For retirees, housewives, and conservative savers in Pakistan seeking consistent monthly income without entering illiquid multi-year locks, monthly-payout savings accounts serve as a primary cash-flow vehicle. United Bank Limited (UBL) addresses this through two targeted products: the UBL Mahana Aamdani Savings Account (liquid savings checking) and UBL Mahana Aamdani Term Deposits (fixed-tenor certificates).
These products allow depositors to earn regular monthly returns to hedge against living expenses while keeping transactions liquid and accessible.
Below is an itemized breakdown of UBL Mahana Aamdani’s profit calculation base, account features, fee waivers, and statutory tax treatments.
Core Product Parameters & Structure
| Feature | Liquid Mahana Aamdani Savings Account | Mahana Aamdani Term Deposit (TDR) |
| Product Framework | Unrestricted liquid PLS savings account | Fixed-tenure Term Deposit Receipt (TDR) |
| Profit Calculation Basis | Monthly Average Balance | Fixed contracted rate over selected term |
| Profit Payout Frequency | Monthly (credited every 30 days) | Monthly (credited to linked checking account) |
| Investment Tenor | Open / Liquid (No lock-in period) | 1 Year, 2 Years, 3 Years, or 5 Years |
| Minimum Initial Deposit | PKR 100 to PKR 1,000 | Minimum PKR 25,000 to PKR 50,000 |
| Withdrawal Restrictions | Full liquidity via Debit Card, Cheque, Raast | Premature encashment penalty applies |
| Target Customers | Salaried savers, retirees, homemakers | Individuals seeking higher fixed monthly cash flow |
Profit Calculation: Monthly Average Balance Rule
For the open-ended liquid savings variant, UBL calculates return based on the Monthly Average Balance:
$$\text{Monthly Gross Profit} = \frac{\text{Monthly Average Cleared Balance} \times \text{Applicable Annual Profit Rate}}{12}$$
- Calculation Mechanics: The system records the ledger balance at the end of each day, aggregates them at month-end, and divides by the total days in that month (30 or 31) to determine the baseline balance.
- Cash Flow Advantage: Unlike standard semi-annual PLS savings accounts where earnings credit only in June and December, Mahana Aamdani disburses returns directly into your account on the first business day of the subsequent month.
Key Account Features and Digital Banking Perks
- UBL Digital App Integration: Full access to manage payees, transfer funds via Raast at zero fee, and schedule automated utility bill payments.
- Unrestricted Debit Card Access: Linkable to PayPak, Visa, or Mastercard debit cards for 24/7 ATM cash withdrawals and point-of-sale (POS) retail spending.
- SMS Alerts & e-Statements: Automated transaction notifications delivered to registered local mobile numbers alongside free monthly e-statements.
- Locker Facilities: Preferential allocation of branch safety deposit lockers (subject to branch availability and maintaining designated deposit slabs).
Withholding Tax (WHT) and Zakat Deductions
All returns disbursed by UBL are gross figures subject to statutory deductions:
- Withholding Tax on Profit (Section 151):
- Active Tax Filers: 15% deducted automatically at source on the gross monthly profit.
- Non-Filers / Inactive: 30% deducted automatically at source.
- Compulsory Zakat Deduction: Subject to 2.5% statutory Zakat deduction on the total balance on the 1st of Ramadan if exceeding the declared Nisab value, unless a notarized CZ-50 Zakat Exemption Affidavit is submitted to the home branch prior to the 1st of Sha’ban.
Liquid Account vs. Term Deposit: Which Fits Your Goals?
- Opt for Liquid Mahana Aamdani Savings if:You need flexible access to your principal via ATM or mobile transfers at any point during the month, while earning a monthly return on your average balance.
- Opt for Mahana Aamdani Term Deposit (TDR) if:You have dedicated capital that can remain untouched for 1 to 3 years. Term deposits assign higher profit rates than open savings accounts, delivering larger monthly cash payouts for household budgets.