Assalamu aleykum wa rahmatullah wa barakatuh !
I will start by posting the link to this company:
They have a mortgage fund in which we can invest by opening a halal savings account with them. My question related to that is : can you explain how is it that the % we would receive back in the saving account is halal?I understand the principal of halal mortgage for someone who would apply for it. But What I don’t understand is the relationship between the institution and someone that would invest in their mortgage fund. Isn’t it lending money to the bank, then they invest in buying houses, and then they pay back interest in the saving account? I guess it is not the way it works else it would not be halal, but I have trouble understanding it. I would like to support Islamic financial institution in investing with them and saving in their account but I want ro make sure that I understand if it’s really halal.
From the information you can find on the following link, is it really a low-risk investment?
Please can you explain what this investing means(link at the end)? Let’s say I invest $500 what do I get in return, and when?They advertise it as owning a share of the company. But they say from what I understand that there’s no equity. Plus the condition of an other funding campaign… I really don’t understand although I would like to help and invest… Finally is it a permissible transaction?
Jazakallahu khayran !