Based on checking the website Tembomoney.com, it presents itself as a UK-based financial service primarily focused on mortgages and savings products.
While the website offers various financial tools and claims to help users increase their borrowing power and save faster, it’s essential to critically evaluate such platforms from an ethical standpoint, especially considering Islamic principles.
Financial services involving interest riba are generally impermissible in Islam, and many conventional mortgage and savings products fall into this category.
Here’s an overall review summary for Tembomoney.com:
- Primary Services: Mortgages purchase, remortgage, buy-to-let, specialized schemes, Savings Lifetime ISA, Cash ISA.
- Key Feature: Claims to maximize borrowing power and help save faster through various mortgage schemes and ISA products.
- Transparency: Provides information on fees, interest rates, and various mortgage types. Mentions partnerships with over 100 lenders.
- Ethical Consideration Islamic Finance: The core services, particularly mortgages and interest-bearing savings accounts ISAs, involve interest, which is considered riba and is impermissible in Islam.
- Trust Indicators: Features Trustpilot and Google reviews, showcases awards “UK’s Best Mortgage Broker”, and provides detailed “About Us” and “Meet the Team” sections.
- Missing from HomePage: While the homepage is quite comprehensive, a direct link or prominent mention of their legal disclaimers, terms of service, or privacy policy isn’t immediately visible as a top-level navigation item. These are usually standard features on a trustworthy financial website’s homepage.
Tembomoney.com aims to be a one-stop shop for housing finance in the UK, offering an array of mortgage options from standard purchases to specialized schemes like shared ownership and guarantor mortgages.
They also promote savings products like Lifetime ISAs and Cash ISAs, which are designed to help individuals save for a home or retirement with tax advantages and government bonuses.
However, the fundamental structure of these products involves interest, which is a significant point of concern for those adhering to Islamic financial guidelines.
Engaging with interest-based financial products is considered a grave matter in Islam due to its exploitative nature and its potential to exacerbate economic inequality.
Therefore, while Tembomoney.com may offer convenience and a wide range of options in the conventional financial market, it falls short of being an ethically permissible choice for individuals seeking Sharia-compliant financial solutions.
Here are some alternatives for ethical wealth management and home acquisition, focusing on permissible methods:
- Islamic Home Financing Providers e.g., Guidance Residential, Ameen Housing Co-op: These institutions offer Sharia-compliant alternatives to conventional mortgages, often using structures like Murabaha, Musharaka, or Ijarah. They avoid interest by purchasing the property and then selling it to the client at a profit, or by co-owning it and leasing the share to the client.
- Ethical Investment Platforms e.g., Wahed Invest: Platforms that specialize in Sharia-compliant investments, avoiding sectors like alcohol, gambling, conventional finance, and interest-bearing instruments. They focus on halal equities, Sukuk Islamic bonds, and ethically screened funds.
- Halal Savings Accounts e.g., specific credit unions or banks offering Sharia-compliant products: While less common in the conventional market, some financial institutions or Islamic finance cooperatives offer savings accounts that do not accrue interest but may instead offer profit-sharing based on halal investments.
- Zakat and Sadaqah Management Platforms e.g., LaunchGood, Muslim Aid USA: For wealth purification and redistribution, these platforms allow individuals to fulfill their Zakat obligations and engage in Sadaqah voluntary charity, promoting economic justice and aiding those in need.
- Financial Planning Books e.g., “The Muslim Money Management Guide”: Resources that provide guidance on managing personal finance, budgeting, and investing from an Islamic perspective, emphasizing debt avoidance, ethical spending, and long-term financial security.
- Real Estate Investment Trusts REITs – Sharia-compliant: Specific REITs that invest in real estate assets in a Sharia-compliant manner, avoiding interest-based financing and impermissible activities. This can be a way to gain exposure to real estate without direct ownership of a primary residence through conventional means.
- Crowdfunding Platforms for Ethical Businesses e.g., specific platforms for halal startups: For those looking to invest or support businesses, ethical crowdfunding platforms allow contributions to ventures that align with Islamic principles, focusing on permissible goods and services and equity-based financing.
