Islamic Finance

Q: Is vehicle finance with Wesbank or Albaraka bank permissible?

Q: I have saved a certain amount of money that I want to invest for my retirement. I do not want to invest it in a conventional bank because I know that interest is haraam. Which Islamic bank can you recommend for me to invest in?

Q: I want to know whether Al hilal bank based at UAE is a purely Islamic and shariah compliance oriented bank. As by name many banks say or put the word Islamic with their bank; which really doesn't make them Islamic. Please clarify.

Q: What are the rules and guidelines that have to be followed for a bank to be Shari’ah compliant? When dealing with the bank, how do we judge whether the dealing is permissible or not?

Q: My mom is kafir and is asking about Islamic finance. I to be honest don't know much about this subject and have heard that it is not actually so Islamic after all. I live in Australia. Please advice on this matter.

Q: In Saudi Arabia, the Toyota Cars company will sell the car on installment and the procedure is as follows: (1) First of all they will make an agreement, that they are giving this car on rental basis and fix some amount as a monthly rent. (2) After completing 4 or 5 years, they will sell the car to the same person who took for 4 to 5 years on a rental basis, by considering that now, this car is second hand car and hence they will take some lumpsome amount of SAR 15,000/- or SAR 20,000/- etc. Lastly they will transfer the car to that party. (3) Is it permissible to take the car as above said procedure based on Islam. (4) Please clarify and reply me.

Q: There are "halaal" bank accounts at conventional banks, who engage in ribaa, and I was wondering if it is allowed to create an account at a conventional bank, which is closer and more convenient when there is an Islamic bank, but further away and with only I think one or two branches where I live. Because even though I would not be getting interest, they will still be benefiting from the money I gave them, via investing it in a permissible way, which helps their business, which is a ribaa bank. Please let me know if it is sinful.

Q: Can I purchase a vehicle through ABSA Islamic Finance or through any other banks Islamic facilities?

Q: I intend opening a hajj account with a certain Islamic bank. The money invested will earn a profit every year. Is this profit permissible? The conditions for opening the hajj account from the bank are as follows:

Hajj, one of the five pillars of Islam, is compulsory for all those who can afford such a pilgrimage. No single event in the life of a Muslim is more spiritually uplifting and rewarding than to embark on the journey of Hajj. The Hajj Investment Scheme helps to turn your pilgrimage dream into a reality. What are the benefits you will enjoy?

•       Investments earn profits
•       Eligibility to enter a sponsored airfare draw
•       A gift when leaving for Hajj
•       In-house foreign currency facility
•       Free Travellers Will

What qualification criteria apply?
•       A minimum deposit of R100 is required to open the account
•       Funds earn profits in terms of a pre-agreed profit sharing ratio
•       Benefits are only extended to those proceeding for Hajj/Umrah irrespective of the term of investment

Q: Is it permissible to purchase a car through FNB Islamic finance?