A Comparative Study of the Commission of Qarḍ-al Hassan and Usury Loans (Cost Components - Sharing Method)

To provide the expenses of Qarḍ-al Hassan loans in the banking system is one of the challenges of interest-free banking. Using an analytical-comparative method, this paper studies the Qarḍ-al Hassan usury loan commission. Calculating the costs, in the common method in the country's banking system, the bank receives the equivalent of 4% of the facilities from the customer in the form of a contract. Some consider receiving a large amount of money to be usury and illegal, even if it is under a fee and equivalent to expenses. The findings show that there is no problem in receiving the 4% the Qarḍ-al Hassan loans as commission. It is important that the total fee received does not exceed the bank charges. Evaluating the alternative commission proposals and reviewing the cost-effective components in calculating the commission, a new proposal was presented in this paper. Based on the proposed model, the bank can entrust the costs directly to the customer. In case of impossibility of deferring costs, the bank handles costly affairs on behalf of the customer to cover the costs from the beginning, or to finance these items from other suggested sources.