JEDDAH: Inspired by men in the family who lease cars to close relatives, two women from the Al-Mutari family are making money by giving financial aid for an extra charge.
"I started using my daughter's dowry money," said one of them. "My daughter received her dowry more than a year before her wedding. I used 50 percent of that money and started lending to friends and family for an extra charge. When it was time for her wedding I returned the money and a little extra. I had managed to collect enough money to continue my business."
Most of her customers are relatives in the tribe. But other people also seek financial aid from her.
"I receive more customers during the month of Ramadan than any other month," she said. "Most people tend to give their homes a makeover during Ramadan. So cash is needed to pay for the new furniture and I offer the best and fastest service possible. People come for everything: furniture, gold, home appliances and even mobile phones." For each SR1,000 she charges SR300 extra.
| So she's a loan shark. In Arabia. |
These women said they sought religious counsel to ensure that their business is permitted in Islam. They were advised that their lending is permitted if they make the purchases of the items, and then sell them to their customers with the markup, rather than lending the cash and charging the fee based on the amount of money loaned. |