Find detailed reviews on Trustpilot, Reddit, and BBB.org, for software products you can also check Producthunt.
IMPORTANT: We have not personally tested this company’s services. This review is based solely on information provided by the company on their website. For independent, verified user experiences, please refer to trusted sources such as Trustpilot, Reddit, and BBB.org.
Tembomoney.com Review & First Look
Based on looking at the website, Tembomoney.com presents itself as a UK-based mortgage broker and savings provider, aiming to simplify the home-buying and saving process.
Their homepage immediately highlights two core services: mortgages and savings.
The layout is clean, modern, and user-friendly, with clear navigation menus for different types of services like “I’m Looking To,” “Mortgages,” “Savings,” “Learn,” and “Calculators.” This structured approach helps users quickly identify relevant information.
The website boasts a claim of maximizing borrowing power and helping users save faster, backed by statistics such as increasing budgets by an average of £88,000 versus “standard” mortgage calculators.
They also emphasize their wide reach, claiming to search over 100 lenders and 25 schemes to find deals.
From an initial glance, Tembomoney.com gives off a professional and trustworthy impression, leveraging testimonials, Trustpilot ratings, and mentions of awards “UK’s Best Mortgage Broker three years in a row”.
However, a critical review, especially from an ethical and Islamic perspective, reveals significant concerns. The very foundation of their services — conventional mortgages and interest-bearing savings products like ISAs — inherently involves riba interest, which is explicitly forbidden in Islam. While the website presents various calculator tools mortgage, stamp duty, remortgage, take-home pay and detailed guides on different mortgage types, the underlying financial mechanisms are not Sharia-compliant. This makes Tembomoney.com, despite its professional facade and user-friendly design, unsuitable for individuals seeking to adhere to Islamic financial principles.
The Homepage’s Immediate Impression
The homepage is designed to be highly engaging and informative.
A prominent banner highlights their mission: “We make home happen,” followed by a strong claim about their award-winning mortgage service maximizing borrowing power and market-leading savings products helping users save faster.
This immediate call to action is coupled with a clear path for users to “Get started” by checking their affordability or logging in. Bldbro.com Review
Understanding the Service Offerings
Tembomoney.com categorizes its services logically.
Under “I’m Looking To,” users can specify their goal e.g., “Buy a home,” “Increase my budget,” “Remortgage,” “Save a house deposit”. The “Mortgages” section delves into various types like “Standard Mortgage,” “Shared Ownership,” “Self Employed,” and specific “Affordability” solutions.
The “Savings” section focuses on “Lifetime ISA” and “Cash ISA” products, explicitly mentioning interest rates.
For instance, the “Cash ISA – Easy access” highlights a 4.8% AER variable and the “Cash Lifetime ISA” shows 4.6% AER.
Trust Signals and Transparency
The website prominently displays a Trustpilot rating, indicating a high level of customer satisfaction based on over 2,000 reviews.
This is a strong trust signal for conventional users.
They also list several benefits, such as “Same day appointments,” “A dedicated case manager & advisor,” and “Instant property valuations.” Transparency regarding fees is mentioned, with categories like “Free Tembo Savers,” “£499 Standard,” and “£749 Complex,” linking to a “Read more about our fees” section.
While transparent about conventional fees, the fundamental issue of interest remains unaddressed from an Islamic ethical standpoint.
Tembomoney.com Pros & Cons
When evaluating Tembomoney.com, it’s essential to consider its strengths and weaknesses, particularly through the lens of ethical finance. Star-hangar.com Review
For the purpose of this review, we’ll focus heavily on the ethical implications, as the website’s core offerings present significant issues for individuals adhering to Islamic principles.
Cons from an Islamic Ethical Perspective
The primary and overriding “con” of Tembomoney.com, for those seeking Sharia-compliant financial solutions, is its foundational reliance on interest-based products.
- Involvement in Riba Interest: The most critical issue is that Tembomoney.com facilitates conventional mortgages and offers interest-bearing savings accounts ISAs. In Islam, riba interest is strictly forbidden. This prohibition applies to both receiving and paying interest.
