Losses of breaking the old investment certificate and buying the new one

Therefore, citizens want to know the losses of breaking the old investment certificate and buying the new one with an interest of 17.25%, which was announced by the Bank Misr and the National Bank of Egypt.

Losses of breaking the old investment certificate and buying the new one with an interest of 17.25%

Bank Misr and the National Bank of Egypt announced the issuance of platinum investment certificates for a period of 3 years with an annual return of 17.25%, after the Central Bank of Egypt announced an increase in the interest rate on deposit and borrowing by 2%, and these certificates witnessed a great demand from citizens to purchase this certificate.

The steps of breaking the old savings certificate and buying a new one with an annual interest of 17.25% are very easy if the citizen has an account in the bank, but before breaking the old investment certificate and buying a new one with a higher interest, you must know the losses of breaking the old certificate and the gains of the new certificate, to reach the best choice.

In this context, an official source at Bank Misr said that breaking the old investment certificate is of two types. The first type breaks the entire certificate, and the second type breaks part of the old certificate.

The source stressed that the customer will face big losses if he breaks a full investment certificate of great value, because he will lose its benefits that are withdrawn for its financial value, so he cautioned customers to inquire from the bank’s customer service about the numbers of losses that he will suffer if he chooses to break an old certificate and buy the new one with an annual return. 17.25%, and it is also used for the gains of the new certificate to reach the best choice.

The issuer also advised clients that they can purchase the platinum certificate with an annual interest of 17.25% if there is an excess of funds in the client’s account without breaking an old certificate, because breaking the old certificate in all cases will expose the client to losses.

Steps to purchase an investment certificate with an annual interest rate of 17.25%

Regarding the steps of purchasing an investment certificate with an annual interest of 17.25%, the source continued that customers can break the old certificate in whole or in part after 6 months from the date of its purchase, and then the customer can buy the platinum certificate for 3 years with an annual return of 17.25% by going to a bank branch or Automated teller machine (ATM), or through the bank’s application via the following steps:

• You must provide the value of the certificate first in the account.

• You have to download the bank's application and subscribe to its online service.

• Open the application and choose to issue certificates.

• Then register your bank account to purchase a savings certificate.

• Choose the type of certificate you want to purchase.

• Choose the value of the certificate, which starts with a minimum of 1,000 pounds and its multiples, and click Next.

• You will see the details of the saving certificate with an annual return of 17.25.

• Finally, press Confirm and the certificate's value will be withdrawn from your account.

And Bank Misr had decided to issue a platinum certificate for a period of 3 years, with an annual return of 17.25%, and the return was paid annually.

The Bank’s Assets and Liabilities Committee also decided to increase the return rate on the 3-year platinum certificate with a monthly return, to become at a return of 16% annually instead of 14%, as of today, for new or automatically renewed certificates.

The Monetary Policy Committee decided in its extraordinary meeting today to raise the overnight deposit and lending rates and the central bank’s main operation rate by 200 basis points to reach 13.25%, 14.25% and 13.75%, respectively. The credit and discount rate was also raised by 200 basis points to 13.75%.

The Central Bank said that the global economy faced many shocks and challenges that it had not witnessed for years, explaining that global markets were recently exposed to the spread of the Corona pandemic and closure policies, then the Russian-Ukrainian conflict followed, which had severe economic repercussions, and this caused pressure on the economy. The Egyptian economy faced an exit from foreign investors' capital, as well as a rise in commodity prices.

He added that in light of the above, and then taking reform measures to ensure macroeconomic stability and achieve sustainable and comprehensive economic growth, and to achieve this, the exchange rate will reflect the value of the Egyptian pound Opposite other foreign currencies through the forces of supply and demand within the framework of a flexible exchange rate system, with priority given to the bank’s primary objective. central to achieving price stability.

 Thus, this will enable the Central Bank of Egypt to work on creating and maintaining sufficient levels of international reserves, and the Central Bank of Egypt will gradually cancel the instructions issued on February 13, 2022 regarding the use of documentary credits in import financing operations until the completion of its complete cancellation in December and after that as an incentive To support economic activity in the medium term, the Central Bank of Egypt will also work on building and developing the financial derivatives market with the aim of deepening the foreign exchange market and raising the levels of liquidity in foreign currency.