name of Smart Saving, the first account of its kind in the Egyptian market, according to Khaled Barakat, Head of Consumer Assets at the bank.
Barakat clarified that the idea for this product came from the reality of the life we live. “There are a lot of youth who want to achieve their dreams, but do not have the ability to deduct part of their income and save it on a regular basis. That is why a lot of people make what is called a “gameaya” [joint fund], where a group of people participate with a specific amount that is collected monthly,” he said.
”It is a saving method, but with risks. That is why the idea of launching a product similar to the gameaya erupted, but with a lot of features, whereby the bank organises the process, so it becomes totally safe,” he added.
As for the details of the idea, Barakat said that the Smart Savings account is a private account that is opened without any administrative expenses. This client puts a monthly fixed sum in, and at the end of the period, which can be three, five, seven or 10 years, he obtains the full amount, with accumulated interests calculated in accordance with the savings period. They are not affected by the changes in the interest rate in the market.
Barakat added that this account is directed towards all individuals, especially the youth, to allow them to achieve their dreams during that period, like owning a car or flat, or travelling.
“CIB offers Smart Saving for individuals only, and not companies. It grants a high rate of interest. The account is opened for free when depositing the minimum monthly payment, according to the client choice, which starts from EGP 500 going up in EGP 100 multiples, with no maximum,” Barakat said.
”Moreover, the client chooses the date of the monthly payment. The interest is calculated according to the cumulative balance. This account grants a CIB debit card for free to new clients. The clients are able also to easily follow up on the account and finish all the banking transactions through the Internet,” according to Barakat.