Smiles Covered Card Terms and Conditions

Smiles Covered Card Terms and Conditions (Download)

1. Definitions

Bank refers to Sharjah Islamic Bank

Card means the applicable Sharjah Islamic Bank Covered Card, including but not limited to co-branded cards, e-card, second card or any other card issued by the Bank, from time to time, to the Card Member and shall include Supplementary and subsequently issued, renewal or replacement Cards, if any, unless the context otherwise requires.

Card Member in relation to any Card means a person to whom the Card is issued by the Bank and shall also include every Supplementary Card Member, if any.

Merchant means any person/entity supplying goods and/or services and/or other benefits who accepts the Card a means of payment for execution of the Card Transaction pursuant to an agreement with Bank.

Smiles refers to the reward points credited/debited to the Smiles Account as a result of using the Bank Covered Card.

Smiles Account means the account reflecting all transactions relating to Smiles for a particular Smiles Accountholder in the Bank’s records.

Smiles Accountholder means, in relation to each Smiles Relationship, the Card Member or, where there is more than one person comprising the Card Member, the first named signatory holding such relationship.
Smiles Booking Policy means the booking policy to redeem Smiles as published from time to time on the Smiles Website.
Smiles Program means the rewards program established by the Bank and subject to these Terms and Conditions.

Smiles Statement means a record of transactions done on the Covered Card accumulated points.

2. Membership

2.1 All Card Members who have received a Card will immediately be enrolled in the Smiles Program and thus be eligible to earn Smiles on retail transactions.

2.2 In the case of joint or Supplementary Card(s), all cards will accrue Smiles, but only the Primary Card Member can be qualified for redemption.

2.3 Membership with in the Smiles Program is automatically terminated upon the death, bankruptcy, or unsatisfactory conduct of the account or relationship of the Card Member or the cancellation of the Card

2.4 Sharjah Islamic Bank reserves the right, at any time and without notice and liability, to cancel the Smiles Program or impose a validity period on membership, as well as to extend or reduce the same.

2.5 The Card Member must promptly notify the Bank in writing of any changes in his name, employment or business and address including phone number, email, etc.

2.6 Should the Card Member be away from the UAE for more than six month, he must settle the Card Account at least before seven days prior to departure.

2.7 If the Card Member leaves the UAE to take up residence elsewhere, the Card, including any Supplementary Card(s), must be returned to the Bank cut in half fourteen at least 14 days prior to departure and its/their use shall be deemed to be terminated.

3. Smiles

3.1 The Smiles Program allows eligible the Card Member to accumulate Smiles on their retail purchases on the Card.

3.2 The Bank reserves the right to withdraw/discontinue the Smiles Program, terminate the participation in the same and/or revoke any accrued Smiles, at its sole discretion and without any prior notice to the Card Member.

3.3 If the Card Member chooses to terminate his own Card, the Card Member stands to forfeit all Smiles accrued so far.

3.4 If the Bank decides to terminate the relationship with the Cardholder for any reason, then all smiles accumulates thus far shall be forfeited.

3.5 Participation the Smiles Reward Program is free to all Card Members having the Bank Covered Card.

3.6 Smiles will only be accumulated on retail transactions (domestic/international) only.

3.7 In the case of joint or multiple Cards, all Card Members shall be enrolled in the Smiles Program; however, the redemption of Smiles shall only be available to the primary Card Member.

3.8 Smiles will stop accruing if the Card Member fails to pay the Minimum Amount Due on the Card Account on any Payment Due Date.

3.9 The Bank's decision on calculation of Smiles shall be final, conclusive and binding on the Card Member.

3.10 The Bank reserves the right to alter the computation of Smiles accrual at any point in time with or without prior intimation to the Card Member.

3.11 The Bank reserves the right to amend, change, terminate any eligible product and service categories at any time, amend the eligibility and participation criteria, limit or change the value of points, at its sole and absolute discretion, without notice to the Card Member and without liability whatsoever on the part of the Bank.

