Public Islamic Bank Review - Halal Finance Products
Reviewed quarterly and updated for major content changes.
Public Islamic Bank offers halal financial products and services designed to align with Islamic principles. These options provide alternatives to conventional interest-based financial products, using structures like Murabaha, Ijara, and Musharakah.
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HalalWallet 2026 Review
Public Islamic Bank - At a Glance
7
Products Reviewed
All
Provinces (Nationwide)
4
Categories
Our Verdict
Public Islamic Bank is the quiet value pick of the cluster: the best unconditional printed savings rate (ForU2Save 2.10%), the fastest route to a 2.00% term deposit (13 months), same-week rate sheets, and contract names baked into the product titles. Financing is the weak flank for a comparison shopper: pages are thin, with no printed product rates or margins, deferring everything to the PDS. Its personality mirrors its parent: conservative, precise, and understated to a fault.
Pros & Cons
What We Like
- ForU2Save 2.10% is the best no-conditions savings rate among the six banks
- 2.00% term deposit from 13 months (CIMB needs 36 months for 2.05%)
- Ceiling Profit Rate disclosure is a model of Tawarruq deposit transparency
- Shariah Committee published with full biographies
- BAE AG personal financing to RM350,000 at a RM1,500 income gate
What Could Be Better
- Home financing page prints no rate, margin or contract name
- AITAB and personal financing rates are quote-based
- Standard CM Savings tiers are weak below RM360,000
- Introducer requirement on current accounts is an onboarding hurdle
Who Is Public Islamic Bank Best For?
Passive savers
2.10% printed on the first RM50,000, no conditions
Medium-term depositors
2.00% p.a. from 13 months with same-week rate sheets
Government employees needing large quantum
Up to RM350,000 via Biro Angkasa deduction at a RM1,500 income floor
Detailed Analysis
Public Islamic Bank Berhad (company no. 197301001433) commenced operations on 1 November 2008 as Public Bank's wholly owned Islamic subsidiary, distributing through 260 Public Bank branches plus four full-fledged Islamic branches at Kg Baru, Putrajaya, Wakaf Siku and Jalan Kota (bank's own about page, crawled 2026-08-06).
Its deposit franchise is the cluster's best-kept secret. The ForU2Save variant prints 2.10% on the first RM50,000 with no salary-crediting or spending conditions, beating every standard adult savings rate in the market; the Term Deposit-i reaches 2.00% at 13 months where CIMB requires 36 for its 2.05%; and rate sheets carry effective dates as fresh as 5 August 2026, one day before our crawl. Behind it all sits a published 5.00% Ceiling Profit Rate that explains how the Tawarruq commodity trade prices, disclosure most banks skip entirely.
Financing is where the comparison shopper hits a wall: the Home Equity Financing-i page lists features (35-year tenures, redraw, green preferential rates, First Home Mortgage Guarantee Programme participation) but no rate, margin or contract name; AITAB Hire Purchase-i names its contract prominently but prices at quotation. The published Code of Ethics on Repossession and the HPAA 2026 transition notices show a bank that documents conduct even when it does not print prices.
Governance is strong on names: the Shariah Committee's full biographies are published, chaired by Dr. Shafaai bin Musa with members trained at Al-Azhar, IIUM, USIM, Exeter and INCEIF. The card shelf is small but distinctive, including a Gold MasterCard-i that automatically donates 0.1% of dining spend to Yayasan Waqaf monthly.
How It Works
Public Islamic runs Commodity Murabahah (Tawarruq) across deposits, with the mechanics governed by a published 5.00% Ceiling Profit Rate: the bank trades commodities at the ceiling-derived selling price and depositors earn the effective profit rate. Vehicle financing is AITAB (lease ending in sale), named in the product title. Financing contracts for home and personal products are documented in the per-product PDS.
Open with modest minimums
CM Savings from RM250; Term Deposit-i from RM1,000 (2+ months) or RM5,000 (1 month); current accounts from RM3,000 with an introducer.
Pick the right variant
Ask for ForU2Save (2.10% first RM50,000) rather than the standard CM Savings; salary earners can use MySalary tiers to 1.00%.
