Course Description:

An explanation of the technical definition of Riba, its different kinds, usurious items, contracts that are subject to Riba, and how could they get inflected with Riba. Analysis of the interest-bearing transactions in the US finance system will be covered as well.

Course Code: FIQ322

Credit hours: 3

Pre-Requisites: FIQ221

Learning Objectives:

  • Students will be able to define Riba, linguistically & technically.
  • Students will be able to identify different rulings of insurance, weather government-based, mutual, or commercial one, including life insurance.
  • Students will be able to write down the different kinds of Riba and usurious items.
  • Students will differentiate between the ruling of using credit card and using debit card.
  • Students will state the criteria required for currency exchange and Forex business to be allowed.
  • Students will be able to write down different rules of bankruptcy and the financial duties of those declared bankrupt.
  • Students will distinguish between the status of opening a checking account versus saving account.
  • Students will write an essay describing the situation where taking unsubsidized student loans would be permitted.
  • Students will be able to identify what could be kept and what has to be disposed from the unlawful wealth after repentance.

Course Outline:

  • Interest in the balance of Sharia
  • Different kinds of interest, usurious items, and contracts subject to Riba
  • Bank loans
  • Late fees
  • Credit card & Debit card
  • Money market, Saving, and Checking account
  • Installment plan & Finance
  • Lease to own agreement
  • Insurance
  • Facilitating prohibited transactions for customers
  • Cryptocurrency & Currency exchange
  • Membership fees
  • Student loans
  • Bankruptcy & Rights of creditors
  • Electronic commerce & drop-shipping
  • Early withdrawal from retirement account
  • Investment options for 401(K) plans
  • Keeping unlawful wealth after repentance
  • Sales promotion & Non-monetary reward
  • Check cashing business

Main Textbook:

Interest Bearing Transactions in the US Finance by Dr. Main Alqudah and Dr. Basil Alqudwa.

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 Guidance College of any of the products, services or opinions of the corporation or organization or individual. Guidance College 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

Grading and Evaluation:

  • Minimum passing grade 70%
  • Weekly Assignments: 30% (10 assignments, 3% each)
  • Attendance:  10%
  • Mid-Term exam:  10%
  • Final exam:  10%
  • Oral exam:  20%
  • Research paper:  20%

Guidelines for Research Paper:

 1- A part of the course requirements is to submit a research paper, except for certain courses.

 2- The chosen topic must be relevant to the course and approved by the Instructor.

 3- Joint project / research is allowed, up to 3 students, and upon the instructor’s approval.

 4- The paper must meet the following requirements:

  • Consider either MLA or APA guides for writing research papers
  • 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 Hadeeth, a notation indicating its authenticity must be clearly

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Additional Information:

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  • View your grades.
  • All attempt must be made to submit assignments by the agreed due dates. Late submissions will be penalized.
  • Your work will be checked and graded on weekly basis, in sha Allah.

Vision Statement:

Guidance College shall be one of the top well-recognized universities in the United States that offers graduate and undergraduate degrees in specialized Islamic fields aiming at preparing moral and well-knowledgeable leaders who provide research-based Islamic alternatives that enable the Muslims to contribute to the success of their country.

Mission Statement:

Guidance College is the place where students gain their undergraduate degrees in authentic and professional specialized Islamic knowledge that recognizes modern-time realities and allows them to examine different branches of knowledge from an authentic Islamic perspective which enables them to think ethically, logically, analytically, and critically while making responsible and moral decisions aiming at improving the quality of life for all inhabitants of the earth with a full understanding and appreciation of the cultural and human differences.