Product Overview

Long term tax advantaged Jamaican dollar savings account which pays tax free interest on lump sums held for a minimum of 5 years. Account holders may withdraw up to 75% of the annual interest earned on a quarterly basis.

Should all or part of the principal be withdrawn, the tax free benefit will cease to exist and a penalty charged.

Each lump sum deposit in this account must remain for a period of 5 years in order to attract the tax advantage. As such, each deposit is treated as a separate time account with its own maturity.

Product Details

Target Groups

• Age range: 18 – 64 years
• Gender: No restriction to gender
• Characteristics:
  • Employed and small business entrepreneurs, persons approaching retirement
  • Individuals wishing to deposit lump sums (bonuses, gratuity, retroactive payments etc.) for the medium to long term
  • Individual saving for retirement, children’s university education, or other medium to long term goals
  • Persons seeking attractive interest rates
  • Savers seeking a safe tax advantaged options
• Income level: None is defined

Features

• Minimum deposit of J$25,000
• Maximum deposit up to J$1 million each year
• No withholding tax is deducted from funds that are maintained for 5 years
• Interest calculated daily
• Access up to 75% of the interest earned on a quarterly basis

Selling Points

Good way to maximise earnings in a fixed rate saving product
Tax free interest on savings
Withdrawals allowed to assist with short term needs
Daily interest calculated to maximise interest earnings