INTEREST AND RIBA IN ISLAMIC PERSPECTIVE
1 Definition of Bank
The definition of a bank in general is a financial intermediary institution which is
generally established with the authority to accept deposits of money, lend money, and issue
promissory notes or what is known as banknot. . Meanwhile, according to the Bank Act, a
bank is a business entity that collects funds from the public in the form of savings and
distributes them to the public in the form of credit and or other forms in order to improve the
standard of living of the people at large.
Some Definitions of Banks According to Experts:
1. Definition of Banks according to Kashmir
In his book Banking Management, banks can simply be defined as "financial
institutions whose main activity is to collect funds from the public and channel these funds
back to the community and provide services 2. Definition of Banks according to Prof.
GMVerry Stuart
In his book Bank Politic, a bank is a financial institution business entity that aims to
provide credit, either with its own means of payment, with money it receives from other
people, by circulating new means of payment in the form of demand deposits.
2 The Law of Interest and Riba in an Islamic Perspective
1 Definition of Bank
The definition of a bank in general is a financial intermediary institution which is
generally established with the authority to accept deposits of money, lend money, and issue
promissory notes or what is known as banknot. . Meanwhile, according to the Bank Act, a
bank is a business entity that collects funds from the public in the form of savings and
distributes them to the public in the form of credit and or other forms in order to improve the
standard of living of the people at large.
Some Definitions of Banks According to Experts:
1. Definition of Banks according to Kashmir
In his book Banking Management, banks can simply be defined as "financial
institutions whose main activity is to collect funds from the public and channel these funds
back to the community and provide services 2. Definition of Banks according to Prof.
GMVerry Stuart
In his book Bank Politic, a bank is a financial institution business entity that aims to
provide credit, either with its own means of payment, with money it receives from other
people, by circulating new means of payment in the form of demand deposits.
2 The Law of Interest and Riba in an Islamic Perspective
