The Concept of Bai’ul Uhdah as A Collateral Item According to Islamic Law and Its Implementation in the Purwokerto Sharia Pawnshop

Abstract

Bai’ul Uhdah a buying and selling transaction carried out by two parties who have transacted is accompanied by the condition that the goods that have been sold can be repurchased until the predetermined grace period arrives. This research discusses the practice of bai’ul uhdah as collateral at Purwokerto Sharia Pawnshop. Some mean that a lien is a debt receivable contract with a person who owes a debt including an item to be held by the person who owes the debt (murtahin) to provide a sense of security for the person who gives the debt. The scholars agreed that the person receiving the pledge should not benefit from the hock. It is based that in the lien of the contract the principal is the receivable debt, and in the receivables, the prevailing principle is to help (ta’awun) not seek profit (selflessness). However, the practice in the pawnshop is inversely proportional, the pawn contains an element of usury, namely by utilizing hocked goods in the form of rice fields or coconut plantations to take advantage instead of helping. This research used qualitative descriptive as a method, whereas the subject selection was by purposive sampling. This research offers the concept of bai'ul uhdah as a solution to usury in collateral in pawnshops. The pawn owner and the lien beneficiary can replace the usual lien transaction with a bai’ul uhdah contract so that the utilization of the lien by the lien holder is no longer considered a form of taking advantage of the receivables. The research concludes that a normative approach can be used which aims at revealing the true values of pawn practice in the Purwokerto Sharia pawnshop so that it should be actualized in the future.