Finance via PDS
Home, vehicle and personal financing pricing is disclosed in the PDS and at quotation; check the published financing rates page for the SBR (2.75%), BR (3.27%) and BFR (6.47%) benchmarks.
Shariah Compliance Review
Oversight Level
Review details on provider's website
Shariah Committee with full published biographies, chaired by Dr. Shafaai bin Musa (publicislamicbank.com.my corporate governance page, crawled 2026-08-06)
Full-fledged Islamic bank under IFSA 2013, wholly owned by Public Bank, operating since 1 November 2008 (crawled 2026-08-06)
Ceiling Profit Rate (5.00%) published for Commodity Murabahah deposit pricing (crawled 2026-08-06)
PIDM protection up to RM250,000 stated on individual deposit product pages (crawled 2026-08-06)
Shariah compliance should always be verified directly with Public Islamic Bank. HalalWallet reports publicly available oversight information but does not issue fatwas or certify compliance.
How It Compares
Against CIMB Islamic, PIB wins medium-term deposits (2.00% at 13 months vs 36) and freshness, loses cards and digital. Against RHB Islamic, PIB's unconditional 2.10% ForU2Save beats RHB's conditional 6.60% ceiling for most real savers, while RHB prints far more financing pricing. Against Maybank Islamic, PIB's rate sheets are current where Maybank's are stale, but Maybank's network and product breadth are in a different class.
vs. CIMB Islamic
Better cards, digital banking and payout flexibility on deposits; needs 36-month commitment to beat PIB's 13-month 2.00%.
vs. RHB Islamic Bank
Far richer printed financing pricing and a partnership mortgage option; savings yields need behavioural hoops PIB does not impose.
Matches PIB's 2.00% at 13 months with a lower RM500 entry, and adds page-level contract education; savings rates are weaker.
Bottom Line
The saver's bank of Malaysia's big six: 2.10% unconditional on the first RM50,000, 2.00% term deposits from 13 months, and Tawarruq mechanics disclosed down to the ceiling rate. Financing shoppers should extract the PDS numbers before committing, because the pages will not volunteer them.
Products from Public Islamic Bank
Why It's Halal
The page names the contracts (Murabahah and Tawarruq), states capital guarantee and fixed pre-determined returns (permissible because the return is a deferred sale price), and the rate sheet carries a 5 August 2026 effective date, one day before our crawl, the freshest rate evidence in this cluster. Oversight: Public Islamic Bank's named Shariah Committee chaired by Dr. Shafaai bin Musa (crawled publicislamicbank.com.my 2026-08-06).
Public Islamic Bank
Term Deposit-i
Public Islamic Bank's capital-guaranteed term deposit, described on the page as based on the Shariah concept of Murabahah and Tawarruq, with fixed pre-determined returns and no maximum deposit. Printed rates effective 5 August 2026: 1.70% p.a. for 1 to 3 months, 1.80% for 4 to 6 months, 1.85% for 7 to 12 months and 2.00% for 13 to 60 months, with identical rates on the PB eTerm Deposit-i placed online. Minimum RM5,000 for 1 month, RM1,000 for 2 months and above. Open to residents and non-residents 18+, plus societies, associations, clubs, government agencies and businesses. PIDM protected up to RM250,000 per depositor (crawled publicislamicbank.com.my 2026-08-06).
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Public Islamic Bank
Public Islamic Bank Visa Platinum Credit Card-i
Public Islamic Bank's flagship Islamic credit card, described on the bank's card listing as 'based on Shariah principle of Commodity Murabahah via Tawarruq arrangement which refers to an arrangement that consists of two sale and purchase contracts'. The Islamic card shelf also includes the Platinum MasterCard Credit Card-i (a line of credit by way of Commodity Murabahah via Tawarruq), the Visa Gold Credit Card-i (1% cash back on online transactions) and the Gold MasterCard Credit Card-i, which automatically donates 0.1% of total dining transactions to Yayasan Waqaf every month (crawled publicislamicbank.com.my 2026-08-06).
