In Turkish law and Islamic law savings financing contract

In this study, 'Savings Financing Contract' has been examined with regards to Turkish and Islamic Law. In addition to this, I will attempt to introduce the savings financing system which houses the legal relationship. The savings financing system is a financial intermediary activity that is similar to the German building savings system. It carries out financing activities with Raffles and Non-Raffle financing models. The distinctive element of the system in regards to other financing systems, is that the use of financing is conditional on saving. Companies use the savings they collect from their customers as capital for their financial activities and provide financing to those who save in a closed-circuit manner only under certain conditions in the system. The savings financing contract, corresponding to the legal relationship within the savings financing system, is the contract between the consumer and the provider. This is predominantly between consumer and the savings financing company, which provides the consumer with the organisation fee, creates savings opportunities for the company, to repay the financing and to fulfill all obligations. The company is obligated to fulfil the services due, manage the savings funds, and allocate the necessary funds. Also it must include elements from the contract of loan and power of attorney. In our opinion, in relation to Islamic Law, the involved parties relationship within the system are only between the company and their customer. There is no difference in the nature of the contract between the Raffle and the Non-Raffle model. The contract in question is a mixed-quality modern contract with elements that do not fall within the framework of classical contract types, which mainly include and focus on qard and icare. Due to the fact that there is a qard relationship within the system, the contract has some drawbacks relating to Islamic jurisprudence (fiqh), especially regarding the nature of the organization fee.