3.12 Smiles points shall remain valid for a period of thirty six (36) months, commencing from the transaction execution date. Thereafter, the points will be cancelled.

3.13 Smiles are not assignable nor cashable or otherwise transferable, and are not capable of being mortgaged, charged or pledged.

3.14 Smiles of different accounts cannot be combined for redemption.

4. Redemption

4.1 Redemption of Smiles may only be placed through a dedicated Smiles Program redemption platform communicated by the Bank.

4.2 The Card Member may only redeem the Smiles registered and credited to the Smiles Account as of the time of redemption

4.3 Smiles are not exchangeable, returnable, refundable, or redeemable for cash or credit and cannot be cancelled.

4.4 Redemption of Smiles will not be allowed if the monthly Minimum Payment Due has not been cleared on the Card Account for one statement cycle.

4.5 Smiles may be cancelled if the Card Member has violated the Bank or the Card agreement.

4.6 Once a redemption request is placed, it cannot be canceled, revoked, transferred or changed in any manner.

4.7 The Bank may share Card Member information with third party merchants required to effectively transition duties from redemption until delivery.

4.8 Any Smiles redemption request will be subject to the Bank's approval, the availability of the Smiles at the time of placing the redemption request by the Card Member. The Bank may, without prior notice to the Card Member withdraw or substitute any of the Smiles / Smiles Program for another reward program of comparable value or nature.

4.9 Any unprocessed redemption request for Smiles that have been cancelled shall not be processed by the Bank despite the fact that such redemption request was received before the Card Member’s relevant Smiles cancellation.

4.10 The Bank is not liable for the availability, pricing, quality and such for the third party merchants.

5. Liability and Indemnity

5.1 The Bank, its employees, personnel, directors or owners shall not be liable for any loss of profit, savings, revenue or damage or liability of any nature, including any direct or indirect loss arising from the use of the Smiles Program or from accessing any information that may be displayed therein.

5.2 The Bank will not be responsible or held liable for any amount payable by the Cardholder to any third party arising out of the purchase, supply, quality, installation, use or other wise of Smiles, or of any negligence, breach of statutory or other duty on the part of the Bank and/or the supplier.

5.3 The Bank will not be responsible for any extra payments to be paid for gifts/vouchers between the Card Member and the merchant, should the Smiles points not be sufficient for the required redemption.

5.4 The Bank shall not be liable In case any merchant refuses the acceptance of the Card due to any reason.

5.5 The Bank shall not be liable for defect or deficiency in the goods or services supplied to the Card Member by any Merchant.

5.6 The Bank shall not be liable for any loss or damage howsoever incurred or suffered by the Card Member by reason of us or a Merchant or any bank or financial institution or any ATM or other party refusing to allow a Card Transaction, or accept the Card or the Card number or the PIN or to extend or provide a cash withdrawal up to the Limit or at all.

5.7 The Bank shall not be liable for any disputes brought to our notice by Card Member after 30 days from the date of the relevant statement of account.

5.8 The Bank shall not be liable for any refusal of any merchant to extend or confer any privilege or benefit under any program for any reason whatsoever.

6. Disqualification and Governance

6.1 The Bank reserves the right to disqualify any Card Member at any time from participating in the Smiles Program and terminate the relationship if, in its sole and absolute judgment, the Card Member violated any of the terms and conditions applicable to the Smiles Program, including but not limited to default of payment or fraud.

6.2 The Bank reserves the right, at its discretion to:
a: Review the requirements of the Terms & Conditions at any time and without and disclosure to the Card Member by changing, deleting or adding extra provisions from time to time and without any notice to the Card Member and it may do this without any set limitations.
b: Replace the Rewards Program or benefit with a similar one of lesser, equal, or greater value; and terminate a Card Members participation in the Smiles Program for any reason.