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Public Islamic Bank
Home Equity Financing-i
Public Islamic Bank's flagship home financing for purchase and refinancing with tenures up to 35 years, competitive financing rates and margin, preferential rates for green and environment-friendly purposes, a redraw facility and multiple payment channels via PBe, ATM and Public Bank/Public Islamic Bank branches. The bank's financing rates page prints the reference framework as at 11 July 2025: Standardised Base Rate 2.75% p.a., Base Rate 3.27% p.a. and Base Financing Rate 6.47% p.a. The bank also participates in the First Home Mortgage Guarantee Programme for eligible first-time buyers. Both English and Bahasa Malaysia PDS documents are published on the page (crawled publicislamicbank.com.my 2026-08-06).
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Public Islamic Bank
Commodity Murabahah (CM) Savings Account-i
Public Islamic Bank's all-purpose savings account with the contract in its name, opened with RM250, carrying the PB Lifestyle Debit Card and full access to Public Bank/Public Islamic Bank branches, ATMs and PBe online banking. Printed profit tiers effective 16 January 2025: 0.00% on the first RM10,000, 0.05% on the next RM350,000, 0.15% on the next RM500,000 and 0.25% thereafter. The same deposit rates page prints the CM ForU2Save Savings Account-i at 2.10% p.a. on the first RM50,000 and the CM PB MySalary Savings Account-i rising to 1.00% p.a., all under a published Ceiling Profit Rate of 5.00% used for the Commodity Murabahah selling price. PIDM protected up to RM250,000 per depositor (crawled publicislamicbank.com.my 2026-08-06).
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Public Islamic Bank
Commodity Murabahah (CM) Current Account-i
Public Islamic Bank's chequing account under the Commodity Murabahah structure: RM3,000 initial deposit for individuals (RM5,000 for partnerships, corporates, associations, clubs and societies), no minimum balance, PB Lifestyle Debit Card for individuals, standing instructions, optional Cash Line Facility-i overdraft-equivalent, and access via the Public Bank group's branches, ATMs, PBe and PB Enterprise. The page describes it as non-profit bearing; the separate CM Plus Current Account-i variant prints tiers up to 0.80% p.a. above RM3.5 million (effective 16 January 2025). An introducer is required to open. PIDM protected up to RM250,000 (crawled publicislamicbank.com.my 2026-08-06).
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Public Islamic Bank
BAE AG Personal Financing-i
Public Islamic Bank's salary-deduction personal financing for government employees: RM5,000 to RM350,000, repaid by direct salary deduction through Biro Angkasa, no guarantor required. Eligibility: Malaysian citizens aged 20 to 58; federal and state government permanent staff need 1 year of service and RM1,500 minimum gross monthly salary (including fixed allowances), non-federal/non-state government staff need 2 years and RM3,000. Takaful coverage is encouraged rather than mandatory. PDS (English and BM) and the application form are published on the page; financing rates sit on the bank's rates page (SBR 2.75%, BR 3.27%, BFR 6.47% as at 11 July 2025) (crawled publicislamicbank.com.my 2026-08-06).
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Public Islamic Bank
AITAB Hire Purchase-i
Public Islamic Bank's vehicle financing with the contract in the product name: 'under the Shariah principle of Al Ijarah Thumma Al-Bai', offering an attractive margin of financing and competitive rates for commercial or consumer vehicles over up to 9 years, with payment via PBe, ATM and Public Bank/Public Islamic Bank branches. The page publishes the PDS (English and BM), a Personal Data Protection Notice, a margin of financing and maximum duration schedule, and a Code of Ethics on Repossession. The bank's announcements page notes the introduction of the Fixed Rate Reducing Balance Method under the Hire Purchase (Amendment) Act 2026, effective 1 June 2026 (crawled publicislamicbank.com.my 2026-08-06).
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Where Available
Based on listings we track, Public Islamic Bank operates nationwide:
Nationwide availability
Availability may vary by product type. Always verify current availability directly with Public Islamic Bank.
How We Compare
- • We review publicly available information from providers, including Shariah compliance documentation.
- • We compare financing structures, total costs, down payment requirements, and state availability.
- • We prioritize providers that clearly explain their halal compliance rationale and operate with transparency.
- • We note which products are available nationwide versus regionally.
- • Learn more about our methodology.
