The United Bank offers a 3-year savings certificate in Egyptian pounds with a 40% interest rate paid upfront for the full term of the certificate, so customers receive their return at the start of the investment. The certificate can also be redeemed after 6 months, in line with the bank's approved redemption schedule. It targets customers who want to invest their savings for 3 years and receive their return upfront instead of waiting until the end of the term.

Details and features of The United Bank certificate

  • Tenor: 3 years.

  • Interest rate: 40%, paid upfront for the full term of the certificate.

  • Payout: the interest is credited to the customer's account on the business day following the certificate's issue date.

  • Minimum purchase: EGP 5,000.

  • Denomination: multiples of EGP 1,000.

  • Currency: Egyptian pound (EGP).

  • Eligibility: individuals only.

  • Early redemption: the certificate can be redeemed 6 months after its purchase date, in line with the bank's approved redemption schedule.

  • Borrowing against the certificate: The United Bank allows customers to borrow against the certificate, in line with the bank's credit policy.

Calculating the return on EGP 1 million

The upfront interest equals 40% of the certificate's value, so:

Certificate value: EGP 1 million

  • Interest = 1,000,000 × 40% = EGP 400,000

The customer therefore receives EGP 400,000 in upfront interest on the business day after the certificate is issued, while the EGP 1 million principal stays invested until the end of the certificate's 3-year term, in line with the certificate's terms.

What does the customer get in the end?

  • Certificate value: EGP 1,000,000.

  • Upfront interest: EGP 400,000.

  • Total interest over 3 years: EGP 400,000.

  • Total principal + interest: EGP 1,400,000.