- Mortgages: Conventional mortgages, by definition, involve borrowing money with interest charged on the principal. This is a direct violation of Islamic financial principles, which advocate for equity-based financing, profit-sharing, or cost-plus arrangements like Murabaha that avoid interest.
- Savings Accounts ISAs: The “Lifetime ISA” and “Cash ISA” products advertised on Tembomoney.com explicitly mention Annual Equivalent Rates AER, which are interest rates. Earning interest on savings, even if tax-free as in the case of ISAs, falls under riba and is therefore impermissible.
- Lack of Sharia-Compliant Alternatives: The website does not offer or even mention any Sharia-compliant financial products. For a financial service that aims to serve a broad audience, including those with religious sensitivities, the absence of halal options is a significant drawback. This indicates a focus solely on the conventional financial market without consideration for alternative ethical frameworks.
- Promotion of Conventional Debt Structures: By offering services that aim to “increase your budget” or “increase your affordability” through conventional lending, the platform implicitly encourages engaging in interest-bearing debt, which runs counter to Islamic teachings that emphasize avoiding excessive debt and preferring equity-based transactions.
- Ethical Concerns Beyond Riba: While riba is the central issue, the broader implications of conventional financial systems, such as their potential to exacerbate wealth inequality and economic instability, are also relevant. Islamic finance seeks to promote justice, fairness, and risk-sharing, principles often undermined by interest-based models.
Pros from a Conventional User’s Perspective, but with an Ethical Caveat
- User-Friendly Interface: The website is well-designed, intuitive, and easy to navigate. Information is clearly presented, and the user journey for exploring mortgage or savings options is streamlined.
- Comprehensive Service Offering: Tembomoney.com offers a wide range of mortgage products first-time buyer, remortgage, buy-to-let, shared ownership, self-employed, guarantor options and savings accounts, catering to diverse needs within the conventional market.
- Data Point: They claim to search over “100 lenders & 25 schemes,” which suggests a broad market reach for conventional products.
- Transparency on Fees: The website provides clear information on their service fees, differentiating between “Free Tembo Savers,” “Standard” £499, and “Complex” £749 services. This transparency is a positive for consumers.
- Strong Trust Signals:
- Trustpilot Rating: A 5-star rating on Trustpilot, based on over 2,000 reviews, indicates high customer satisfaction in the conventional market.
- Awards: The claim of being “UK’s Best Mortgage Broker three years in a row” as voted by customers adds credibility.
- Customer Support: They advertise “7 days a week – Email, phone & live chat” support, which is a strong commitment to customer service.
- Convenient Calculators: The presence of various calculators mortgage, remortgage, stamp duty, take-home pay adds practical utility for users planning their finances.
- Digital Accessibility: The mention of “Download the Tembo app” and the ability to “open an account in under 10-minutes” highlights their commitment to digital convenience.
In summary, while Tembomoney.com excels in providing a convenient, comprehensive, and user-friendly platform for conventional mortgage and savings products, its core offerings are fundamentally incompatible with Islamic financial principles due to their reliance on interest. For an individual committed to Sharia-compliant finance, the “pros” become irrelevant in the face of the overarching “cons” related to riba.
Tembomoney.com Alternatives
Given the ethical concerns surrounding Tembomoney.com’s reliance on interest-based financial products, it’s crucial to explore alternatives that align with Islamic ethical principles. The focus here is on Sharia-compliant solutions for housing finance, investment, and savings, which avoid riba interest, gharar excessive uncertainty, and maysir gambling. These alternatives prioritize ethical conduct, social responsibility, and risk-sharing.
Halal Home Financing Providers
For purchasing a home, the primary alternative to conventional mortgages is Islamic home financing.
These models avoid interest by structuring the transaction as an ethical partnership or sale.
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Guidance Residential: One of the leading providers of Sharia-compliant home financing in the US. They primarily use the Diminishing Musharaka partnership model, where the financial institution and the client co-own the property. The client gradually buys the institution’s share, and the institution charges a permissible lease payment for its share of the property.
- Key Features: Diminishing Musharaka structure, competitive profit rates, transparent process, established track record.
- Average Price: Varies based on property value and financing amount.
- Pros: Sharia-compliant, clear ownership progression, reputable.
