Are Muslims allowed student loans?
- Thread starter lunar
- Start date
Thats right. Muslims cannot take nor give interest. But Muslims can obtain a mortgage.
This is a good link for the OP to look at: http://www.swansea.ac.uk/money-campuslife/sharialaw/
Shock horror....
rules allegedly divinely dictated to an illiterate trader in 7th century Arabia by god are found to not be particularly practicable in the UK in the 21st century.
I am quite happy for religiously minded adults to abide by unusual or impractical religious rules as long as any negative affects are not felt by other non consenting adults or children.
However when you have to invent silly ploys to get around you own self imposed rules the only person you are fooling is yourself.
No one who is in business and who wants to stay in business provides money to another party without expecting more money back over the period the funds are provided for.
Call it interest or call it whatever you want but the situation is the same at the end....
You get some money you need in the here and now and the party providing the money does so on the agreement and expectation that they will, in time, receive their money back and receive extra payment in addition to the initial amount of money provided.
rules allegedly divinely dictated to an illiterate trader in 7th century Arabia by god are found to not be particularly practicable in the UK in the 21st century.
I am quite happy for religiously minded adults to abide by unusual or impractical religious rules as long as any negative affects are not felt by other non consenting adults or children.
However when you have to invent silly ploys to get around you own self imposed rules the only person you are fooling is yourself.
No one who is in business and who wants to stay in business provides money to another party without expecting more money back over the period the funds are provided for.
Call it interest or call it whatever you want but the situation is the same at the end....
You get some money you need in the here and now and the party providing the money does so on the agreement and expectation that they will, in time, receive their money back and receive extra payment in addition to the initial amount of money provided.
It looks a lot like good old fashioned HP (hire purchase). I've not looked into it extensively, but I get the impression that earning interest on interest is not allowed, thus the 'unusual' construction on Islamic products to avoid that possibility.
But there are interest rates, how does that work?
They are just percentages.
If you do pay i doubt you'd want it back. I never knew about this but now I do I'm intrigued as to how she is ever going to own a home ? Or any muslim for that matter, saving up 200k+ is a hard thing to do.
Highly doubt she'll go screaming at them.
Last edited:
A different name is all it takes. Job done. People just need to pretend that the same thing is different because it has a different name. Religion is malleable.
I am a muslim. But I do have a mortgage. I was informed by imams that this is allowed as having a home to live in is a fundamental necessity.
That's the most ridiculous thing I've ever heard.
And people wonder why nobody likes them. Stupid rules like this is one reason of many.
What’s wrong with renting?
So surely is your daughters education?
I mean you've already ****** off god by ignoring the rule let her do the same you can just ask for forgiveness each day I case you die one car crash and be all good
When I studied at Aston Business School in 2010-2012 they offered Masters Degree courses on Sharia Finance, they were actually well attended compared to the course I did although Finance & Law of Finance isn’t most people’s cup of tea. That said everyone makes their own choices according to their beliefs and values. As one response rightly said Student Loans are actually a Graduate Tax as only 30% of people will ever pay their loans back in full based on the initial research.
What I think is terrible is accruing interest at 6.1% when you can still get a mortgage for <2% at the moment. The government can borrow money for 10 years at about 1.3% so go figure.
I started University in 1991 when Student Loans were first introduced, but I also worked part-time and fortunately managed to pay it back within four years. I am strong believer that University isn’t for everyone and things started to go wrong when the Labour government set a goal for 50% of young people to go to University.
When I became a manager in IT in a large multinational the quality of our undergraduate sandwich students was variable to say the least, many lacked basic language and communication skills. I don’t blame the students as much as the quality and appropriateness of the teaching.
What I think is terrible is accruing interest at 6.1% when you can still get a mortgage for <2% at the moment. The government can borrow money for 10 years at about 1.3% so go figure.
I started University in 1991 when Student Loans were first introduced, but I also worked part-time and fortunately managed to pay it back within four years. I am strong believer that University isn’t for everyone and things started to go wrong when the Labour government set a goal for 50% of young people to go to University.
When I became a manager in IT in a large multinational the quality of our undergraduate sandwich students was variable to say the least, many lacked basic language and communication skills. I don’t blame the students as much as the quality and appropriateness of the teaching.
I agree 100% with this, especially as Muslim parents know this and therefore should plan and save accordingly. It’s not as if you wake up to find you have an 18-year old child that needs a University education.
That one always cracks me up - happens a lot with Christianity as well. Not sure about other religions but I guess often the same there.
I've not looked this one up in detail but I suspect it is like many things that are often misunderstood in Christianity and Islam in that the spirit of the relevant passages is related to greed but rather than take onboard the root message of the relevant passages people get all caught up in literal translation or at some point someone has misused the passage to slap it over something they disagree with and it has stuck down the ages, etc. etc.
I highly suspect if you look at the relevant text objectively the spirit of it doesn't prevent the use of a loan for purposes of education or general welfare, etc. but does prohibit the use of such in pursuit of worldly vanities or something along that line.
Nah theyr e pretty explicitly against usary.
No interest on anything, meant to stop money lenders growing in power (weather that has anything to do with Jews traditional role as lenders who knows)
But if God thought it important enough to make it a law as a foundation for thier society you have to laugh that changing the name will get around it
Interesting - surprised it isn't a bigger deal for Christians then as well being the same God and all though Jesus wasn't exactly a fan of those old money lenders.