UAE bank promises 6.25% interest rate on your new savings account
This makes it one of highest-yielding personal savings accounts currently in the UAE
Dubai: Tired of getting a paltry interest rate on your savings account? Savers in the UAE can now have the opportunity to earn a higher return on their money.
Mashreq Bank on Wednesday introduced a new digital savings product, the NEO PLUS Saver Account, which offers interest rates of up to 6.25% per annum, making it one of the highest-yielding personal savings accounts currently available in the UAE market.
Interest structure, eligibility
The NEO PLUS Saver Account features two primary interest rate tiers:
6.25% per annum for customers who transfer a monthly salary of Dh10,000 or more into their Mashreq NEO account.
5% per annum for non-salary customers who maintain a minimum monthly balance of Dh50,000 or more.
The account pays interest on balances up to Dh500,000. Customers are allowed two debit transactions per month without affecting interest earnings. Any additional withdrawals within the same period will disqualify the account from earning interest for that month.
Cashback incentives
In addition to interest, the account offers a range of one-time and conditional cashback incentives:
Salary customers may qualify for a bonus of up to Dh3,500.
An early sign-up bonus of Dh1,500 is available.
Non-salary customers can receive 5% cashback on debit card spending and Dh300 cashback on international money transfers.
These promotions are subject to various conditions, the bank said in a statement, and customers are advised to review the full terms for eligibility.
Access, requirements
The account is available exclusively through the Mashreq Mobile App and does not require customers to sign up for additional products such as credit cards or loans. There are no monthly maintenance fees.
Customers can open the account digitally, and the app also offers access to additional financial tools including stock trading, mutual fund investments, and fixed-income instruments.
Market context
The launch comes amid increasing competition among UAE banks to attract deposits in a high-interest rate environment. With central banks in the Gulf maintaining elevated rates in line with the US Federal Reserve, banks are offering more aggressive deposit products to retain and grow customer bases.
For UAE residents, particularly those with timely and recurring salaries or significant savings, this represents a potential opportunity to earn above-average returns compared to standard savings accounts, many of which offer rates below 1% annually.
However, individuals should also be aware of interest caps, conditions tied to account activity, and the impact of exceeding withdrawal limits. As with any savings product, evaluating terms against personal financial goals and liquidity needs is essential.
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