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Qatar Islamic Bank (QIB) has introduced a child education plan, Walady, to help customers secure a bright future for their children, the bank said in a statement. |
D Anand, group general manager (personal banking) QIB said Walady is yet another example of the bank’s ongoing efforts to provide customers with innovative products and services.
“Walady is QIB’s response to the desire of many parents, who want to secure their children’s future by setting aside funds for their college or university education,” Anand said, adding that it is a long-term savings and investment plan coupled with Takaful protection for the parent, and offers a return on contributions depending on the fund’s performance.
The Walady child education plan has many benefits: Upon maturity of the contract, the outstanding value of the participant’s investment account is paid in a lump sum to take care of the education needs of the child; in the case of the early death of the parent, the amount of life cover is paid upfront to the nominee as per the terms and conditions of the contract; future regular contributions are made from this fund until the end of the contribution payment period; and in the event of the parent’s total disability, regular contributions will be paid until maturity of the plan subject to satisfying the claim conditions.
“All parents want to secure their children’s education, which laid the foundation to develop this product, enabling parents through flexible payments to secure their children’s education. You can trust the Shariah-compliant child education plan to help meet the responsibilities of parenthood,”
Anand said.
He added that Walady was underwritten by Medgulf Takaful.
Takaful is a co-operative system of insurance, where members contribute a certain sum of money to a common pool. It is defined as an Islamic insurance concept under which policyholders cooperate among themselves for their common good.
Every policyholder pays their contribution to help those who need assistance. Losses are divided and liabilities are spread according to the community pooling system. Uncertainty is eliminated in respect of contributions or compensations and it does not derive advantage at the cost of others.
