The National Australia Bank plans to tailor loans for Muslims
Islam-approved line of finance.
This is obviously a scam by the National Australia Bank to bypass archaic Sharia law which forbids money lending. The Federal Govt and all state Govts will go along with the idea seeing this will reduce Govt spending in the public housing sector.
However , in the small print- so as not to make it appear a hand out for Muslims only,there is a small mention that non Muslims will be afforded this privilege too.(Probably if you swear on the Koran)
Nat/Australia Bank is planning to introduce "Muslim-friendly" loans that do not charge interest, to comply with Sharia law. It will structure an Islam-approved line of finance to make money from alternative methods.
These include profit-sharing on the transaction, joint-ventures or leasing-type arrangements.
For example, to get round the Islamic ban on usury - or unfair lending - a Muslim mortgage often works by the bank buying the property, then selling it to the customer at a profit, with the customer then repaying the entire sum in instalments.
In this way the profit margin is built in from the start. It also has the advantage of making the loan immune from future interest rate rises.
NAB said the loans, which will start out small, will have to be cleared by a Sharia Advisory Board to ensure they meet strict criteria before they can be made available to the public.
They are dipping their toes in the water with this scheme thinking they may be able to offer this product in high-density Muslim areas,
I suspect there is a demand out there, but the usury sharks don't know how big it is, so a few trial stabs for custom will soon be promulgated.
For the trial's purposes NAB will pump a paltry $15 million from its not-for-profit finance division into the program, which will distribute the funds through various community finance schemes around the country.
The bank will monitor the take-up and assess potential demand. Are you kidding us? normally these things are usually sussed out by the banks similar to a bank hold up in reverse.
Interest-free loans of up to $1000 will be available to help finance household items, such as washing machines and fridges. This has been happening for years, do they think customers are bloody stupid, the jacking up of goods in order to hide the interest is not new.
The loans would also be available to non-Muslims. Ha Ha Ha.
The news comes just days after federal Assistant Treasurer Chris Bowen said that Australia could exploit international demand for Islamic finance to create more jobs. What a lot of bollocks.