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Muslims and mortgages


Viking Warrior
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I was speaking to a friend to day who is a Muslim and I asked why he is having to sell his house. I was shocked. He said it is for ethical reasons. Apparently it is forbidden to take out a martgage where some one else prospers I.e banks building societies etc through extortionate interest rates. He explained he can get a loan type of mortgage through a muslim loan where everyone shares the profit. As the Muslim religion wants to see the premises be succesful

 

First I have heard of this and was suprised he has to sell his house and go into rented property. Anyone else aware of this ethical issue.

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Just out of interest, if I wanted a Sharia-friendly loan, would I be applicable being a non-muslim?

 

This is probably a ridiculous question...

 

No problem. "Sharia-friendly" just means you have to ask them nicely, rather than steaming into the bank and yelling "lend me some f*cking money you c*nts".

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Islam is strict on anything to do with money. Earning interest is very illegal in accordance with Islamic law. There are some financial practises like this that we'd regard as completely normal that would be perceived as 'gambling' in Islam, and would therefore be strictly banned.

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Just out of interest, if I wanted a Sharia-friendly loan, would I be applicable being a non-muslim?

 

This is probably a ridiculous question...

 

Thats a good question. Apparently Islamic banking wasnt too badly affected when the Western banks went down, perhaps a better model for the world?

 

Its all a Jewish conspiracy remember?

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I was speaking to a friend to day who is a Muslim and I asked why he is having to sell his house. I was shocked. He said it is for ethical reasons. Apparently it is forbidden to take out a martgage where some one else prospers I.e banks building societies etc through extortionate interest rates. He explained he can get a loan type of mortgage through a muslim loan where everyone shares the profit. As the Muslim religion wants to see the premises be succesful

 

First I have heard of this and was suprised he has to sell his house and go into rented property. Anyone else aware of this ethical issue.

 

Rather than give up his home, why doesnt he simply re-finance with a Muslim mortgage ?

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No gemmel did not just convert but his elders have recently advised him and brought pressure on him that he has to sell his house as it is unethical and immoral mortgage he has. Hes a good guy but it seems strange as he is being forced to sell now. Im must ask him which mosque /madrass has pressured him to do this . as there is no mosque up here.

He intimated in time that he may share in a house purchase share schme in due course.

He did say that under the muslim rules he can get a muslim loan but all those involved receive equal divis of what is made . including rental of properties. The rationale is for those who loan money is to ensure the property and owners succeed.

I have bcome better educated in the world of islam . Some parts I find scary but thats the sunni /shia divide

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Even the big banks now offer Sharia compliant financial packages. Although of course in teh UK market actually getting one may be the problem.

 

This is a great moral conundrum, Sharia compiant is effectively a profit share, in property you Brits are brainwashed over the years to think of house price gains so you see that and then get asked to share it....

 

although if you take mortgage interest costs (that never get added in to house price gains mentality) it isn't a bad deal

 

Amusingly, in the housing boom down here, Islamic institutions offered Brit style Mortgages (as did many offer Sahria style)

 

It comes down again to the edict from the man who shouts from the Minaret on a Fridaya sto how he interprets things, but as others have said, in this instance, money lending interest is haram

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I was speaking to a friend to day who is a Muslim and I asked why he is having to sell his house. I was shocked. He said it is for ethical reasons.

 

First I have heard of this and was suprised he has to sell his house and go into rented property.

 

So, it's unethical for a bank to profit from a house purchase but ethical for a landlord to profit from rent payments?

 

Notwithstanding that the Landlord has probably bought the house using a mortgage in the first place....

 

Not the most logical religious policy in the world I would venture...

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So, it's unethical for a bank to profit from a house purchase but ethical for a landlord to profit from rent payments?

 

Notwithstanding that the Landlord has probably bought the house using a mortgage in the first place....

 

Not the most logical religious policy in the world I would venture...

 

Making a profit is fine. The idea of any citizen born of the Souq NOT making a profit - lol.

 

In fact a Sharia loan is about sharing any profit

 

It is the earning or charging of INTEREST that is the issue.

 

A bank in Qatar recently got into all kinds of pooh over this.

 

HTH

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Making a profit is fine. The idea of any citizen born of the Souq NOT making a profit - lol.

 

In fact a Sharia loan is about sharing any profit

 

It is the earning or charging of INTEREST that is the issue.

 

A bank in Qatar recently got into all kinds of pooh over this.

 

HTH

 

All religions have rules that are adhered to more or less strictly. As you say it is interest that breaks strict Muslim interpretation. We used to have similar objections in Christianity. ...look at the word 'usury' and see its usage in Shakespeare for example. Or for that matter see expulsion of the money lenders in the New Testament. But we have gradually overcome our qualms! I imagine there must be some very strict Christian sects that still have such rules though.

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Maybe I'm being thick (usually am), but why is it seen as morally wrong to earn money from interest payments? Its just payment for providing a service in effect, same as any other?

 

It's an historical anachronism. Islam isn't alone in frowning on interest. Christianity does it too. Check on Deuteronomy 23:19 for example: Thou shalt not lend upon interest to thy brother: interest of money, interest of victuals, interest of any thing that is lent upon interest. Judaism only allowed it for Israelites lending to non-Israelites, etc, etc.

 

Christians, Muslims, Jews, and pretty much everyone else in the modern world deals with, profits and loses from interest every day of the week. The idea that Muslims alone continue to live in a way prescribed centuries ago is preposterous. VW's friend has obviously got a bad dose of fundamentalism.

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they also can get around stamp duty on this premise. If you look on the net how to avoid stamp duty there is a loophole that allows them to not have to pay it.

 

Link please. I'd love to know if this is true or an urban myth.

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It's an historical anachronism. Islam isn't alone in frowning on interest. Christianity does it too. Check on Deuteronomy 23:19 for example: Thou shalt not lend upon interest to thy brother: interest of money, interest of victuals, interest of any thing that is lent upon interest. Judaism only allowed it for Israelites lending to non-Israelites, etc, etc.

 

Christians, Muslims, Jews, and pretty much everyone else in the modern world deals with, profits and loses from interest every day of the week. The idea that Muslims alone continue to live in a way prescribed centuries ago is preposterous. VW's friend has obviously got a bad dose of fundamentalism.

 

And so finally there we have it, the news that everyone in Britain has really waited for...

 

Every single Banker on the planet will truly be damned for eternity and will go to hell.

 

Serves the feckers right

 

Oh happy days

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  • 3 weeks later...
Usury is the term, I thought this was also no go in Jewish communities. Never understood how it could be bad.

 

Surely it's the opposite in Jewish faith in that they CAN be usurers, but only to non-Jews, hence all the historical characters: Shylock, The Jew of Malta, etc.

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It's an historical anachronism. Islam isn't alone in frowning on interest. Christianity does it too. Check on Deuteronomy 23:19 for example: Thou shalt not lend upon interest to thy brother: interest of money, interest of victuals, interest of any thing that is lent upon interest. Judaism only allowed it for Israelites lending to non-Israelites, etc, etc.

 

Christians, Muslims, Jews, and pretty much everyone else in the modern world deals with, profits and loses from interest every day of the week. The idea that Muslims alone continue to live in a way prescribed centuries ago is preposterous. VW's friend has obviously got a bad dose of fundamentalism.

 

Hardly surprising seeing as Islam and Christianity are based on the same roots.

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