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International Rates Of Exchange

Banks deal in currencies on the basis of two rates; one rate in the form of cash currency and one in the form of transfers.

If a client wishes to deposit foreign currency in his account, is it permissible for the bank to purchase cash in that foreign currency and sell it in the form of a transfer deposited in the client’s account?

If the client wishes to deposit foreign currency in his account, it is permissible for the bank to purchase the cash in that foreign currency and sell it in the form of a transfer deposited into the client’s account.

It should be stipulated by the bank that the account is to be operated as a transfer account as in principle, when an account is opened with foreign currency, all withdrawals and maintenance take place in that currency.

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