Bai-Alsalam loan method in Sarokar Saving and credit cooperative Society Limited Harinagar Sunsari is specially designed for agricultural purposes.
Bai-Salam may be defined as a contract between a Buyer and a Seller under which the Seller sells in advance the certain commodities/product(s) permissible under Islamic Shari‘ah and the law of the land to the Buyer at an agreed price payable on execution of the said contract and the commodities/product(s) is/are delivered as per specification, size, quality, quantity at a future time in a particular place.
In other words, Bai-Salam is a sale whereby the seller undertakes to supply some specific Commodities/Product(s) to the buyer at a future time in exchange for an advanced price fully paid on the spot.
Here the price is paid in cash, but the delivery of the goods is deferred.
The asset itself must have the following attributes:
Firstly, the asset must exist. Therefore, an asset which does not exist at the time of sale cannot be sold.
Secondly, the seller should have acquired the ownership of that asset. Therefore, if the asset exists, but the seller does not own it, he has no right to sell it.
Thirdly, mere ownership is not enough. It should have come into the possession of the seller, either physically or constructively. If the seller owns an asset, but he has not taken its delivery himself or through an agent, he cannot sell it.