Lloyds: No overdraft fees for muslims

[Judgeneo]

Shock horror as a back caters for a large and rapidly growing section of the fiance industry

The growth is impressive. The top 20 Islamic banks in the Gulf have grown 20 per cent in the past 18 months, compared with 9 per cent for conventional banks, according to Ernst & Young’s Bahrain-based sharia-compliant advisory group.

http://m.ft.com/cms/s/0/09a99422-7291-11e1-9be9-00144feab49a.html

Of course all that growth can't come without someone making money, which hardly seems harim... Religion be crazy.

From a broader perspective, it's better for everyone for these accounts to be open, as they are a key source of liquid asset growth for the banks, meaning they can bump up their base asset ratio without reducing spending so much, becoming safer for everyone.

 

[keybaud]

http://en.wikipedia.org/wiki/Islamic_banking

By 2009, there were over US$822 billion assets being managed in over 300 banks and 250 mutual funds around the world complying with Islamic principles.

Seems like a pretty good target audience. Note the use of the term 'sharia principles'.

 

[TwsT]

I'm confused, it is not actual law they are just offering options for muslims that follow Sharia law.

you're not the confused one

just another fool with his

 

[badcompany]

how do they know you are muslim or not?

 

[Kenai]

how do they know you are muslim or not?

Why does it matter?

Anyone can get one, it's just an account that makes it easier for Muslims to adhere to the rules of their faith.

If you want the account, you don't have to be Muslim to get one.

It would be pointless though, as all they've done is removed 'features' that could result in you paying interest by removing normal overdraft functionality.

 

[markweatherill]

I suggest Lloyds changes its name to TALIBANK.

 

[badcompany]

Why does it matter?

Anyone can get one, it's just an account that makes it easier for Muslims to adhere to the rules of their faith.

If you want the account, you don't have to be Muslim to get one.

It would be pointless though, as all they've done is removed 'features' that could result in you paying interest by removing normal overdraft functionality.

So its no overdraft not no overdraft fees then ?

 

[Kenai]

So its no overdraft not no overdraft fees then ?

It was quoted in the 3rd or 4th post of the thread:

---------------------------

Our Islamic Account is Shariah compliant and Planned Overdrafts are not available.

Where you do not have enough available money to make a payment, we will not usually agree to provide an Unplanned Overdraft and the Returned Item Fee will apply.

If we do give you an Unplanned Overdraft, you will be charged the Monthly Overdraft Management Fee of £6. You will not be charged interest or Unplanned Overdraft Daily Fees. We will not charge you if your Unplanned Overdraft is £10 or less.

 

[spoffle]

I don't see why we should have special bank accounts for people who believe in imaginary friends.

I don't think you understand what imaginary friend means, do you?

 

[ozaudio]

I don't see why we should have special bank accounts for people who believe in imaginary friends.

made me laugh

 

[Columbo]

I don't think you understand what imaginary friend means, do you?

I think he understands perfectly and the term 'imaginary friends' fits most religions perfectly.

Oh and the account is a non issue, there really isn't anything special about it all.

 

[Skeeter]

Maybe the thread should be renamed to be factually correct? "Lloyd's: no overdraft fees for everyone"

Wait, what am I thinking? Facts in GD, never.

Best get back to writing my latest thread, regarding my outrage that Tesco are selling a range of food designed for Muslims and Jews! How dare they!

 

[The Running Man]

Maybe the thread should be renamed to be factually correct? "Lloyd's: no overdraft fees for everyone"

Wait, what am I thinking? Facts in GD, never.

Best get back to writing my latest thread, regarding my outrage that Tesco are selling a range of food designed for Muslims and Jews! How dare they!

Except one commentator said that if everyone took out this account the bank woukd no longer be able to offer this account as it is effectively subsidised through the other account types.

could be right or wrong but we shouldn't be made to feel like we are subsidising minorities to allow them to feel more haram.

 

[Castiel]

Except one commentator said that if everyone took out this account the bank woukd no longer be able to offer this account as it is effectively subsidised through the other account types.

could be right or wrong but we shouldn't be made to feel like we are subsidising minorities to allow them to feel more haram.

If everyone took out a basic bank account with no overdraft facility then the bank would have to levy charges elsewhere as the same is true of the government mandated basic accounts...you are not subsidising anyone, you pay for the services you want and not for those you don't want. Its a matter of record that free banking of all types is subsidised by the bank who allocate revenue from those who are in deficit to the bank, either with mortgages or overdrafts or loans etc...if no-one took out those facilities then the bank would have to remove free banking, so that argument is so flawed I can't believe that commentator you mention (citation) even bought it up...it makes them sound rather foolish.

 

[Monkeymatt]

Except one commentator said that if everyone took out this account the bank woukd no longer be able to offer this account as it is effectively subsidised through the other account types.

could be right or wrong but we shouldn't be made to feel like we are subsidising minorities to allow them to feel more haram.

If everybody took out one of these accounts then Lloyds would have more cash to loan out and invest thus allowing them to make more profit. I literally have no idea how you've come to the conclusion that other account types subsidise the "muslim" account?

 

[platypus]

I suggest Lloyds changes its name to TALIBANK.

.

 

[Souleh]

the issue is the outrage that a Muslim can even have a bank account that accord with their beliefs.

Why is that a problem? Because you believe they shouldn't be allowed one?

Supply and demand. Its a free market. If there was enough demand im sure they'd make a jedi account. It really makes no odds.

As has been mentioned above, its not like theres any massive benefit- infact quite the opposite? The lack of interest and removal of overdraft puts it as an inferior account to non-muslim ones.

Are you upset that Muslims have been recognised and given their own account?

 

[neil_g]

I don't care.

because like the bank accounts in question, the thread is not interesting?

 

[Gilly]

Even more shocking is I hear that Murthy's law is taking over Britain!

What?

 

[shaank]

free to use account, does not pay interest as a result. available to all.

problem is what exactly?


ah, the problem some people seem to have is how they've marketed the thing... well, that's because by doing it this way they will attract the highest number of customers that will deposit funds in said accounts, allowing the bank to use this to levarage further borrowing and 'do what a bank does'. To be fair, that just sounds like good business.