Lloyds TSB in the UK have come up with an innovative new business model: Islamic Financial Services. Whilst this is probably nothing new in the Muslim world, i’ve never seen it advertised by a Western bank.
The idea is truly brilliant. ‘Shariah approved money management’ means that no interest is paid on your bank account – since in Islam you should not make money from money, only through “legitimate trade in goods and items” – where you share the risks and rewards.
For Lloyds it couldn’t be better: they save money on unpaid interest, provide services for a sizeable market, and that means more money for the coffers. That’s what I call a plan!
Those interested should also note that Lloyds also provide Islamic Home Finance – an alternative way to finance your home purchase.
I wonder when banks in China will start offering Communist Friendly Banking. Presumably this means dividing your riches between all other bank accounts. It’s a shame this isn’t yet available: with the amount of money I have, i’d gain from it for sure!
