Islamic Banking Loan Products

In this modern era, as bank lending was becoming a trend. The development of Islamic finance has also become an issue in many aspects of everyday life in the real sector, such as educational institutions, trade, services and other businesses; as well as the financial sector, such as national banking, insurance, stock exchange, until the issuance of Islamic bonds principled.

Indonesia Sharia-Based Bank
In Indonesia, the establishment of Bank Muamalat Indonesia (BMI) on 1 November 1991 is the first milestone in the development of Islamic financial sector. In early development, the BMI is difficult to compete with conventional banks. However, when the economic crisis hit Indonesia, BMI proved itself as a bank that survived the liquidation.

In a short span of time (2000-2008), Islamic banking industry's total assets increased from 1.79 trillion rupiah to 49.55 trillion rupiah equivalent of 57.9 percent per year. Moreover, after the MUI issued a fatwa on December 16, 2003 concerning the legal status of bank interest.

When the festival was held in Jakarta on sharia economy January 16, 2008, the President said in his speech that with the potential, Indonesia has an opportunity to be the central platform of Islamic finance in Asia. In fact, the world.

There are two factors into consideration people prefer sharia compared to the conventional banking system.

- The diversity of products offered and financial schemes are varied.
- Transparent management of public funds.

Islamic Banking Products
Islamic banking products are divided into three parts, as follows:

- disbursement of funds;
- fund-raising, and
- services.

Specialized in raising funds, Islamic banks have an easier procedure and flexible because people can apply for loans according to their needs. Thus, the funds borrowed more appropriate.

Loan Types Bank Syariah
Based tujuanya, the public can choose the loan with the principle of buying and selling (for possession), the principle of rent (for services), and the principle of profit sharing (to get the goods as well as services).

1. The principle of Sale and Purchase
In principle trading, Islamic banking products provide a variety of loan options include the following.

- Murabaha, the goods are delivered in advance or after the contract, while the payment is made is deferred.
- Regards, ie the goods are delivered is deferred, while the cash payment.
- Istishna, ie the goods are delivered is deferred and payment is made in several installments.

2. Principle Rent
Principle rental (Ijarah) in its application is similar to the principle of buying and selling. The difference is its object. In ijara, the transaction object is services, not goods. At the end of the lease, the bank can sell the goods leased to customers or better known as ijarah muntahiaya bittamlik.

3. Principle of Sharing
Islamic banking products which include categories for the results is musharaka and mudaraba. Between banks and clients of association to increase the value of intangible assets and non berwujwud, in the form of funds, goods, entrepreneurship, or other items that can be valued by money.

The only difference between Musharaka and mudaraba is the contribution of financial management. Musharaka derived from two or more parties, while mudaraba comes from one side.