1. AR-RAHNU IN AGRO BANK
ISLAMIC BANKING
CTU351
STUDENT NAME
MATRIX NO.
NOOR ANUN SUHADA
BINTI ALIMUDIN
2011616274
PREPARED FOR :
USTAZ RAZIZI BIN TARMUJI

2. CONTENT
CONTENT
PAGES
INTRODUCTION
VISSION AND MISSION
OBJECTIVE
LOGO OF AGROBANK
CHARACTERISTICS
BENEFITS OF AR-RAHNU
SAMPLE OF LETTER
TOOLS OF USES IN ARRAHNU
CONCLUSION
REFERENCES
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3. INTRODUCTION
AGROBANK is an institution which provides holistic financial services and banking
facilities. We give our utmost priority to the needs of our customers by providing attractive
products and services such as savings activities, banking services, loan facilities, insurance
coverage and advisory services.
Bank Pertanian Malaysia (BPM) is the Government Development Agency that had
been established in 1st September 1969 under the Malaysian Parliament Act directly under the
Ministry of Agricultural until now. It is a Government-linked-Company (GLC) under the
Minister of Finance Incorporated (MFI). After 39 years involve in agricultural banking
sectors, Bank Pertanian Malaysia (BPM) had been changed to the private sectors under
Company Act 1965 and it had been registered under name of Bank Pertanian Malaysia
Berhad and change to the new name with is Agrobank until now.
“We give our almost priority to the needs of our customers by providing attractive
products and services such as savings activities, banking services, loan facilities,
insurance coverage and also advisory services. With a wide network of branches
throughout Malaysia, we are confident of providing the best services to all”.
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4. VISION
The vision of AGROBANK is its want to become a leading bank with focus on the
agricultural sector and the mission is the bank will provide financial services holistically
according to market demands and customer needs through prudent financial management to
Agro-entrepreneur, Micro, small and medium-scale entrepreneurs and also Individuals.
Agrobank is one of an institution that provides many financial services and banking facilities
to the customers with an experience in agricultural banking and an excellent track record in
shaping and developing successful entrepreneurs.
MISSION
The bank will provide a full range of financial services in a market and client driven,
financially sustainable way with specific target groups; agropreneurs, micro, small and
medium entrepreneurs and private individuals.
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5. OBJECTIVE
There are four (4) objectives under Agrobank, which is :
a) To promote agricultural department in Malaysia or any part thereof.
b) To coordinate and supervise the grant of credit from public funds for agricultural
purposes by various persons or bodies of person whether corporate or
incorporated.
c) To provide loans, credit facilities and other advances for development of the
agricultural including agricultural and marketing.
d) Continuously with the modern and progressively banking services that can meet
with the customers’ financial requirement.
There are several roles and functions that stated under the Agrobank with is
provides financial and banking services with focus to agriculture sector, upgrades
and encourages agricultural financing by the commercial banking sector, one of the
agents for the Government’s development programmed, to be the centre of
agricultural expertise and the last one is to provides credit rating for agriculture.
The objective under Ar-Rahnu at Agrobank is they want to provide a source of
immediate financing to individual in overcoming the cash flow needs. Besides that,
they also want to offer investment opportunities especially to the customer who in
high-level income. Then, Agrobank also want to help their low-level income customer
from involving in illegal or unlicensed financing activities.
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6. LOGO
The Agrobank’s new identity has been designed to reflect the Bank’s strategic intent to
competitively position and lead in the delivery of a full range of financial services with a
focus on agriculture. The logo or symbol in the form of a prominent red triangle
communicating stability and reliability has been chosen to reflect the new energy,
commitment and aspirations of Malaysia’s leading agricultural bank where the shared vision
between the Bank and its customer is represented through a circular icon within the symbol.
The Bank’s visual signature (the name and logo) is strengthened in the use of a high impact
font for ease of recognition and distinctiveness. In evolving its 39 years of dedication to the
development of the agricultural sector, its corporate tagline “Sentiasa di SisiAnda” is
retained.
The design of Agrobank logo shows a symbol of a triangle with a symbol of a circle under it..
The circle symbol in the middle on the floor resembles the strength of bank focusing on the
needs of the customers as business partners.
The triangle symbol resembles a general perspective which is the strength of the bank relying
too strong partnership and strategic relationship with business partners. The triangle symbol
also resembles stability and reliability. Stability of bank is especially on financial situation
and trust as it is one of the principles of achievement for the bank in the future.
