Islamic charities and banks provide alternatives to traditional UK contracts and loans that involve riba, or interest, which is prohibited under Islamic law. Options like ijara with diminishing musharaka allow Muslims to purchase homes through installment plans where payments cover rent and gradually purchase portions of the property. Fully Islamic banks also offer halal financial products like current accounts, business accounts, home financing, and annuities that are approved by Sharia'a committees to be in compliance with Islamic principles.
2. • About Two million Muslims in the UK face a moral
problem assuming that they need a contract or loan and
mortgages. Ordinary contracts and credits all require the
installment of investment and "riba" as premium is called
under Islamic law, is illegal by the Koran. Islamic
Charities and banks that follow the rules of Islamic law
come to their rescue. British fiscal foundations or banks
are progressively providing food for Muslims' pro needs
through various elective courses of action that regards
the teachings of the Koran.
3.
4. • Ijara with lessening Musharaka - the contract elective, is
an Islamic Charity to a traditional UK contract and has
been embraced by some British banks and building social
orders. Musharaka implies association. Under this Islamic
fiscal thought, the bank purchases the house and
legitimately comes to be its holder. At that point, all
around the pre agreed period, say 25 years, a regularly
scheduled installment is made. Every regularly scheduled
installment incorporates a charge for rent and a charge
that purchases a minor extent of the house itself. It is
manifestation of variable imparted value want to the
extent of the house being claimed by the buyer,
relentlessly expanding as installments are made.
5.
6. • When the last installment has been made, the house is
claimed altogether Ijara Alternate high road banks, are
improving a unique run of Islamic Charities under the
Amanah mark name. This run incorporates home fund
plans, home protection, business account, and different
current accounts and annuities. The Islamic Bank of Britain
has three limbs in London, two in Birmingham and one
each in Leicester and Manchester. They are the main
British bank explicitly accommodating Muslim clients and
claim to be halal all around their operations. All their fiscal
items are sanction by their Sharia'a Supervisory Committee
- Muslim researchers who are specialists in all parts of
Islamic money.