Quick Answer
Public Islamic Bank offers halal financial products that comply with Shariah principles, avoiding interest (riba) and prohibited industries. Their products are available in 1 state and include Bank Accounts, Home Financing, Personal Financing, Vehicle Financing options.
Key Takeaways
- Public Islamic Bank offers Shariah-compliant financial products that avoid interest and prohibited industries.
- Products are available in 1 state: Nationwide.
- Product categories include Bank Accounts, Home Financing, Personal Financing, Vehicle Financing.
- Always verify compliance directly with Public Islamic Bank and consult qualified Islamic finance advisors when needed.
- Compare Public Islamic Bank's products with other providers to find the best fit for your needs.
Important: HalalWallet provides educational information and comparisons to help you explore halal financial options. We do not provide financial, legal, or religious advice. Product structures and Shariah compliance oversight vary by provider. Always verify halal compliance directly with providers and consult with qualified Islamic finance advisors or scholars for guidance on specific products and your individual circumstances.
Sources and review process
This page is reviewed against HalalWallet editorial standards and source documentation.
Reviewed by: HalalWallet Editorial Team
Last reviewed: 2026-03-09
How to cite this page
Preferred format:
For time-sensitive claims (rates, fees, state availability), please verify directly with the provider's official documentation and note the retrieval date.
Related Guides
Frequently Asked Questions
What types of halal products does Public Islamic Bank offer?
Public Islamic Bank offers 7 products across 4 categories. Public Islamic Bank is best for [object Object],[object Object],[object Object]. Review the products listed above or contact Public Islamic Bank directly for current offerings.
How does Public Islamic Bank ensure Shariah compliance?
Shariah Committee with full published biographies, chaired by Dr. Shafaai bin Musa (publicislamicbank.com.my corporate governance page, crawled 2026-08-06) Full-fledged Islamic bank under IFSA 2013, wholly owned by Public Bank, operating since 1 November 2008 (crawled 2026-08-06) Ceiling Profit Rate (5.00%) published for Commodity Murabahah deposit pricing (crawled 2026-08-06) PIDM protection up to RM250,000 stated on individual deposit product pages (crawled 2026-08-06)
How does Public Islamic Bank work?
Open with modest minimums: CM Savings from RM250; Term Deposit-i from RM1,000 (2+ months) or RM5,000 (1 month); current accounts from RM3,000 with an introducer. Pick the right variant: Ask for ForU2Save (2.10% first RM50,000) rather than the standard CM Savings; salary earners can use MySalary tiers to 1.00%. Finance via PDS: Home, vehicle and personal financing pricing is disclosed in the PDS and at quotation; check the published financing rates page for the SBR (2.75%), BR (3.27%) and BFR (6.47%) benchmarks.
Is Public Islamic Bank available in my state?
Public Islamic Bank operates nationwide, though specific products may have regional limitations. Always verify current availability directly with Public Islamic Bank.
What are alternatives to Public Islamic Bank?
Against CIMB Islamic, PIB wins medium-term deposits (2.00% at 13 months vs 36) and freshness, loses cards and digital. Against RHB Islamic, PIB's unconditional 2.10% ForU2Save beats RHB's conditional 6.60% ceiling for most real savers, while RHB prints far more financing pricing. Against Maybank Islamic, PIB's rate sheets are current where Maybank's are stale, but Maybank's network and product breadth are in a different class. CIMB Islamic: Better cards, digital banking and payout flexibility on deposits; needs 36-month commitment to beat PIB's 13-month 2.00%. RHB Islamic Bank: Far richer printed financing pricing and a partnership mortgage option; savings yields need behavioural hoops PIB does not impose. Hong Leong Islamic Bank: Matches PIB's 2.00% at 13 months with a lower RM500 entry, and adds page-level contract education; savings rates are weaker.
Are Public Islamic Bank's products more expensive than conventional options?
Halal financing structures can have different fee structures compared to conventional products. Some options may be competitive with conventional rates, while others may have different cost structures. Pricing varies by product type, location, and individual circumstances. Always compare total costs and terms when evaluating options.
How do I contact Public Islamic Bank?
Contact information for Public Islamic Bank should be available through their website or the product listings above. Use the action links provided with each product to visit Public Islamic Bank's website or contact them directly for more information.
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