{"id":29324,"date":"2021-04-16T07:26:12","date_gmt":"2021-04-15T23:26:12","guid":{"rendered":"http:\/\/www.ikim.gov.my\/new-wp\/?p=29324"},"modified":"2021-04-16T07:26:12","modified_gmt":"2021-04-15T23:26:12","slug":"moderation-in-promoting-islamic-financial-products","status":"publish","type":"post","link":"https:\/\/www.ikim.gov.my\/en\/moderation-in-promoting-islamic-financial-products\/","title":{"rendered":"Moderation In Promoting Islamic Financial Products"},"content":{"rendered":"\n

Today, there are\nmany financial products offered in the market catering to the individual\u2019s\npreparation plan to protect themselves or their loved ones from financial\nshocks due to undesired event.  For\nMuslims, these financial products include a variety of takaful<\/em> protection schemes, inheritance instruments and others.<\/p>\n\n\n\n

In\npromoting these financial products, one should not use fearmongering techniques\naggressively until it is seen as contrary to the original principles that made\nup the products. Although the initial intention is to raise awareness for some\nissues, the techniques may lead to confusion on some Islamic jurisprudence.<\/p>\n\n\n\n

For\nexample, the Islamic jurisprudence on faraid<\/em>.\nSome advertising shared for example that if one Muslim does not take a\nparticular financial product, the individual will leave his or her family in\nsuffering as the property will be divided according to faraid<\/em>\u2014as the faraid<\/em>\nprosecution takes some time, the absence of  \u2018stopper\u2019 heir (son) and others.<\/p>\n\n\n\n

Such\nmarketing techniques can cause misunderstanding on Islamic jurisprudence\npertaining to the law of inheritance. In reality, faraid<\/em> is a part of the distribution management of the deceased\u2019s\nproperty. Faraid<\/em> is also implemented\nafter consideration of the deceased\u2019s funeral expenses, debts, wills, jointly\nacquired property (acquired by husband and wife during the subsistence of\nmarriage) and heirs whom cannot come into agreement on the value they will receive.\n<\/p>\n\n\n\n

The\nprovision in Islamic law of inheritance comes with a great responsibility as\nAllah SWT states in Quran, \u201cMen are in charge of women by (right of) what Allah\nhas given one over the other and what they spend (for maintenance) from their\nwealth.\u201d (An-Nisa \u2019, 4:34). It is not a \u2018free gift\u2019 awarded just like that.<\/p>\n\n\n\n

Anyone\nwho deliberately becomes irresponsible towards his or her dependents, he or her\nwill be punished in the hereafter. What’s more, if the individual consumes\nunjustly the property of orphans under his or her care, he or she will be\npunished by Allah SWT as Quran states, \u201cIndeed, those who devour the property\nof orphans unjustly are only consuming into their bellies fire. And they will\nbe burned in a Blaze\u201d (An-Nisa\u2019, 4:10).<\/p>\n\n\n\n

At\nthe same time, there are real issues in managing the deceased\u2019s property due to\nthe dynamics of each case. This include to get the right data of the property\nitself, dispute on other claims before faraid<\/em>\nfor example will and jointly acquired property, layers generation of heir,\nmonitoring system to the new guardian and others which need to deal with\ndifferent agencies thereby different bureaucracies. That is why implementation\nof some faraid<\/em> cases can take longer\ntime and costly. <\/p>\n\n\n\n

However,\nwe need to understand such issues does not originate from the faraid<\/em> itself. Instead it occurs due to\nhuman weaknesses such as non-cooperative attitude, greedy, irresponsible and\ncomplexity of bureaucracy in the existing system. By knowing these real issues,\nas heirs we need to improve ourselves and the current related system so that\npeople will then understand the wisdom behind Islamic law of inheritance and\ntake charge accordingly. Therefore, any suggestion to solve such issues and\nchallenges should be channelled in appropriate platforms, rather than use it in\npromoting specific financial products in such a way that lead to confusion\nabout faraid<\/em>. <\/p>\n\n\n\n

Islam\non the other hand, celebrates the good intention of individuals to manage their\nfinancial matters on the basis of care and love towards others. For example,\nparticipating in takaful<\/em> protection\nschemes, bequeathing to adopted children, giving hibah<\/em> (gifts) to spouses and parents and others. This is the true\nand genuine objective for Islamic financial products to exist in the market and\nshould not be shadowed by something negative in promoting it. <\/p>\n\n\n\n

We\nneed to understand that Islamic financial planning has its own advantages and\nrules. The wisdom prescribed in such a way is for the benefit of all parties\nand as a symbol of piety to Allah SWT. In story of Saad bin Abi Waqas RA who\nintended to bequeath his entire property, Rasulullah SAW stated that a will is\nonly allowed up to one third of the property since it is better to leave heir\nin sufficiency than to beg from others (Reported by al-Bukhari).<\/p>\n\n\n\n

The\nsame goes with the takaful<\/em> protection\nscheme available today. It is based on the principles of ta\u2019awun<\/em> (helping each other) and tabarru\u2019<\/em> (sincere donation) and limited to certain rules when\nimplemented. In promoting such schemes therefore, one should not over claim the\nproducts beyond these original concepts which can cause frustration to\nconsumers once they realize they are not benefited to some protection under the\nscheme.<\/p>\n\n\n\n

A\ngood financial planning should be done according to one\u2019s ability, not based on\nforce or trend in the market. As Muslims, we also need to understand the\nprinciples in Islamic financial products are different from conventional ones.\nThe provision of principles and laws in Islamic matters contain great wisdom\nthat must be learnt and it is a symbol of piety of a Muslim to The Creator.<\/p>\n","protected":false},"excerpt":{"rendered":"

Today, there are many financial products offered in the market catering to the individual\u2019s preparation plan to protect themselves or their loved ones from financial shocks due to undesired event. For Muslims, these financial products include a variety of takaful protection …<\/p>\n","protected":false},"author":36,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_analytify_skip_tracking":false,"_wpzoom_pinterest_image_url":"","_wpzoom_pinterest_hidden_image":"0","_wpzoom_pinterest_description":"","footnotes":""},"categories":[139],"tags":[],"class_list":["post-29324","post","type-post","status-publish","format-standard","hentry","category-new-straits-times","category-139","description-off"],"_links":{"self":[{"href":"https:\/\/www.ikim.gov.my\/en\/wp-json\/wp\/v2\/posts\/29324","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.ikim.gov.my\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.ikim.gov.my\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.ikim.gov.my\/en\/wp-json\/wp\/v2\/users\/36"}],"replies":[{"embeddable":true,"href":"https:\/\/www.ikim.gov.my\/en\/wp-json\/wp\/v2\/comments?post=29324"}],"version-history":[{"count":0,"href":"https:\/\/www.ikim.gov.my\/en\/wp-json\/wp\/v2\/posts\/29324\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.ikim.gov.my\/en\/wp-json\/wp\/v2\/media?parent=29324"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.ikim.gov.my\/en\/wp-json\/wp\/v2\/categories?post=29324"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.ikim.gov.my\/en\/wp-json\/wp\/v2\/tags?post=29324"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}