Session 5 Family Guide

Money, Values & You — Tips for families facilitating Session 5: Banking Basics

Overview

Understand how banks work, why interest is prohibited in Islam (Riba), and explore Islamic banking alternatives.

Facilitating Each Lesson

Lesson 1: What Banks Do

Tip: Discover what banks actually do with your money, how accounts work, and why banking exists. Take time to discuss each topic and let your child share their thoughts before providing answers.

Try asking: "What do you think about what a bank is and what it does?"

Lesson 2: Interest and Riba

Tip: Learn how interest works in conventional banking and why it is prohibited in Islam. Take time to discuss each topic and let your child share their thoughts before providing answers.

Try asking: "What do you think about what interest is: the cost of borrowing money?"

Lesson 3: Islamic Banking Alternatives

Tip: Explore how Islamic banks work without interest. Learn about murabaha, musharakah, and other models. Take time to discuss each topic and let your child share their thoughts before providing answers.

Try asking: "What do you think about how islamic banking works: no interest, risk-sharing instead?"

Lesson 4: Credit Unions and Choosing a Bank

Tip: Learn what credit unions are, how they differ from banks, and how to think about choosing where to keep your money. Take time to discuss each topic and let your child share their thoughts before providing answers.

Try asking: "What do you think about what a credit union is: member-owned, not-for-profit?"

Conversation Starters for Home

"What did you learn today about what a bank is and what it does?"
"What did you learn today about what interest is: the cost of borrowing money?"
"What did you learn today about how islamic banking works: no interest, risk-sharing instead?"
"What did you learn today about what a credit union is: member-owned, not-for-profit?"