Last few years, banks in Indonesia has become rang with the establishment of commercial banks and Islamic business units of sharia, such as banks and bank Muamalat Syariah Mandiri. The growth of Islamic banking is to indicate that the current preferences of Indonesian society increasingly lead to the Islamic transactions.
Conditions showed that the public became aware of the existence of Islamic banks as a means to manage their funds but still based on sharia principles clearly more blessed by Allah SWT. Another factor is that the conventional banking system increasingly considered incompatible with the cultures of Indonesia where the majority Muslim population.
In the conventional banking system of many elements that are against Islamic teachings, the most common element discussed is the application of interest to its customers, either saving or borrowing money. In the interest of the Islamic legal transactions are forbidden, because included in the category of riba. There is interest in the system who suffered losses, but on the other side benefit for the losses.
The following illustration. When host A save some money in a conventional bank, the money will be lent by banks to other parties who need to borrow money masters call it B, but the bank gave to the host B regulations to pay interest at 10% of the loan, while in other the bank also gives the rules to host A that he would be rewarded with interest of 7% over the value of money which he kept in the bank. From the illustration clearly shows that between host A and host B does not have an agreement and also the sincerity of these flowers, they just follow the rules of the bank. As a result Mr. B will suffer a loss because he had to pay more debts and host A will benefit from the value of treasure. This is contrary to the teachings of Islam where there are parties who profited while others have suffered losses and the absence of a covenant (agreement) which was agreed and accepted by the sincerity of both parties are.
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