6.3 The Bank should not be liable in any personal cases pertaining of the redemption of Smiles.

These Terms and Conditions are governed by and shall be construed in accordance with the substantive and procedural laws and principles of Islamic Sharia to the extent it do not contradict with the laws of United Arab Emirates and the applicable Banking laws

7. Disclosure of Information

7.1 The Card Member authorizes the Bank to disclose and record any phone calls for reference and to use such records as evidence in legal proceedings.

7.2 This Agreement shall be available in Arabic and English versions and in case of any difference between Arabic and English versions, the Arabic version shall prevail.

7.3 It is in the free interest of the Bank to check or authorize through any means or delegations, a Card Member’s credit score at any time and without consulting with the Card Member.

7.4 The Card Member agrees to sign and deliver to the Bank such further documents as we may request from time to time.

8. Governing Law

This contract shall be governed, construed, defined as to the scope of its application, and supplemented – as regards the provisions not stated therein – in accordance with the provisions of the Islamic Sharia’a and the Articles of Association of the First Party as well as the prevailing laws in the UAE and the established banking practices not conflicting therewith.

KEY FACTS: SMILES COVERED CARD (Download)

Thank you for applying for Sharjah Islamic Bank Smiles Covered Card. To ensure transparency regarding the bank offer, we request you to please go through the declaration given below and sign your acceptance for the same. Should you require any further information, please contact our 24-hour Call Centre team on 065999999 or visit our website www.sib.ae

Type of Smiles Covered Card Requested:

· Smiles Titanium Covered

· Card Smiles World Covered Card

Card Offerings:

Titanium “Smiles” Card benefits:

· Free for life

· For Every AED 2 spent, you will get 1 Smiles on Domestic and 2 Smiles on International spends

· Get 0.5 Smiles on transactions under ( education, government services, utilities, supermarket) Categories

· Free unlimited lounge access in 10 key Middle East airports

· Instant cash

· Mastercard® Priceless offers

World “Smiles” Card benefits:

· 50,000 bonus Smiles (when you spend AED 20,000 in 90 days)

· For Every AED 2 spent, you will get 1.5 Smiles on Domestic and 3 Smiles on International spends

· Get 0.75 Smiles on transactions under ( education, government services, utilities, supermarket) Categories

· Free unlimited airport lounge access to over 850 airports around the globe

· up to 10% back on your hotel bookings at Booking.com

· “Cleartrip” airline discount

· Luxury serviced apartment discounts

· Hertz “Gold Plus” Rewards® Five-Star membership

· Discounted fast-track travel visa service

· Mastercard® Priceless offers

· MyUS premium shipping discounts

· travel inconvenience & cancellation insurance

· Travel medical insurance

Annual Fee	AED 525	Free
Supplementary Annual Fee	Free	Free
Card Replacement Fee	AED 78.75	AED 78.75
Late Payment Fee	AED 236.25	AED 236.25
Additional Statement Fee	AED 47.25	AED 47.25
Cash Withdrawal Limit	80% of Card Limit	80% of Card Limit
Cash Withdrawal Fee	3.15% of transaction amount (Min AED78.75)	3.15% of transaction amount (Min AED78.75)
Minimum Repayment	5% of utilized amount	5% of utilized amount
Grace Period for Repayment	Upto 17 days (from transaction date)	Upto 17 days (from transaction date)
Investment Wakala Expected Profit Rate/Month	2.49%	2.49%
Murabaha Profit Rate/Month	2.49%	2.49%
Administration Fee for non-AED transactions	2.5% of transaction amount (excl. Mastercard Fees)	2.5% of transaction amount (excl. Mastercard Fees)
Copy of Purchase Slip	AED 68.25	AED 68.25
Rejected Standing Order Due to Lack of Funds	AED 26.25	AED 26.25

*Charges are VAT inclusive

Required Documents:

Required Documents
Salaried Customers:	Self Employed Customers:
· Application Form	· Application Form
· Passport and Emirates ID Copy	· Passport and Emirates ID Copy
· Valid Residence Visa for Expats	· Proof of Income
· Proof of Income	· Valid Trade License
· Salary Slip	· Memorandum of Association/ Partnership Agreement/ Power of Attorney (If applicable)

Key Facts on using Covered Cards

(Important to read carefully and understand)

1. It is advisable to always make monthly payments more than the minimum due requested according to the last statement issued by the bank in order to replenish your Wakala account ( available balance to use) rather than making minimum payment that mainly covers the fees and charges on the Card and only small portion remains as an available balance to use.

