Sharia Banking Coming to the US?

[freelance]

You're not going to believe this.

GAFFNEY: Treasury submits to Shariah

http://www.washingtontimes.com/news/2008/nov/04/treasury-submits-to-shariah/

 

[WRellim]

You're not going to believe this.

GAFFNEY: Treasury submits to Shariah

http://www.washingtontimes.com/news/2008/nov/04/treasury-submits-to-shariah/

First of all, that article is just a regurgitation of something that happened back in 2002:
http://www.hno.harvard.edu/gazette/2002/05.02/12-islamic.html


Shariah banking as it is promoted is equivalent to full-reserve banking without usury.

Shariah banking as it is actually practiced is nothing like that -- essentially they use the fraud/ruse/euphemisms to still charge interest, and create credit money.

They claim to NOT charge interest... but what they do instead as a "workaround" is an financing system of invest/rent/lease with a built-in interest (rental profit) and/or a balloon payment at the end.

Basically think "leased" autos instead of car loans. See you're not paying "interest" on the "financing" -- instead you're paying "rent" on the object... same thing really.

A difference that makes no difference... is no difference. As one of the comments on the article you linked to stated:

Islam prohibits usury (as once did Christianity). Islamic Finance is about finding [creative] ways get around that, mostly devised by clever lawyers in London and New York, I suspect.
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[FrankRep]

You're not going to believe this.

GAFFNEY: Treasury submits to Shariah

http://www.washingtontimes.com/news/2008/nov/04/treasury-submits-to-shariah/

Is it more honest banking?

 

[WRellim]

Is it more honest banking?

In principle, yes. In practice, NO.

 

[freelance]

Basically think "leased" autos instead of car loans. See you're not paying "interest" on the "financing" -- instead you're paying "rent" on the object... same thing really.

I did not realize that. I always wondered how the banks made any money.

 

[devil21]

Things like that wouldnt be necessary if we weren't selling the USA to the highest bidders.

 

[Dsylexic]

Grow up and stop being afraid of everything that comes from the middle east.If the arabic numeral system hadnt reached europe, we would be still using silly roman numerals to count!

shariah banking has existed and thrived in the middle east for centuries.it is a moral system -definitely more moral than fiat banking.

the middle east also used to have a honor based money transfer system called the hawala -money transfer was pretty quick and charges very low. ever tried exchanging currencies at an airport?. the spreads these banks charge today are nothing short of robbery.
there is plenty to learn from the middle east -they invented algebra (al gibr) if you keep your eyes and minds open.

 

[freelance]

Grow up and stop being afraid of everything that comes from the middle east.If the arabic numeral system hadnt reached europe, we would be still using silly roman numerals to count!

shariah banking has existed and thrived in the middle east for centuries.it is a moral system -definitely more moral than fiat banking.

the middle east also used to have a honor based money transfer system called the hawala -money transfer was pretty quick and charges very low. ever tried exchanging currencies at an airport?. the spreads these banks charge today are nothing short of robbery.
there is plenty to learn from the middle east -they invented algebra (al gibr) if you keep your eyes and minds open.

Who said anything about being afraid? I have spent a LOT of time in the mideast, and I have many friends over there. I would be just as shocked if the mideast adopted our standards, and I would post the very same, "You have got to be kidding," response. Perhaps you'll grow up and see what happens when you assume too much out of a post.