Minimum Monthly Income Required to Open an Islamic Bank Account

As a booming economy in the Middle East, the United Arab Emirates has several banking institutions catering financial services to individuals, small businesses and large corporates. The country houses both conventional and Islamic banks to boost the national economy. Both banks in UAE have similar functions; however, the Islamic banks follow the Sharia and Fatwa laws for profit generation and do not promote ‘Ribba’ or interest. Moreover, Islamic banking principles like ‘Wakala’ and ‘Mudaraba’ provide a safer investment environment.    

Being an equally popular choice, Islamic banks offer various banking products like deposit schemes, investment banking savings & current accounts, and salary accounts in UAE. Among these products, salary accounts are the most fundamental ones as each working individual require these accounts to receive their salary and make daily transactions. For the same reason, Islamic banks in UAE offer a variety of salary accounts with distinct features and benefits. However, to open a salary account in UAE, individuals need to have a minimum income and also need to fulfil other eligibility criteria.      

Basic Eligibility Criteria to Open an Islamic Bank Account

Every applicant needs to satisfy the basic eligibility criteria to open a salary account in UAE as mentioned below:

• An individual must be a UAE national or resident. 
• He/She must be 18 or 21 years old depending on the account type. A savings account requires a minimum age of 18 years and a current/salary account requires individuals to be at least 21 years old.
• He/She should be employed in the UAE, fulfilling the minimum salary criteria depending on the bank. 

What are the Different Types of Islamic Bank Accounts? 

Here’s a quick overview of the different types of Islamic bank accounts in the UAE — 

Islamic Savings Account 

In this type of bank account, you deposit your money in the account. The bank pools funds from its users and makes investments on the basis of Sharia law. The profit is then shared among account holders and banks. 

Islamic Current Account

Here, you deposit funds in the account but usually don’t get any profit. Current accounts are mainly designed to let you make multiple transactions easily. 

Islamic Fixed Deposit 

As the name suggests, you put your money in the account for a fixed period. At the end of this tenure, you get your invested amount along with a profit amount.

What is the Minimum Salary for Opening an Islamic Bank Account? 

First, it’s important to understand that the minimum salary requirement is different for savings and current accounts. 

Minimum Salary for Islamic Savings Accounts

Most savings accounts don’t have any set minimum salary requirement. However, for profits on accounts, you may have to deposit a minimum salary or maintain a minimum balance of AED 3,000 - AED 5,000. 

Minimum Salary for Islamic Current Accounts

To open an Islamic current account in the UAE, banks usually require you to have a monthly salary of AED 3,000 or more. Note that with some banks, the requirement may even go as high as AED 5,000 to AED 8,000. Similarly, to open a salary account with an Islamic bank, you need to be a salaried employee and fulfill the minimum salary criteria set by the bank. 

Note: The requirement also varies as per the bank

Best Islamic Banks for Opening Islamic Bank Accounts with the Lowest Salary Requirements

Here are the top Islamic bank accounts along with minimum salary requirements — 

Banks Name	Minimum Salary Requirements
Emirates Islamic Current Account	AED 5,000
ADIB Ghina Salary Account	AED 8,000
RAKBANK RAKmore Salary Transfer Account	AED 3,000
FAB Islamic Current Account	Differs for different account types, such as AED 50,000 for FAB Elite Islamic Current Account
Ajman Bank Current Account	AED 5,000
Mashreq Happiness Account	AED 10,000

Benefits of an Islamic Bank Account in the UAE

It is quite obvious to consider the benefits of an Islamic bank account in UAE before applying for one. Apart from being Sharia-compliant, the Islamic account provides numerous benefits as mentioned below - 

• The Islamic bank accounts are completely sharia-compliant and follow the principle of profit-sharing.
• The accounts offer higher transaction and withdrawal limits. 
• Individuals get internationally accepted debit cards to access funds while on the go. 
• A few banks accounts like the ADIB Ghina salary account also offer monthly and quarterly prizes based on the account balances. 
• The Islamic accounts accept several currencies like AED, USD, GBP and EUR. However, this facility varies depending on the bank and the bank account. 
• Individuals get round the clock account access with online and mobile banking. 
• The Islamic banks also offer free chequebooks (1st chequebook is free) and monthly account statements. 
• A few Islamic banks also allow free foreign remittance to various countries.   

How to open an Islamic Bank account in UAE?

To open an Islamic salary account in UAE, individuals can visit the nearest branch of the bank in which they want to open an account or apply online using the internet banking facility. The account application process is quick and convenient with a few simple steps as given below.

Online Application

1. Visit the official portal of the bank.
2. Select the bank account you need to open. 
3. Click on the Apply Now button. 
4. Fill in the personal details.
5. The bank will contact you for further account opening process.

Offline Application

1. Visit the nearest branch with all the requisite documents. 
2. Fill in all the required details as per the instructions of the bank representative. 
3. The representative will guide you through the further account opening process.  

Whether opening through online or offline mode, individuals need to submit the required documents to open an Islamic bank account in UAE. Following are the important documents needed while opening a bank account. 

• Emirates ID for UAE nationals and residents.
• Passport (Original and Copy) or Khulasat Al Qaid.
• Visa details for individuals with work permits. 
• An employment contract or salary certificate from the current employer. 
• All the business-related documents for business Islamic accounts. 

Islamic bank accounts are one of the most popular accounts in the UAE. The accounts come with affordable salary requirements and numerous benefits to meet an individual’s financial needs. Moreover, various salary accounts in UAE are not limited to UAE nationals only. A working resident including an expat with visa details can also open an Islamic bank account in UAE. While opening an account, individuals need to consider the minimum salary requirement and eligibility criteria according to their banking needs to maximise the benefits.

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