- Cons: Availability might be geographically limited in some regions, documentation can be extensive.
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Ameen Housing Co-op: A cooperative model offering Sharia-compliant housing finance, often focusing on community-based solutions. They also utilize various Islamic finance structures to avoid interest. Blacktiemoving.com Review
- Key Features: Cooperative structure, community-focused, aims for affordability through ethical means.
- Average Price: Dependent on location and property.
- Pros: Strong ethical foundation, potential for community support, innovative models.
- Cons: Newer player in the market compared to larger institutions, might have specific membership requirements.
Ethical Investment Platforms
For savings and investments that align with Islamic values, conventional interest-bearing ISAs or investment funds are replaced by Sharia-compliant platforms.
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Wahed Invest: A global Sharia-compliant digital investment platform. They offer various portfolios screened by a Sharia Advisory Board to ensure compliance, avoiding industries like alcohol, tobacco, gambling, conventional finance, and weapons.
- Key Features: Automated investment, diverse portfolios e.g., Sukuk, equities, gold, fractional investing, Sharia-certified.
- Average Price: Management fees typically range from 0.49% to 0.99% annually, depending on the asset size.
- Pros: Easy to use, accessible for beginners, transparent Sharia compliance, global reach.
- Cons: Limited customization for advanced investors, performance is tied to market fluctuations.
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Islamic Finance Guru IFG – for general halal investment guidance: While not a direct investment platform, IFG provides extensive resources, guides, and reviews of Sharia-compliant investment opportunities, including stocks, real estate, and funds. They help users identify ethical alternatives.
- Key Features: Comprehensive educational content, product reviews, community forums.
- Average Price: Free access to most content, some premium guides or services may have a fee.
- Pros: In-depth knowledge, helps in informed decision-making, wide range of topics.
- Cons: Not an investment platform itself, requires self-directed research.
Halal Savings & Wealth Management
For accumulating wealth ethically and saving for future goals like a home deposit, alternatives to interest-bearing savings accounts are crucial.
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Halal Savings Accounts e.g., through Islamic Credit Unions or specific bank divisions: Some specialized financial institutions or credit unions offer savings accounts based on profit-sharing Mudarabah or charitable loans Qard Hasan rather than interest. These are designed to be Sharia-compliant.
- Key Features: No interest accumulation, potential profit sharing from ethical investments, community focus.
- Average Price: No direct cost, but potential for lower returns compared to conventional interest.
- Pros: Fully Sharia-compliant, supports ethical finance, good for long-term saving.
- Cons: Limited availability depending on region, returns may not be guaranteed.
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Physical Gold & Silver Bullion: Direct ownership of physical gold and silver is a Sharia-compliant way to preserve wealth and hedge against inflation, avoiding the interest-based risks of fiat currency savings.
- Key Features: Tangible asset, store of value, Sharia-compliant.
- Average Price: Spot price plus premium for physical metal.
- Pros: Independent of financial systems, historically proven store of value, no counterparty risk.
- Cons: Storage costs, liquidity can be an issue for very large amounts, price volatility.
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Investment in Ethical Businesses e.g., direct equity or crowdfunding for halal startups: Rather than earning interest, one can invest directly in Sharia-compliant businesses. This can be done through equity stakes or via ethical crowdfunding platforms that screen businesses for halal operations.
- Key Features: Direct involvement in the real economy, profit-sharing, supports ethical entrepreneurship.
- Average Price: Varies significantly based on the business and investment amount.
- Pros: Highly ethical, potential for significant returns if successful, contributes to the real economy.
- Cons: High risk, illiquidity, requires thorough due diligence.
How to Cancel Tembomoney.com Subscription
Based on the publicly available information on Tembomoney.com’s homepage and linked pages, particularly their “Contact Us” and “Fees” sections, there isn’t a direct “subscription” model in the traditional sense that requires cancellation in the way one might cancel a streaming service.
Instead, Tembo operates as a mortgage broker and savings provider, and its “fees” are tied to specific services rather than ongoing subscriptions. Sellyourcar2jack.com Review
Their fee structure, as outlined on the homepage, includes:
- Free Tembo Savers: This implies that using their savings products Lifetime ISA, Cash ISA does not incur a fee, though terms and conditions would apply to the accounts themselves.
