FIQ322 Fiqh of Transactions 2
This course has two parts; the first is a practical study on the usurious transactions in the USA and issues related to them. It helps getting more insight about specific Sharia texts and their proper implementation regarding the developing daily transactions and dealings. Prior to that, there is an explanation of the technical definition of usury, its different kinds, usurious items, contracts that are subject to Riba, and how could they get inflected with Riba.
The second part is about the different modes of finance according to the Islamic financial system with some case studies from the Islamic mortgage companies in the US.
Course Code: FIQ322
Credit hours: 3
- Enlightening students to the concept of Riba from a practical perspective.
- Familiarizing them with the usurious transactions in the US.
- Introducing different modes of Islamic Finance.
- Developing students’ ability of analyzing and scrutinizing contracts.
- Students will be able to write the definition and list the rulings of Riba, the different types of Riba and various usurious transactions in the US, citing proof and examples from the Quran and authentic Sunnah.
- Students will make group presentations on various types of contracts subject to Riba, defining and explaining the ways one can get inflicted with Riba, such as, but not limited to:
a. Personal & investment loan
b. Late fees & overdraft charge
c. Debit and credit card
d. Checking & saving account
e. Financing & lease to purchase option
f. Withdrawing from & investing in 401(K)
g. Buying a house via conventional mortgage
h. Monetary &non-Monetary gift
i. Floor plan & saving plan
j. Warranty & insurance
k. Distance forex & currency trading
l. Cashing checks
m. Membership fees
n. Student loan
- Students will be able to write an essay explaining the structure of the different modes of Islamic Finance:
a. Equity-based modes of finance: Mudharabah & Musharakah.
b. Debt-based modes of finance: Murabahah & Ijarah & Istisnaa’.
- Students will be presented with a case study of a home mortgage company and effectively deliver a presentation on the type of partnership they fall under, with an analysis and scrutiny of the contract as applicable
Handouts presented by the instructor.
Additional On-line Readings:
The links below are provided as a convenience for the students; they do not constitute an endorsement or an approval by Al-Huda University of any of the products, services or opinions of the corporation or organization or individual. Al-Huda University has no responsibility for the accuracy, legality or content of the external site or for that of subsequent links. Contact the external site for answers to questions regarding its content.
The Assembly of Muslim Jurists of America
AMJA Online Click on : Financial Transactions
Grading and Evaluation:
- Minimum passing grade 70%
- Participation: 40% (10 assignments, 4% each)
- Oral exam: 20%
- Mid-Term exam: 10%
- Research paper: 20%
- Final exam: 10%
Guideline for Research Paper:
As part of the course, you are required to submit a research paper. The topic chosen must be relevant to the course and approved by the Instructor. The paper must meet the following requirements:
- At least ten (10) double-spaced pages (not including the introduction and conclusion).
- 1 inch margins.
- 12 pt size (Times New Roman).
- Follow the standard research paper structure with a Table of Contents, Abstract or Executive Summary, Introduction, Main Body, Conclusion, List of Reference.
- The Main Body should be organized into logical chapters and paragraphs.
- When quoting Hadith, a notation indicating its authenticity must be clearly mentioned.
- Post all your questions related to the course to the (Online Test) forum.
- If sending emails directly to the lecturer, please include appropriate label in the subject line (Action Required/Info/Admin) and allow up to 3 working days for reply.
- Limit telephone communication with the Lecturer to within specified office hours only.
- When leaving a voicemail, please clearly state your name, course code, and contact number.
To attend live – online lectures (on their scheduled time):
Access the course on-line by logging into Online School, accessible from.
You will need a user name and password to:
- View the recorded lectures if you missed the live online ones.
- Interact with your teacher and classmates.
- Upload and submit your assignments, research papers, and exams.
- View your grades.
- All attempt must be made to submit assignments by the agreed due dates. Late submissions will be penalized.
- Weekly materials and graded assignments will be posted onto the site by Monday – in sha Allah.