2. In case you choose to make only the minimum payment by the due date, then the bank will keep calculating the Profit ( net between the Murabaha and Wakala Profits) on daily basis till the full Wakala outstanding (Card available balance) is covered. This includes new transactions made after the statement issuance.

3. Please ensure that you round up the total dues requested by the bank and pay the exact amount before or on the due date to avoid paying the profit that is calculated on daily basis until the payment date. To clear any doubt, below example provides illustration on this payment scenario.

• If the cover is AED 10,000 and you used the AED 10,000 (out of which
AED 3,000 is cash withdrawal):
a. If you pay AED 10,000, you will pay to the bank profit for AED 3,000
b. If you pay less than AED 10,000, you will pay profit for the full AED 10,000

• If the cover is AED 10,000 and you used AED 8,000 as retail purchases:
a. If you pay AED 8,000, you will not pay profit.
b. If you pay the minimum up to 7,999, (or fails to pay any amount), you will pay to the Bank profit for AED 8,000 = {AED 10,000 -AED 2,000}.
c. If you fail to pay any amount, you will pay to the Bank profit for
AED 8,000 and LPF (donation) charges shall apply.

4. If you will pay the total outstanding on or before the due date, SIB will credit the difference between the Murabaha profit and the Wakala profit as bonus, and in this case no profit to be paid by you to the bank.

Warning! Continuous failure to make the regular payments on time, will expose you to further charges (Late Payment to Charity) and may lead to further legal action by the bank.

I have understood the following information for the selected Cashback Covered Card :

• Product details – Product features, Cashback offer, payment terms and documentation requirements.

• Cashback Points will be awarded on the card based on the spends made as per the transaction category and awarded on a monthly basis after the issuance of statement.

• The bank, at its discretion, has the right to change the fees or any offer terms at any time without obtaining customer’s written consent, provided that such a change to be communicated to the customer through means of communication that guarantee customer has been advised. If the bank does not receive any objection from the customer within 60 days from notification date, this will be considered as customers’ consent. However; in case the customer doesn’t agree to the change made by the bank, the two parties may agree to settle the relevant card liability or shift to another product.

• Once the Covered Card is received by the customer, the customer shall be liable to make any payments on the card as requested by the bank via SMS or monthly statements. To avoid any doubts regarding payments date, it is advisable to contact the call center upon card activation to check this information.

Important terms related to Covered Cards

Card Usage Account
means (Covered Card) All Card Account transactions’ entries that shall be transferred to the relevant Wakala Investment Account for any debit transactions made by the customer or charges on the card.

Murabaha Contract
means the Bonds Murabaha Contract embedded as part of the Covered Card application between the Bank and the Card Holder under which the Bank had sold to the Card Holder, for the Sale Price, identified and specific number of Bonds.

Murabaha Profit
means the monthly installment due that is supposed to be paid by the Card Holder over the period of the Murabaha Contract. This installment is equal to:

Murabaha Principal amount (Covered Card limit) * Murabaha Profit Rate
* 360 / 12 * number of days in a month.

Collect on Monthly basis, such amount is fixed and shown as debit value in customer statement.

Charged Profit
means the net amount between the Murabaha and Wakala Profit before Wakala Investment account. as Arabic term is available.

Wakala Investment Account
means the Wakala Investment Account opened purposely to represent the Card usage cover. The sale proceeds of the bonds purchased under Murabaha will be deposited in the Wakala account and customer can utilize every month.

