coffee_rules Posted November 14, 2007 Posted November 14, 2007 Don't intend to start a religious debate. A co-worker at work said that he can't work in wall-street or a financial company as the business (fianance/interest, etc.) is against his religion. I am wondering how will it work for them. How does fiancial institutions work in Islamic countries? If it is against Sharia law? I also read somewhere that they don't buy homes because of the Mortgage, which is also against Islam. That must be a tough challenge for them to work with Banks etc in daily life in Modern days!!!
Ram Posted November 14, 2007 Posted November 14, 2007 Seems like an un-practical, unsustainable policy to me.
Guest dada_rocks Posted November 14, 2007 Posted November 14, 2007 Club mortage value along with price and hodwink yourself with pthe concept pf paying zero interest. that's islamic banking for you
Bongosamaj Posted November 14, 2007 Posted November 14, 2007 Ofcourse, mars-bar. The SOLE income avenue for a bank is through interests. The difference between a bank and a safety-deposit box in your bedroom is one involves interest, the other does not. Interest-free banking is just as stupid as square-wheeled cars.Suffice to say, banking never was interest free, never will be interest free and never CAN be interest-free.
Ram Posted November 14, 2007 Posted November 14, 2007 Can anybody here educate how interest-free banks work in Islamic countries ? or quite simply , how do they bank ?
Bongosamaj Posted November 14, 2007 Posted November 14, 2007 Can anybody here educate how interest-free banks work in Islamic countries ? It doesn't work. Banks in Islamic countries do pay interest/ask interest when they give out loans. However, they do have small 'country-bumpkin' banks that will let you borrow a couple of hundred bucks at max with no interest and then file a police case the first time you miss a payment. Most banks in the middle-east are western banks like Standard Chartered, Hong Kong Bank, etc.
Ram Posted November 14, 2007 Posted November 14, 2007 It doesn't work. Banks in Islamic countries do pay interest/ask interest when they give out loans. However, they do have small 'country-bumpkin' banks that will let you borrow a couple of hundred bucks at max with no interest and then file a police case the first time you miss a payment. Most banks in the middle-east are western banks like Standard Chartered, Hong Kong Bank, etc. So the mainstream banks function as any other normal bank ? Then what is the fuss about not working in mortgage/stock trading company ?
Bongosamaj Posted November 14, 2007 Posted November 14, 2007 Then what is the fuss about not working in mortgage/stock trading company ? I think it is a personal choice they try to justify and probably have not faced in Islamic countries- unless they are from Pakistan,Malaysia or Indonesia, there arnt stock-exchanges in other muslim countries- atleast, that i know of. In anycase, i will wager that the guys you talked to are well educated and hold good jobs- they just wanna be snooty about the wall street. Next time they get snooty about avoiding wall-street coz of interest, you should ask them if they have a checking/savings account with the bank and what they do with the interest paid on their accounts.
coffee_rules Posted November 14, 2007 Author Posted November 14, 2007 He is from Pakistan, needless to say. He flashed a smile when I told him about the fact that Karachi has a stock exchange.
Guest dada_rocks Posted November 14, 2007 Posted November 14, 2007 :hysterical:He is from Pakistan, needless to say. He flashed a smile when I told him about the fact that Karachi has a stock exchange. :hysterical:
Lurker Posted November 14, 2007 Posted November 14, 2007 I am wondering how will it work for them. How does fiancial institutions work in Islamic countries? If it is against Sharia law? I also read somewhere that they don't buy homes because of the Mortgage, which is also against Islam. Essentially how it works is that people are told that this is not against Islam. Forget the nitty gritty, an average citizen does not care much about it. Here is one way of how it works. 1) Imagine person X wanting to put money in bank and get Y% rate of interest at the end of year. This is not encouraged. 2) Imagine the same person X wanting to put money in bank for safety reasons. At the end of the year the profit made by bank is shared between the account holders. This is encouraged. This is not only a situation in Pakistan but also in India. I remember how in 90s Muslim scholars in India had issued their thoughts on how Muslims can invest in shares. Even a year or so back I read an article about this. Will dig that up. xxx
Guest dada_rocks Posted November 14, 2007 Posted November 14, 2007 It's simple guys zero percent interest rate car loan but if u pay cash u get money back.. right.. So it's not really zero percent, is it.. Halaal banking works in similar manner interest called with some other name..
THX_1138 Posted November 20, 2007 Posted November 20, 2007 its funny how wabahi leader wish to promote zero interest rate lending, calling the institution of interest (i.e. pretty much the raison d'etre of modern financial and forecasting industry) a convenient jewish conspiracy but seem to have no problems when their chief finaciers, the oil shieks sign checks out to them made against some of the leading european and american investment banks.
Anakin Posted November 21, 2007 Posted November 21, 2007 THX welcome to the hypocrisy of the muslims. I think the way their bank is supposed to work, is something like this, say you borrow some money, do business with it, increase your income, then you have to give back more money because you have more income now. Not 100% sure, but that's how a muslim friend explained it to me, didn't look it up to verify.
Recommended Posts