Mudarabah Deposit Agreement

2. If I want to accumulate the applicant`s profits on a daily basis, this means that I have to use the daily method of balance products. If so, how can I get to the applicant`s return chain? A — It is permissible to transfer Mudarabah contracts in light of the legal principle that the agent`s partner can be used in mudarabah transactions under the following conditions: In principle, the owner of the capital has no right to interfere in the management of the company which is the sole responsibility of agent x. But he has every right to set conditions that would ensure better management of his money. That`s why Mudaraba ends up being called a sleep partnership. An important feature of Mudaraba is the organization of the interest. The benefits of a Mudaraba agreement can be shared in any proportion agreed in advance between the parties. However, the loss is fully borne by the owner of the capital. In the event of a loss, the owner of the capital bears the loss of money and the agent loses the reward of his sentence. Mudaraba can be individual or flexible. The Mudaraba contract is applied when someone pays money into an Islamic bank in the hope of obtaining a return.

In most cases, the contract applied is a single -stage (or simple) Mudaraba contract, i.e. only the customer and the bank are involved. (The bank acts as a fund manager for every money that is deposited.) 1. The usual method is the daily demarcation, which is recorded monthly, which gives the same effect as an average monthly calculation. We have been every day based on the actual amount. Accumulated earnings are recorded at the end of the month. 2. As we generally use daily limits, the rate we used is most likely the reported rate of the previous month. So that`s what happens. However, at the end of the month, we will calculate the amount of profit based on actual performance and indicate the return for depositors. If the rate indicated is higher than the rate to be collected and paid at the end of the month, we pay additional profits to the customer. If the rate shown is lower, we should withhold (reverse) the amount already paid.

In general, the rate shown is quite close to the rate used for the limits. 3. As mentioned above, we calculate and explain the applicant`s return based on the actual performance of the investment. We then use the reported rate in each customer`s interest rate. Under the new investment account guidelines, we are not allowed to artificially manipulate or improve client returns; We have to pay real returns. So when we overpay, we`ll retire. In the event of underpayment, we make additional payments. A — Such an investment is not legal, whether the deposit is held in a current account or an investment account.

This is due to the fact that the deposit is a guarantee of the customer against payment and, if it is to be invested, it should be invested in the interest of the client. Yes, you can set short- and long-term deposit conditions. These may even be limited investments where the filing period is perfectly coordinated. Given Mudarabah`s legitimacy from Shari`ah`s perspective, the Commission sees no obstacle to the purchase of goods on the international market with funds raised in partnership by other Islamic banks and financial institutions, and then its responsibility in managing the transaction (as agent manager) as Mudarabah, in which it also participates as an investor , whether its operations are short-term or long-term. or take the form of either a trusted sale like Murabahah, or an ordinary bargain sale.