Ann Arbor bank creates subsidiary for Muslims
(AP) A bank that has been offering special services for Muslims for two years has now formed a subsidiary to focus solely on the religious group.
The Ann Arbor-based University Bank has created University Islamic Financial Corp. to offer Muslims home financing, deposit accounts and Islamic mutual fund shares.
“The formation of the subsidiary allows us to have a financial institution which is 100 percent in compliance with the Muslim Shariah, the legal code of the Islamic religion,” bank President and Chairman Stephen Lange Ranzini told The Ann Arbor News for a Saturday story.
Among the laws of Shariah is a ban against paying or receiving interest.
The bank’s Islamic deposit accounts allow Muslims to open accounts where any profits are shared rather than paid as interest.
