Banks’ Gifts in Islamic Financial Institutions

Abstract

This paper is a discussion about prizes in Islamic financial
institutions, highlighting the different advantages and disadvantages of current
account. The paper consists of prizes offered by Islamic banks to clients, which
can be divided according to their type into: a) the rewards and material benefits,
b) Intangible rewards and benefits. The paper discusses ruling on prizes and
gifts for current accounts. The ruling on the bank offering prizes and gifts to
current account holders. The ruling on offering prizes and benefits that are not
required and do not take into account the amounts deposited in the current
account. The ruling on offering rewards and benefits to the bank’s clients
without being specific to current account holders. To fulfil the objective of this
paper, qualitative approach is used. The paper is organized into the following
issues with three sections. First section is related to the discussion on truth
about prize giving by Islamic banks, which consist on rulings on prizes and
gifts in current accounts and jurisprudential conceptualisation for the current
account. The second section is rulings on prize giving in current accounts
and rulings regarding prices and gifts. The third section is research on rulings
regarding prize giving in investment accounts.