Objective

• provide fast, hassle-free & riba-free microcredit financing to small trader
• as alternative source of financing from conventional pawning scheme
• fulfill expensive mean without have to go to more expensive means > loan-sharks, money lender
• act as means of fast & less cumbersome financing
• develop socio-economic well-being of poor, by act as source of
  
  • capital
  • finacing education
  • develop agricultural & village industries
• increase no of financial instrument under Islamic banking & finance

Criteria promote growth Ar-Rahnu

+comply with mission & objective

• based on qardh al-Hassan
• safe-keeping fee should lower than conventional
• if not customer(rahin) cannot reached, surplus/profit must be return to heir
• if customer(rahin) request extension maturity, then must be negotiable & not impose extra charge

Definition

Providing short term financing to public by pawning his treasure to bank/pawnshop as a security