Wakala Profit
means the profit generated to the customer from its Wakala Investment Account, calculated, on monthly basis, as:

Wakala unutilized balance * Wakala Profit Rate * 360 / 12 * no of days in a month. (the amount of this profit is variable based on the unutilized Balance in the Wakala Investment Account and shown as credit value in customer statement.

Bonus
means the rebate given by the Bank as result of paying the full outstanding as requested in the Statement of account issued by the Bank on monthly basis.

Cooling-off Period:

The Customer shall have the right to have a Cooling-Off period, of 5 complete business days commencing from the time of signing the contract , wherein the customer may opted to terminate the contract within the cooling off period, the bank has to refund to it any related Fees and direct costs already incurred by the customer. However, if the customer, within the cooling off period, starts using the product and availed itself, in any manner, of the products services , its right in the cooling off period will cease. The customer may also waive its right in the cooling off period by its written consent.
Alternatives to Covered Cards:

There are other products offered by the Bank that may suit your needs, however they do not have the benefits of Covered Card

Debit Card:
You can make purchases using your Debit Card that is linked to your current/saving account, however Covered Card usually allows you to make purchases with higher limit than available funds in the current/saving account. You will enjoy a free repayment period of up to 17 days from statement issuance date which is known by the ”Due date”. Also there is a loyalty program available on Covered Card versus the Debit Card where you can earn the points against your purchases, thereby you can save more.

Personal Finance:
This product is designed for medium or long term borrowing needs with higher amount than a Covered Card limit. For daily or short term needs, a Covered Card is a more convenient and recommended solution. Also, Covered Card limit is a revolving limit versus Personal Finance which is for one time use.

Important Information about Bank Procedures:

Delinquency (unsettled dues) on the Covered Card
• In case of any delinquency on the card (missing due date payment), the Bank has the right to cover any outstanding dues from any existing
account held at the Bank. This includes any current or saving account or fixed deposit.

• The Bank has the right to contact you by our Collections Department and remind you of the total dues that you have to cover to avoid further delinquency or affecting your history in AECB (Al Eithad Credit Report).

• In case you are totally unreachable, the Bank shall contact the reference details available in our records in order to reach you.

Covered Card Cancellation
• Before placing cancellation request, you must ensure that the outstanding balance is entirely settled and no further dues to be paid to the Bank.

• Some transactions may appear after you make the payment which are not settled or delayed by the merchant or retailer. You will still be liable to make those payments.

• Once the outstanding balance is paid off please contact our call center to proceed with the cancellation process that may take up to 5 working days.

• In between, you may receive a call from our retention department to understand the reason of cancellation and resolve any issue pertaining to the card. In case you agree to keep the card, then request shall be dropped.

Your obligations to control fraud and action to be taken in case you suspect any fraud

1. Always keep your card and transactions details safe and never disclose card details (including includes username, passwords, OTP for online transactions) to any third party.

2. Beware of promotions with large prizes or discounts and contact the Bank for reporting or clarifying any doubt.

3. In case you receive any SMS of transaction that you have not made it yourself, please block the card immediately via our online or mobile banking application or contact our call center. Moreover, you would need to fill in a dispute form at our branch to allow us to investigate from our side.

For further details regarding your Covered Card, please check the detailed terms and Conditions available on the website. www.sib.ae

Application Processing and Approval:

I agree that:

· The information and documents, security cheque enclosed with the application form are true and correct and will become part of the banks record and will not be returned in case of rejecting the application.

· Sharjah Islamic Bank, UAE is entitled, at its sole discretion, to approve or reject the application of the Cashback Covered Card.

· By signing the declaration form, I have read, understood & agree to abide
by the terms and conditions as set out on the application form for Sharjah Islamic Bank Cashback Covered Card.

Name of applicant: ....................................................................................................................

Signature of Applicant: Date:

This Product has been approved by Internal Sharia’a committee basis the Islamic Rules of Murabaha and Wakala Concepts, and upon selling the proceeds of the Murabaha and depositing the same into the Wakala Investment account the Cashback Covered Card shall be issued.

Terms and Conditions