Red colour on the logo reflects energy, power, passion and dedication in fulfilling its mandate
of our country as a leading agriculture bank.Black colour on the words AGROBANK is
chosen for clarity of application.The font used is Frutiger. This font is very suitable for
printing and signage because the letters are clear and tidy.
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7. CHARACTERISTICS
Characteristics of Ar-Rahnu under Agrobankare :
a) Pawn limit.
Higher pawn limit that is for each pawned item maximum amount is RM 50,000.00
per day and a cumulative amount not exceeding RM 150,000.00
b) Pawn duration.
The pawn duration is longer. It means that for the first duration is for 6 months, then it
can be extended for another 3 months (can be extended by bank automatically if
customer not mention about the extension period) and lastly for another 2 months.
c) Safekeeping fee
The different that researcher can see under Ar-Rahnu adopted at Agrobank as
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compared to the other bank is the lower safekeeping fee.
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The lower safekeeping fee that stated under Agrobank as follow :
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8. BENEFITS OF AR-RAHNU SCHEME
The advantages of pawning gold at Agrobank arefinancing according to Syariah principles,
fast, easy and safety guaranteed, more cost efficient, fee remains static until full redemption
and longer pawn periods. All types of jewelleries made from gold are accepted in Agrobank
such as necklace, ring, earrings,and wrist and leg bracelets and latest, Agrobank have
received public gold as collateral.That is also cheaper (Safekeeping fee from RM0.50).Fixed
safekeeping fee throughout the pawn tenure and the pawn tenure is longer.
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9. APPLICANT ELIGIBILITY
The applicant eligibility is open to all Malaysian citizens and only for aged 18 years and
above.
PAWN LIMIT
The pawn limits that prescribed by Agrobank is maximum RM150,000 and RM 50,000 per
day while the pawn duration is 6 months with addition period 3 months and lastly for another
2 months.
LOAN MARGIN
The loan margin in ar-rahnu at AGROBANK is as high as 70% of the gold value.
TYPES OF ACCEPTABLE
COLLATERAL
Types of gold jewelries such as:
•
Necklaces/Bracelets/Anklets
•
Earrings
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Rings
•
Locket
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10. HOW TO APPLY
To apply Ar-rahnu in Agrobank you must complete application letter formAgrobank counter,
with 1 copy of Identification Card, and you have a gold of jewellery you to pawn it. The
approach your nearest Ar-Rahnucounter for processing and get instant cash.
PAYMENT
To do payment of pawn, there are heve two way to pay it. The first is installment Payment
(ansuran). You must pay directly to the teller at the counter by only showing the Pawned
Letters (SuratGadaian). This way is unlimited to payment times. The second way is full
Redemption. You just bring along pawned letters with full redemption payment to the
counter. A representative should provide the pawned letters along with the customer’s IC.
You must have extention of the payment, and bring the Pawned Letters and storage fees.
LOST OF PAWNED LETTERS
If yourlost of pawned letter, you can bring the certification letters (SuratAkuanSumpah) that
are certified PesuruhjayaSumpah and a copy of Pawned Letters will be given without
additional fees.
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11. SAMPLE OF LETTER
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12. TOOLS
The tools of uses in Ar-Rahnuprocess :
CONCLUSION
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13. Ar-Rahnu is an Islamic pawn scheme whereby financing is given based on the
Al-Qardul Hassan Syariah principle and the customer uses his or her gold jewelries as
collateral. The said jewelry will be kept according to the Al-WadiahYadDhamanah
principle and a minimal safekeeping fee will be charged. From the researcher opinion,
Ar-Rahnu also provides a source of immediate financing to assist individuals in
overcoming cash flow needs, offering investment activities as well as preventing from
the illegal or unlicensed financing activities.
The loan will be granted based on four (4) concepts, with is Al-Qardhul
Hassan (loan without interest), Al-WadiahYadDhammanah (keeping valuable goods
by guarantee), Al-Ujrah (safekeeping fees) and Ar-Rahn (collateral). The safekeeping
fees are based on the value of jewelries and not depend on the amount of the loan.
This fee is will be charged differently by each Islamic pawnbroker.
REFERENCES
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14. http://www.agrobank.com.my/ar-rahnu
http://www.mohdzulkifli.com/2013/02/cara-pajak-emas-di-ar-rahnu.html
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