Profit Sharing Ratio

In accordance with the Consumer and Business Savings Account Special Conditions, set out below are the maximum deductions that are to be made in calculating your share of profit on each calculation date. (The meaning of the words used here are the same as that used in the Special Conditions).

Your share of profit shall be paid on the calculation date.

The following deductions shall be made in calculating your share of profit for a calculation period:

1. Operating fees and expenses

The direct costs, fees and expenses shall be limited to 1.5%* of the average pooled funds during the calculation period.

2. Our share of profit

The percentage of distributable profit that shall be our share of profit for a calculation period will be as shown in the table below.

3. Profit stabilisation reserve contribution

The deduction from net income for a profit stabilisation reserve contribution shall be limited to 20%* of the net income.

Savings accounts Our share of distributable profit*
On Demand Savings Account
50%
Young Persons Savings account
50%
Direct Savings account
40%

*NOTE: These percentages are maximum figures and Islamic Bank of Britain may reduce its share of profit, operating fees and expenses and the profit stabilisation reserve contribution at its discretion.

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