Double Benefit Scheme

ALL ABOUT DOUBLE BENEFIT SCHEME

A.    Double Benefit Scheme:

A Double Benefit Scheme is a financial instrument offered by various financial institutions of the country, where any investment will be double within a specific period of time. Consumers can invest a fixed amount for a fixed period time which will be doubled at maturity. It is a great tool to double your idle money at a specific tenure in a secured manner. It is also a long term investment product, in this scheme investment tenure is bit longer than any other investment product.

 

B.    Purpose:

The purpose of Double Benefit Scheme is to hold your idle money in a secured location that gives the luxury of doubled return after a specific period of time. It helps to restrict the chances of spending your heard earned money impulsively and increase your financial preparedness for the secured future.

 

C.    Benefits:

-  Tax benefit;

-  Double return;

-  Secured investment;

-  Growth of investment;

-  Quick processing time;

-  Increase savings nature;

-  Flexible investment amount;

-  Low processing fees & charges;

 

D.    Some Basic & Common Features:

Financial institutions are offering a wide range of attractive features for the consumers, who wants to invest on a Double Benefit Scheme. Following are some basic and common features of Double Benefit Scheme offered by most of the Bank & NBFI’s.

-  Guaranteed return;

-  Double of investment;

-  Flexible investment amount;

-  Loan / overdraft facilities;

-  Pre mature encashment facilities;

-  Insurance coverage facilities;

-  Minimum documentation;

 

E.    Investment Limit:

Most of the financial institutions are referring minimum BDT 1,00,000.00 or it’s multiple and there is no upper limit to invest.

 

F.    Investment Tenure:

Double Benefit Scheme is a long term investment product. Most of the financial institutions are offering doubling of any investment amount within 9 – 11 years of tenure.

 

G.    Fees and Charges:

There are few fees & charges may applicable to a Double Benefit Scheme. Most common fees & charges are as follows:

-  Account opening fee;

-  Pre mature encashment fee;

-  Account closure fee;

-  Other fees & Charges;

 

H.    Double Benefit Scheme Opening Eligibility Factors:

Double Benefit Scheme account opening eligibility depends on many more factors. Most of the financial institutions are considering following eligibility factors before approving any Double Benefit Scheme opening application.

 

       (a)   Who Can Open Account?

              Any individual and/or non-individual bodies with a valid source of income.

 

       (b)   Age Limit

              Most of the financial institutions are maintaining minimum 18 years age limit for the individual consumers.

 

       (c)   Professional Experience

There is no minimum professional experience required to operate a Double Benefit Scheme in any financial institution.

 

       (d)   Minimum Monthly Income

There is no minimum monthly income level to operate a Double Benefit Scheme in any financial institution.

 

       (e)   Proof of Identity

To open a Double Benefit Scheme every individual and/or non-individual bodies have to provide proof of identity with supportive documents in accordance of respective Bank and applicable law of the land.

 

I.     Things to Consider Before Applying to Open a Double Benefit Scheme:

Before applying to open a Double Benefit Scheme account, consumers should consider the following things.

-  Interest rates;

-  Fee & charges;

-  Investment limit;

-  Doubling tenure;

-  Loan / overdraft facilities;

-  Pre mature encashment facilities;

-  Insurance coverage facilities;

-  Required documents list;

-  Compare all financers rates & features;

 

J.    Required Documents:

To open a Double Benefit Scheme account there are various types of documents are required. Proper documentation the only possible way to open an account. Most of the financial institutions are considering similar guidelines in respect to the documents required. A generic list of such documents has been provided below:

-  Complete account opening form;

-  Nominee;

-  Introducer;

-  e-TIN certificate;

-  Photograph (if individual);

-  Proof of age (if individual);

-  Proof of identity (if individual);

-  Proof of income (if individual);

-  Proof of address (if individual);

-  Proof of nationality (if individual);

-  Meeting Minutes (if non-individual);

-  Proof of business identity (if non-individual);

-  Valid permission / license (if non-individual);