- £499 Standard: For “Buying or remortgaging with no affordability hurdles or complexity.”
- £749 Complex: For situations needing “extra support due to affordability, credit or complex needs.”
These appear to be one-time service fees charged upon successful completion of a mortgage arrangement, rather than recurring subscriptions.
Therefore, “canceling a Tembomoney.com subscription” would likely translate to one of the following scenarios:
Discontinuing Mortgage Application Services
If you have engaged Tembomoney.com for mortgage advisory services and wish to discontinue, you would need to formally withdraw your application or service request.
- Contact Customer Support Directly: The most effective method would be to use their advertised contact channels: “7 days a week – Email, phone & live chat.”
- Phone: Look for a phone number on their “Contact Us” page.
- Email: Send a written request to their official support email. This provides a clear record of your intent.
- Live Chat: If available, this can provide an immediate response and guidance.
- Withdraw Your Application: Clearly state your intention to withdraw your mortgage application or terminate their brokerage services. Ask for confirmation that no further charges will be incurred if you are within a period where fees are contingent on service completion.
- Review Fee Agreement: Before engaging, always review the specific terms of service and fee agreement you signed with Tembomoney.com. This document will outline their cancellation policy and any associated charges or timelines. Their homepage mentions a link to “Read more about our fees & when we charge them here,” which should be consulted. Typically, brokerage fees are contingent on securing a mortgage offer or completion, so withdrawing early might mean no fee is charged, or a portion depending on services rendered.
Closing a Savings Account Lifetime ISA or Cash ISA
If you have opened a savings account with Tembo e.g., a Cash Lifetime ISA or Cash ISA and wish to close it, this is typically handled as an account closure process rather than a subscription cancellation.
- Check Account Terms and Conditions: Each savings product will have specific terms regarding withdrawals, transfers, and account closures.
- Lifetime ISA LISA: Be extremely cautious when withdrawing from a LISA for reasons other than purchasing a first home or retirement, as there can be significant government penalties e.g., a 25% withdrawal charge that can result in losing more than the government bonus. Read the LISA terms thoroughly on their website or in your account agreement.
- Cash ISA – Easy Access: These typically allow withdrawals without penalty, but confirm the specific terms for your account.
- Cash ISA – Fixed Rate Coming Soon: Fixed-rate ISAs usually have penalties for early withdrawals, as your funds are locked in for a set period.
- Initiate Account Closure: Contact Tembo’s customer support via phone, email, or their app if applicable to request account closure and fund transfer. They will guide you through the necessary steps and paperwork.
General Advice for Any Cancellation
- Keep Records: Always document dates, times, names of representatives you speak with, and save copies of all correspondence emails, chat logs.
- Confirm No Future Charges: Explicitly ask for confirmation that no further charges or fees will be applied after your cancellation request has been processed.
In essence, “canceling” with Tembomoney.com means disengaging from their mortgage brokerage services or closing any savings accounts you hold with them, rather than terminating a recurring “subscription.” The process will depend on the specific service you are using.
Tembomoney.com Pricing
Based on the information readily available on its homepage, Tembomoney.com offers a tiered pricing structure for its mortgage advisory services, while its savings products appear to be “fee-free.” It’s crucial to understand these pricing models, especially considering the ethical implications of the underlying financial products.
Mortgage Service Fees
Tembomoney.com clearly outlines three categories for its mortgage-related services:
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Free Tembo Savers: Ayucosmetics.com Review
- Description: “Our savings customers go fee-free. T&Cs apply.”
- Analysis: This suggests that if you primarily use their savings products e.g., Lifetime ISA, Cash ISA, you might not incur a direct fee for related mortgage advice, or perhaps specific mortgage services become free. However, the exact conditions “T&Cs apply” would need to be thoroughly reviewed to understand the scope of this “free” offering. It’s important to remember that while the service fee might be waived, the underlying savings products themselves involve interest, which is impermissible in Islam.
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£499 Standard:
- Description: “Standard Buying or remortgaging with no affordability hurdles or complexity.”
