Deposit insurance : [2]

Fatawa Question

Dear Dr. Kahf, Assalamu Alaykum Wa Rahmatullah Wa Barakatuh I was pleased to read about the deposit insurance institution in Jordan and would like to ask the following question : If the insurance company does not observe Shari’ah Compliance in its investment activities, and its insurance services extend to interest based deposits, in this case we must differentiate between Islamic and conventional deposits and their contribution, this is clear but the questions is the capital itself, should we differentiate between the money paid to Islamic and conventional banks in terms of managements, staff, and fixed assets ? When should the insurance on deposit be considered commercial and when is it cooperative, in other words, does the asset money in the institution and in deposit effect the contribution ? is that if it was for a charity cause it is cooperative ? if it was returned to the depositors what is the contribution ? and if it was returned to the central bank what is the contribution ? I hope you can enlighten me with your opinion Best Regards, Abdulbari

Fatwa

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Publication Date

2010-09-06

Main Subjects

Financial and Accounting Sciences
Islamic Studies

Topics

• Banks
• Islamic jurisprudence
• Insurance
• Bank deposits
• Usury
• Banking services
• Islamic Banks

No. of Pages

2

Data Type

Fatawa

Language

English

Record ID

BIM-730843

• APA
• MLA
• AMA