So the other day I read some things on Islamic Banking, honestly I didn't even know it existed.
Basically it states one can not make "profit" on another, so it sounded like there are no "late fees" and it appears that their banks don't use fractional reserve banking, but actually try to be full reserve, but that is nearly impossible. So no interest rates or very low rates.
Also they don't allow high risk investments.
I guess what I'm trying to say is, I don't think we in the US/world would be in this economic problem if it were not for how our banking industry works.
So a bank charges interest rates on loans you take out. That loan is basically coming from other deposits in the bank. People with the capital. So the interest rates you pay on your home, car or whatever, actually pay the large depositors of the banks. It is all relative on the amount of money the person has in the bank. So if you are rich and have millions of dollars in a bank, you are making money off everyone else little loans, so you constantly make more money while the other people are constantly gouged with interest rates/late fees/penalties that all benefit the already rich.
I'm just in the process of house buying and honestly our system is fuckkkkeddd. So I was just reading about other banking methods.
Also the no-profit/greed thought goes along with rev's recent polls.
Basically it states one can not make "profit" on another, so it sounded like there are no "late fees" and it appears that their banks don't use fractional reserve banking, but actually try to be full reserve, but that is nearly impossible. So no interest rates or very low rates.
Also they don't allow high risk investments.
I guess what I'm trying to say is, I don't think we in the US/world would be in this economic problem if it were not for how our banking industry works.
So a bank charges interest rates on loans you take out. That loan is basically coming from other deposits in the bank. People with the capital. So the interest rates you pay on your home, car or whatever, actually pay the large depositors of the banks. It is all relative on the amount of money the person has in the bank. So if you are rich and have millions of dollars in a bank, you are making money off everyone else little loans, so you constantly make more money while the other people are constantly gouged with interest rates/late fees/penalties that all benefit the already rich.
I'm just in the process of house buying and honestly our system is fuckkkkeddd. So I was just reading about other banking methods.
Also the no-profit/greed thought goes along with rev's recent polls.