- Analysis: This is their base fee for straightforward mortgage applications. It applies to common scenarios where the applicant’s financial situation is relatively simple and meets standard lending criteria. This fee would likely be charged upon successful completion of the mortgage.
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£749 Complex:
- Description: “If you need extra support due to affordability, credit or complex needs.”
- Analysis: This higher fee is for more intricate cases. Examples of “complex needs” could include:
- Low affordability: Requiring specialized schemes or income boosting strategies e.g., the 5.5x income mortgage or guarantor options they advertise.
- Credit issues: Needing brokers to navigate adverse credit history.
- Complex income: Self-employed individuals, contractors, or those with multiple income streams that require more nuanced assessment and negotiation with lenders.
- Data Point: The website highlights their expertise in “utilises COMPLEX self-employed income” and options for “sole traders, contractors & company directors that only need one year’s accounts,” which aligns with the “Complex” fee category.
Savings Products Lifetime ISA & Cash ISA Pricing
While the “Free Tembo Savers” category implies no direct fees for their savings accounts, it’s important to differentiate between service fees and the nature of the products themselves.
- Cash Lifetime ISA 4.6% AER: This is an interest-bearing account. While Tembomoney.com might not charge a separate fee for managing this ISA, the Annual Equivalent Rate AER represents the interest earned on the savings. This interest is riba and thus impermissible in Islam.
- Stocks & Shares Lifetime ISA: While mentioned, specific pricing details for this product e.g., management fees charged by the underlying investment provider are not immediately visible on the homepage. Typically, Stocks & Shares ISAs involve fund management fees or platform fees. From an Islamic perspective, the underlying investments within such an ISA would also need to be Sharia-compliant e.g., no investments in alcohol, gambling, conventional finance, etc..
- Cash ISA – Easy access 4.8% AER variable: Similar to the Cash LISA, this is an interest-bearing savings product, rendering it impermissible due to riba.
- Cash ISA – Fixed rate Coming soon, provided by Investec: This will also be an interest-bearing product with a guaranteed interest rate, making it equally impermissible.
Fee Collection Policy
The website mentions: “Our fees are simple. Read more about our fees & when we charge them here.” Clicking on the “here” link leads to their full fees policy, which would detail when the fees are paid e.g., upon application, mortgage offer, or completion. Typically, broker fees are payable upon completion of the mortgage, meaning if the mortgage doesn’t go through, the fee might not be charged. However, this is standard practice and users should always confirm this directly from their terms.
In summary, Tembomoney.com’s pricing for mortgage services is tiered based on complexity, with an apparent fee-free option for their savings customers. However, the fundamental nature of all the financial products they offer mortgages and ISAs involves interest riba, making their services and products unsuitable for individuals seeking Sharia-compliant financial solutions, regardless of the service fee structure.
Tembomoney.com vs. Islamic Finance Providers
When comparing Tembomoney.com with Islamic finance providers, the fundamental difference lies in their adherence to Sharia Islamic law. Tembomoney.com operates within the conventional financial system, while Islamic finance providers offer solutions specifically designed to be Sharia-compliant.
This distinction leads to vastly different approaches to financial products, particularly in the areas of mortgages, savings, and investments.
Core Philosophy and Principles
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Tembomoney.com Conventional Finance:
- Principle: Based on conventional capitalist principles, primarily utilizing interest riba as the cost of money and a mechanism for profit.
- Focus: Maximizing profit through lending and borrowing, often without direct linkage to tangible assets or real economic activity in all transactions.
- Risk: Risk is primarily borne by the borrower in debt contracts, with fixed interest payments regardless of the borrower’s profitability.
- Ethical Stance: Follows conventional financial regulations and ethical standards e.g., consumer protection laws, but does not specifically adhere to religious ethical frameworks like Sharia.
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Islamic Finance Providers e.g., Guidance Residential, Wahed Invest: Animeape.com Review
- Principle: Based on Islamic ethical principles, prohibiting riba interest, gharar excessive uncertainty, maysir gambling, and investments in haram forbidden industries e.g., alcohol, pork, pornography, weapons.
- Focus: Promoting real economic activity, justice, fairness, and risk-sharing. Transactions must be linked to tangible assets or legitimate economic ventures.
