Is It Permissible for Muslims in the UK to Use Credit Cards: Credit cards have become an integral tool in the modern economic landscape.
However, for Muslims in the UK, the use of credit cards raises important questions about permissibility due to the prohibition on dealing with interest.
I will discuss a few of the concerns about Muslim use of credit cards in this piece. Muslims use credit cards extensively because they are convenient and have many advantages.
By enabling you to make major purchases and spread out the payments over several months, credit cards can help you manage your finances over the course of a month. In addition, using a credit card allows you to benefit from cashback and incentives as well as payment protection in the event that the seller closes their doors or the goods are defective.
Is credit card haram in Islam?
You’re right if you’ve heard that credit cards are forbidden in Islam. If you can’t pay the credit card company back within the allotted time, then using credit cards becomes prohibited.
Because banks lend money in exchange for interest—which includes the annual credit card subscription fee—credit cards are regarded as prohibited. You also have to pay the bank for additional included charges if you are late with your payment.
Whether you pay off your debt in full and on time or not, the cost of the card is a sort of riba (interest) that you have to pay the bank. You are committing to pay interest on your debts to the bank by signing a contract, which is against Islamic law as Muslims are not allowed to do anything that Allah forbids.
Even though you think you’ll always make your payments on schedule, unanticipated events can keep you from doing so, forcing you to give the bank your riba.
Islamic credit card
An Islamic credit card isn’t readily available in the UK right now, but it might be taken into consideration in the future.
The newest banking services provided by Islamic banks are Islamic credit cards. These cards offer Muslim borrowers interest-free and penalty-free financing based on the ideas of Bai’ Bithaman Ajil.
The bank purchases the products on behalf of the shop when you use an Islamic credit card, and it then sells the goods back to you. This payment may be paid in installments within the allotted time period over a deferred period.
Features of Islamic credit card:
Both Muslims and non-Muslims can apply for this credit card. Numerous value-added perks are available to you, including presents, traveler’s checks, additional points, and retail discounts.
The credit card may have an annual fee, and the value of your collateral will determine your credit limit. There is also general Takaful coverage available.
You are able to obtain an additional card if necessary. Certain banks provide extra services, including using a credit card to pay for zakah. Your banking institution will require collateral in the form of an agreed-upon amount.
Is it permissible to use a credit card?
The Score Mastercard is the only credit card available in the UK that has been certified by Shariah, a fact that DND Finance has proudly proclaimed.
With the use of this credit card, the Muslim community can transact business and establish credit history without jeopardizing their Islamic beliefs.
2.8 million UK consumers identify as Islamic, and more than 63% of these customers are immigrants. This information comes from research conducted by the Ipsos MORI Social Research Institute. Since many of these people don’t have any credit history in the UK, they rely on credit cards to make purchases that are compliant with their religious beliefs.
This ground-breaking solution was launched by DND Finance to cater to the demands of Muslim citizens in the UK. With the Score Mastercard, the Muslim community in the UK may uphold their Islamic values while establishing a credit profile and taking advantage of improved lifestyle perks.
A credit card that adheres to Islamic traditions and beliefs is the Score Mastercard. It enables Muslims who practice their faith in the UK to transact in retail marketplaces and online while adhering to Islamic rules. With no interest or late payment fees on purchases or outstanding balances, the card is reasonably priced.
This card is an excellent option for Muslims who are new to the UK and wish to build a solid financial future without compromising
The UK’s Muslim community’s ability to use credit cards is contingent upon a number of Islamic-related considerations. Here are some important things to think about:
Interest (Riba): If the balance is not paid in full by the due date, traditional credit cards frequently charge interest. Islamic law forbids interest (riba), which makes these credit cards haram (forbidden).
Islamic Credit Cards: Credit cards that adhere to Islamic banking principles and are consistent with Shariah are available. These cards are made to prevent interest and late payment costs. If these cards adhere closely to Shariah rules, they may be acceptable.
Contractual Requirements: Muslims must refrain from signing any agreements that require them to pay interest or take part in any other haram actions. Even with the best of intentions, one may not be able to pay off the sum in full before interest starts to accrue.
Options: Looking into other financial products like interest-free debit cards or Islamic credit cards may be a good course of action.
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