Credit Cards

The Shariah-compliant credit card is issued as interest-free by an Islamic Financial institution. When this credit card is used to purchase goods or services, the Islamic bank will render the transaction on the customer’s behalf whilst simultaneously selling it back to them. The credit card is payable over a deferred period of time via installments.

Types of Arrangements

Ujrah-based Credit Card

It is based on the Islamic principle of Qard Al-Hassan (benevolent loans). The credit amount lent as Qard is repaid by the customer in installments with premium.

Tawarruq-based Credit Card

The amount equal to the total Murabaha profit paid by the customer is spread over the term of the Murabaha agreement on a monthly basis. The customer pays the cost price to the bank at the end of the agreement which coincides with the credit card’s expiry date


March 15, 2018

Financial Planning, The Islamic Perspective

Every individual has certain needs for which they either spend the money from their income, or save it.
March 23, 2017

Islamic Banking in Malaysia

Islamic banking is a branch of banking that is exclusively compliant with the Shariah (Islamic) law.
March 23, 2017

Islamic Microfinance in Malaysia

Poverty is a global challenge and in particular, Muslim societies fare far worse in comparison to the rest of the world with regard to addressing problems stemming from poverty.