- Risk: Risk is shared between parties e.g., financier and client in equity-based or profit-sharing contracts.
- Ethical Stance: Strict adherence to Sharia, overseen by Sharia supervisory boards to ensure compliance with Islamic law. This includes ethical investing and social responsibility.
Mortgage Products
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Tembomoney.com Conventional Mortgages:
- Mechanism: Loans money to the client, who repays the principal plus interest over a set period. The bank earns guaranteed profit from the interest charged.
- Examples: Standard Mortgage, Remortgage, Buy-to-Let, Shared Ownership, etc., all involve interest.
- Ethical Issue: Direct engagement with riba.
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Islamic Finance Providers Halal Home Financing:
- Mechanism: Typically use models like Diminishing Musharaka partnership, Murabaha cost-plus sale, or Ijarah leasing.
- Diminishing Musharaka: The financial institution and client co-own the property. The client buys the institution’s shares over time and pays a permissible rent for the institution’s portion. This avoids interest entirely.
- Murabaha: The institution buys the property and then sells it to the client at a pre-agreed profit margin. Payments are made in installments, but the profit is fixed at the outset, not accruing over time as interest.
- Examples: Guidance Residential’s Diminishing Musharaka program.
- Ethical Solution: Avoids riba by structuring transactions as equity partnerships or sales, promoting risk-sharing and asset-backed finance.
- Mechanism: Typically use models like Diminishing Musharaka partnership, Murabaha cost-plus sale, or Ijarah leasing.
Savings and Investment Products
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Tembomoney.com Conventional Savings/Investments:
- Mechanism: Offers Cash ISAs and Lifetime ISAs that accrue interest AER. Stocks & Shares ISAs may invest in conventionally structured funds.
- Examples: Cash Lifetime ISA at 4.6% AER, Cash ISA at 4.8% AER.
- Ethical Issue: Earning riba on savings, and potential investment in haram sectors through Stocks & Shares ISAs if not Sharia-screened.
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Islamic Finance Providers Halal Savings/Investments:
- Mechanism:
- Savings: May offer Mudarabah profit-sharing accounts where returns are based on the actual profit generated from Sharia-compliant investments, or Qard Hasan benevolent loans which are interest-free.
- Investments: Provide Sharia-compliant investment funds e.g., equities, Sukuk, real estate that are screened for adherence to Islamic principles.
- Examples: Wahed Invest’s Sharia-compliant portfolios, physical gold/silver, direct ethical business investments.
- Ethical Solution: Avoids riba by focusing on profit-and-loss sharing, asset-backed investments, and screening out haram industries. Wealth purification through Zakat is also a core principle.
- Mechanism:
Customer Experience and Reach
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Tembomoney.com:
- Convenience: Highly digitally focused, user-friendly website, online calculators, app access.
- Market: Primarily serves the UK conventional mortgage and savings market, with wide access to mainstream lenders.
- Customer Support: Strong emphasis on accessibility 7 days a week support.
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Islamic Finance Providers:
- Convenience: Increasingly digital, but may require more direct interaction due to the unique nature of the contracts. Availability varies by region.
- Market: Serves individuals seeking Sharia-compliant financial solutions. The market is growing, but options might be less pervasive than conventional ones.
- Customer Support: Often includes Sharia scholars or advisors to explain the compliance aspects of products.
In conclusion, the choice between Tembomoney.com and Islamic finance providers boils down to fundamental ethical alignment. While Tembomoney.com offers a convenient and comprehensive service within the conventional framework, its core operations are incompatible with Islamic financial principles due to the pervasive involvement of interest. Islamic finance providers, on the other hand, build their entire model on avoiding riba and adhering to Sharia, offering an ethical alternative for Muslims and ethically-minded individuals.
FAQ
What is Tembomoney.com?
Tembomoney.com is a UK-based online platform that functions as a mortgage broker and savings provider, offering various mortgage schemes and interest-bearing savings accounts like Lifetime ISAs and Cash ISAs.
Is Tembomoney.com Sharia-compliant?
