Abstract
Rastin Swap Card is defined in Rastin Banking. This card is issued based on the Swap Contract in Rastin Banking or principle of sovereignty rights of contracts. In Rastin Swap Card there are two periods. In the first period card issuer lends money to the cardholder, and in the second period borrows money from card holder instead. At the first stage card issuer credits a certain amount of money for specific time duration to the card of cardholder and requests the cardholder to deposit the same amount for the same period at the end of the cited time duration (first maturity) in the issuer's deposit account. Card issuer and cardholder can agree for a combination of amount and duration for which the product of them (amount by the duration) be equal for both operations of lending money by the issuer and depositing by the cardholder.Rastin Swap Card (RSD) has no interest rate and is different from conventional debit and credit cards, but considering the ICT-based systems, RSD is being processed and managed through electronic banking systems. Rastin Swap Card can be issued in both local and foreign currencies. Bank receives a fee by offering Rastin Swap Card service.
 JEL: E43, E44, E52, E58, E62, E63
 
Highlights
Prohibition of Reba in divine religions, especially in Islam prevents using traditional financial instruments which has skepticism of involving Reba
Interest is involved in the calculation of the most of conventional banking instruments, and for facilitating Islamic financial activities, new financial instruments should be innovated in compliance with Sharia and in the direction of Reba prohibition
This paper introduces a new substitute for the credit card that is compliant with Sharia and is interest-free and can be used for financing purposes
Summary
Prohibition of Reba in divine religions, especially in Islam prevents using traditional financial instruments which has skepticism of involving Reba. Interest is involved in the calculation of the most of conventional banking instruments, and for facilitating Islamic financial activities, new financial instruments should be innovated in compliance with Sharia and in the direction of Reba prohibition. In conventional banking credit card is one of the important financial instruments that are not applicable to Islamic banking. Rastin Swap Card is defined in Rastin Banking1 This card is interest-free and is issued according to Swap Contract as defined in Rastin Banking Bill or based on the legal rule of the sovereignty of contracts. The operational mechanism of Rastin Swap Card (RSC) is highly similar to Rastin Swap Bond which the latter is issued in Rastin Banking
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