hyperactive wrote:lama is not as easy as you copied and pasted. that is why there is majma3 islamic scholars put it that based in islamic banks. so yeah riba is not faida. people said faida is same as riba. i understand even in islamic banks chrge you more if you borrow but they dont charge percentage based of time. and believe me they make money as much riba based banks if not more. for consumer is same to them. in the end you pay more than what you borrowed but wa inad go around the system.
There is nothing called islamic banks today Hyper. Only those who do not understand financial systems think there is something called islamic banks. if you look closely, you will not that banks are involved in a web of relationships with other banks and institutions. Wall street investment banks are clients of so called islamic banks. This issue has been discussed alot in the literature and the facts all point to; some banks call themselves islamic banks for marketing reasons.
True, my knowledge of the quran is limited. But, my knowledge of the field of finance is good.
Alpha, hi cousin. I am not saying that ayuuto is interest rate based. However, they are losers when you put it in the context of financial services. The losers are those who recieve their savings in the last cycle because of opportunity costs (not investing their money in other schemes).
Let me give you an example;
Xalima is engaged in an ayuuto with 15 other women. She decides to be the last one i.e. she lends her money for 15 months without interest rates. What will happen if there is a currency depreciation? inflation? she would have been covered against these had she put her money in a savings account with an interest rate.
That sounds very abstract and is perhaps offset by the advantages of ayuuto which is the thesis of this thread.
Executive; no need to give thumbs up. You are the guy who claimed to have taken graduate courses in financial economics only to show that your knowledge of basic economics was zero.
