The Shariah Advisory Council of Bank Negara Malaysia (the SAC) 170th Meeting

Shariah Advisory Council of Bank Negara Malaysia (SAC) in its 170th meeting on 30 August 2016 discussed among others issues arising from the Shariah Standard on Rahn (Pledge).

1. Recapitalisation of interest in conventional fixed deposit to be used as collateral asset (marhun)
2. Utilisation of collateral by pledgor (rahin)
3. Utilisation of collateral by pledgee
4. Cost of safekeeping, documentation and liquidation of the collateral
5. Imposition of charge to pledgor in rahn contract with relation to loan contract

This document belongs to Bank Negara Malaysia (BNM). Full access to the original source is available here: https://www.bnm.gov.my/banking-islamic-banking