Under Islamic “Sharia” Law, interest is haram or “forbidden.” The concept is that interest promises “that which is not present” for “that which is present.” Muslims extend the religious prohibition on usury to all interest payments. Some binary options brokers will set up Islamic accounts (also referred to as “swap-free accounts.”) These Islamic accounts do not charge the normal rollover interest on positions held overnight. A list can be found at heimarbeit.
