Under Islamic Sharia Law, Bankers Who Overcharge Will Float In A River Of Blood
I found this video about Sharia Law by Imam Karim Abuzaid from the Colorado Muslim Society in Denver. A woman calls into his cable access show and asks if she should finance the home she wants to purchase. Imam Karim explains the finer points of Sharia law when it comes to mortgage lending and Islamic banking.
“O you who believe, fear Allah and give up what remains of your demand for riba, if you are indeed believers. If you do it not, take notice of war from Allah and His Messenger.” – Qur’an 2:278-279
In the video, Imam Karim uses the term “Riba”. Riba means usury in Arabic which according to Shariah terminology implies any excess compensation without due consideration. So in other words, if you overpay for a service and it is considered usury.
As a disclaimer, I don’t know Imam Karim, I am not Muslim, nor am I endorsing Imam Karim or Sharia law. I thought this was an interesting video and it contained a different view point on mortgage finance that you don’t hear very often in North America and Europe.