“Alqard Alhasan” and its contemporary applications at The Islamic banks and financial institutions
Assistant Professor – Comparative Jurisprudence and Islamic Studies – KILAW
Abstract
This research deals with the issue of “Alqard Alhasan” and the role of Islamic banks and financial institutions in establishing and promoting applications of this type of loans in the financial and banking system, those applications include ways to provide safety and confidence for clients (depositors) regarding the safety of their money and make them available for use when needed, as is the case in current accounts ( on demand) and include tools which finance the commercial banking business through it ,such as relying documentary and guarantee letters, while there are another applications applying urgent needed money for customers and enable them to get their goods and services such as credit cards , and besides, there are applications help to develop the relationship with local banks or communication such as: exchange loans between banks without dealing benefit either taking or giving operations.
The research also raises issues related to Alqard Al Hassan which still with researchers to conduct extensive studies on them, especially since these issues raise legitimacy questions toward some specialists, as well as dealers with Islamic banks and financial institutions such as: current accounts (on demand) with awards, and the use of Alqard AlHasan to address delinquencies among Islamic banks, and the use of prestige to have Alqrd Alhasan