No, Tembomoney.com is not Sharia-compliant. Its core services, including conventional mortgages and interest-bearing savings accounts ISAs, involve interest riba, which is strictly forbidden in Islam. 1min.ai Review
Does Tembomoney.com offer interest-free mortgages?
No, based on its website, Tembomoney.com offers conventional mortgages that involve interest, which is the standard model in traditional finance.
They do not advertise any interest-free or Sharia-compliant mortgage products.
What types of savings accounts does Tembomoney.com offer?
Tembomoney.com offers Cash Lifetime ISAs and Cash ISAs Easy Access and Fixed Rate. All these products explicitly mention Annual Equivalent Rates AER, indicating they are interest-bearing accounts.
Are the savings accounts on Tembomoney.com permissible in Islam?
No, the savings accounts offered by Tembomoney.com are not permissible in Islam because they accrue interest riba, which is prohibited for Muslims.
What are Tembomoney.com’s fees for mortgage services?
Tembomoney.com charges tiered fees for its mortgage services: £499 for “Standard” cases and £749 for “Complex” needs.
They also offer “Free Tembo Savers” for their savings customers, though terms and conditions apply.
How does Tembomoney.com claim to increase borrowing power?
Tembomoney.com claims to increase borrowing power by searching over 100 lenders and 25 schemes, including specialized options like 5.5x income mortgages, guarantor mortgages, and utilizing complex self-employed income.
Is Tembomoney.com regulated?
As a financial services provider in the UK, Tembomoney.com would be subject to regulation by the Financial Conduct Authority FCA. While not explicitly stated on the immediate homepage, reputable financial firms are regulated.
Does Tembomoney.com offer online mortgage applications?
Yes, Tembomoney.com appears to facilitate online processes, with features like “Mortgage login” and “Check my affordability,” suggesting an online application or inquiry process.
What is the average amount Tembomoney.com claims to increase budgets by?
Tembomoney.com claims to increase budgets by an average of £88,000 versus “standard” mortgage calculators. Zenoti.com Review
How do I contact Tembomoney.com customer support?
Tembomoney.com states that their contact channels are available “7 days a week” via email, phone, and live chat, as indicated on their “Contact Us” page.
Can I get a self-employed mortgage through Tembomoney.com?
Yes, Tembomoney.com explicitly states that they offer “Self employed mortgage” options for sole traders, contractors, and company directors, even those with only one year’s accounts.
What are some Sharia-compliant alternatives to Tembomoney.com for home financing?
Sharia-compliant alternatives for home financing include providers like Guidance Residential and Ameen Housing Co-op, which use models like Diminishing Musharaka or Murabaha to avoid interest.
What are Sharia-compliant alternatives for savings and investments?
For Sharia-compliant savings and investments, alternatives include platforms like Wahed Invest for ethical investments, direct ownership of physical gold and silver, and investing in ethical businesses.
Does Tembomoney.com have a mobile app?
Yes, Tembomoney.com states, “Download the Tembo app and you can have an account open in under 10-minutes,” indicating the availability of a mobile application.
How long does it take to open a savings account with Tembomoney.com?
Tembomoney.com claims you can open a savings account via their app in “under 10-minutes.”
What is a Lifetime ISA and how does Tembomoney.com offer it?
A Lifetime ISA LISA is a UK government scheme to help people save for their first home or retirement with a 25% government bonus.
Tembomoney.com offers a Cash Lifetime ISA that provides an Annual Equivalent Rate AER, which is an interest-based return.
What is the main difference between Tembomoney.com and Islamic finance?
The main difference is Tembomoney.com’s reliance on interest riba in its products, which is strictly prohibited in Islamic finance. Islamic finance operates on principles of risk-sharing, asset-backed transactions, and ethical investments, avoiding interest.
Where can I find Tembomoney.com reviews?
Tembomoney.com prominently displays a link to its Trustpilot profile on its homepage, where it has a 5-star rating based on over 2,000 reviews. Whatsthatpatch.com Review
What is the ethical concern with using Tembomoney.com’s services for a Muslim?
The ethical concern for a Muslim using Tembomoney.com’s services is the direct engagement with riba interest through their mortgage products and interest-bearing savings accounts, which is a major prohibition in Islam.
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