This episode is sponsored by MuslimMatters.org – because Muslims matter.
Mufti Ikram ul Haq is a well-known scholar who specialized in Islamic jurisprudence. He currently serves as the resident Imam of Masjid Al-Islam (Rhobe Island, USA) and as Mufti at Darul-Ifta of Rhode Island, where he delivers weekly lectures, holds classes, provides Shari`ah counseling, responds to request for fatwas, etc.
Mufti Ikram ul Haq also completed an intensive course on Islamic Banking and Finance from the Center for Islamic Economics (Karachi, Pakistan). He has licenses (ijazah) in Prophetic traditions (hadith) from multiple world-renowned Hadith scholars.
In this episode we discuss:
- Why the debate over Islamic mortgages is aactually a cause for optimism.
- The difference between conventional financing and Islamic financing.
- Understanding the basic models of finance – ijarah, murabahah, musharakah.
- Are some Islamic companies violating the Islamic prohibition of having “2 sales in 1” with a lease to own contract?
- Can a bank sell me a house at markup before they actually take ownership of the house? This is in reference to a prohibition against selling something you do not own.
- Learn why Islamic banks favor the musharakah model over the other models.
- Should Islamic banks who finance through co-ownership share in the costs of home maintenance, property taxes, insurance and other expenses?
- If you sell your home at a profit, should the Islamic bank get an increased profit?
- Should the Islamic bank share in the loss of a house if the value goes down, or foreclose on you?
- What should you look for when picking an Islamic finance company? How do you weed out the deceptive companies from the legitimate ones?
Links from this episode:
Mufti Ikram’s Website: http://askamufti.com
Mufti Ikram on Twitter: https://twitter.com/AskaMufti
AAOIFI (Auditing organization for Islamic financial institutions)- http://www.aaoifi.com/
Straightway Ethical Advisory: http://www.straightwayethical.com/
Mufti Ikram’s Book: Companion of Hajj
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