Islamic Credit Card

ISLAMIC CREDIT CARDS:

A Comparison Study between Its Application in Malaysia and Indonesia

By:

Shochrul Rohmatul Ajija, Mia Fathia, Nurul Annisa, Siti Aisyah, and

Hamidah Mohamed Osman A.E  

Master Student of Economics

International Islamic University Malaysia

ABSTRACT

The practice of Islamic credit cards nowadays is still debatable among Muslim scholars especially regarding to its contracts and its effectiveness to attain maslahah. Study about Islamic credit cards is very essential and some studies have done on it. However, studying about the comparison between Islamic credit cards practiced in Malaysia and Indonesia in the recent year is still limited. Therefore, this paper would like to tackle this issue by comparing Bank Islam Card, the Islamic credit cards issued by Bank Islam Malaysia which is the first Islamic credit card issuer in Malaysia; MPower Credit Card-I issued by HSBC Amanah which is the first Islamic credit card used ujr as a contract; and Dirham Card issued by Bank Danamon Syariah which is the first Islamic credit card issuer in Indonesia. From this analysis, it can be asserted that regarding to the legalization of the contract, Islamic credit card issued by HSBC Amanah is more secure than Bank Islam Malaysia. Moreover, the development of Islamic credit cards in Malaysia is faster and more attractive than in Indonesia especially after the issuing of Islamic credit cards by HSBC Amanah.

Keywords: Islamic credit cards, Bank Islam Card, MPower Credit Card-I, Dirham Card