4 SHARIAH CONTRACT

Published on
Scene 1 (0s)

4 SHARIAH CONTRACT

Prepared by :

NUR AISYAH RIZHAN (2019612424)

ALESYA NORHISHAM (2019207372)

Scene 2 (11s)

SHARIAH CONTRACT

CONTRACT OF EXHANGE - BAY BITHAMAN AJIL - BAY AL INAH - BAY AL DAYN CONTRACT OF SECURITY - AL KAFALAH

Scene 3 (23s)

BAY BITHAMAN AJIL

Sale contract which the payment of price is deferred and payable at a certain time in future It is a contract where the commodity is delivered immediately and the price is paid installment

Issue of BBA different pricing Bank charge at variable rate Higher payment – rate tied with financial index which change periodically with the market Always happen in bba home financing - balance exceed the asset’s initial price Put strain on individual cash flow , requiring them to pay greater monthly installment

Scene 4 (1m 24s)

BANK MUAMALAT ( MUAMALAT BBA FIXED ASSET FINANCING-I)

PUBLIC BANK ( ABBA HOUSE- FINANCING)

ALLIANCE ISLAMIC BANK (I-WISH-I-HOME FINANCING)

BANK ISLAM MALAYSIA BERHAD

APPLICATION BAY BITHAMAN AJIL IN ISLAMIC BANK

Scene 5 (1m 46s)

Alliance Islamic Bank Targets RM100mil Financing for Halal SMEs - MALAYSIA SME®

Alliance Islamic bank ( I-WISH-I HOME FINANCING)

Offered to finance a residental property whether completed or under contruction - offer existing mortgage financing- calculated on variable rate basis

Features Profit Rate Tenure Age Requirement Margin of Financing Financing Type Terms Variable rate pegged to Base Rate Up to 35 years 1 70 years of age 21 years old and above • Up to 90% + 5% Mortgage Reducing Term Takaful and/or Financed Entry Cost • Max MOF for Cashline Facilityq • Completed or under-construction propeny • Subsale • Top up financing • Refinancing from another bank with or without cashout

Scene 6 (2m 42s)

BAY AL INAH

Refers to the sale of asset that are then repurchased at a different price where the delayed price is higher than the cash price Its contain 2 independent selling contract such as an asset sale contract and an asset purchase contract , both legally binding

Issue of implementation of the sequences of aqd Improper sequence of aqad in each sale and purchase agreement – not in different time interval in the correct order Bank ask customer to sign both contract at the same time although the contract has not necessarily been finalized yet. According to the Shariah requirements, the first aqad must be completed first, followed by the second agreement.

Scene 7 (3m 53s)

BANK RAKYAT (CONTRACT FINANCING-I )(TIJARI)

BANK ISLAM (BANK ISLAM CARD)

MAYBANK ISLAMIC BERHAD (PETRONAS IKHWAN VISA CARD)

BANK SIMPANAN NASIONAL (AL AIMAN CREDIT CARD)

APPLICATION BAY AL INAH IN ISLAMIC BANK

Scene 8 (4m 14s)

BANK RAKYAT ( CONTRACT FINANCING-I TIJARI)

Offered facilities for finance the work contract offered by the government, statutory bodies public company listed on main board of bursa Malaysia Customer must be contractor registered with contract service center or have licence issued by ministry of finance. This product offers facilities for financing the work contract offered by the government, statutory bodies, and public company listed on the main board of Bursa Malaysia. Financing Tenure: Minimum: 12 months up to Maximum 2 years. Financing Limit: RM10,000 to RM250,000 Bank purchases commodity via Bursa Suq Al- Sila ' (BSAS) system, and subsequently the Bank sell commodity owned by the Bank to customer at a residual selling price. Upon completion of the sale and purchase of commodity, the customer will resell the commodity to the Bank via cash at a lower price from the customer's purchase price

Scene 9 (5m 1s)

BAY AL DAYN

Sale of payable right/ receivable debt to debtor or a third party Hanafi Scholar: something of a form of invisible property Shafie , Maliki, Hanbali : sale contract – debtor selling his debt rights to creditor or third party Transfer of debt is allowed by Shariah Free from maysir , gharar and riba

Scene 10 (5m 49s)

Do not submit the exchanging things of the contract

Does not bring any benefit to both buyer and seller

Hanafi, Shafie , Maliki, Hanbali and Ibn Hazim – invalid contract in Shariah

Sale of debt with deferred price to third party

Scene 11 (6m 28s)

APPLICATION OF BAY AL DAYN IN ISLAMIC BANK

Expand domestic & international trade

RHB ISLAMIC BANK

BANK ISLAM

BANK MUAMALAT

AFFIN ISLAMIC BANK

ACCEPTED BILL-I (SALES)

Scene 12 (7m 5s)

CONTRACT OF SECURITY AL-KAFALAH

Shariah Advisory Council – a guaranteed contract on a certain asset, usufruct or services that are provided by a guarantor to the parties involved Kafalah is guarantee for future obligations that involved human beings Dhamanah means future obligations guarantee involving property

Scene 13 (7m 41s)

Insurer has a right of regress and subrogation This right arises when the insurer has paid the debtor's debt voluntarily or on the basis of a judge's decision Guarantor has two types of rights which are the right to demand returns and the guarantor replaces the creditor’s position regarding his rights to the debtor Insurers are able to practice two types of rights together or do one of them

The relationship and legal consequences between the insurer and the debtor

Scene 14 (8m 23s)

Irrevocable written obligation

To assure payment in case of demand by the beneficiary

Only guarantee Syariah compliant transactions

BANK ISLAM, AFFIN ISLAMIC BANK, MAYBANK, RHB ISLAMIC BANK

APPLICATION OF AL-KAFALAH IN ISLAMIC BANK