Secondly: Ruling of current accounts
Current accounts are loans from an Islamic jurisprudence perspective, and as such it is not permissible to take any interest on it, as confirmed by the Islamic Fiqh Council affiliated with the Organisation of Islamic Cooperation, [2036] In a decision made by the Islamic Jurisprudence Council, which took place in its ninth conference in Abu Dhabi, United Arab Emirates, from 1 to 6 of Thul-Qi'dah 1415 Hijri, which corresponds to 1-6 April 1995 CE, it mentions: (After looking over the papers written on this specific topic: (current accounts), and after having listened to the discussions surrounding it, the conclusion drawn was that: First: Deposits upon request (current accounts), whether in Islamic banks or traditional interest-based banks, are juridically loans. The deposit-receiving bank guarantees them and is obligated by the Sharia to return them upon demand. The condition of the bank (the borrower) doesn't influence the ruling of the loan. Second: Bank deposits are divided accordingly to banking customs into two types: (A) Deposits that receive interest – this, as is the case in interest-based banks, is a prohibited usurious loan, regardless of if it is a deposit upon request (current accounts), timed deposits, or savings accounts. (B) Deposits given to banks that are truly committed to the rules of Islamic Sharia, these are the Mudaraba's capital (profit-sharing contract) and are subject to the Mudaraba rules in Islamic jurisprudence. This includes that the bank (Mudarib) cannot guarantee the Mudaraba's capital. (Islamic Jurisprudence Assembly Magazine, 9th issue, 1/932). the Authority of Senior Scholars of Saudi Arabia, [2037] The verdict from the Senior Scholars Authority is: (Depositing money in banks with the purpose of receiving a predetermined interest rate that the depositor will receive from the bank either after the passing of a specified amount of time they have agreed upon, or when they withdraw the money is classified as interest or usuary. This is clear interest that has been prohibited by Allah and His Prophet, and the Salaf of the Ummah have agreed upon its prohibition and naming it a deposit or any other name does not change the ruling of its prohibition, for they have joined both types of usuary in this case as it is selling money for money for a later date and for an increase). [(Islamic Research Journal, 5/261)], also see ((Abhath Hay'et Kibar Al-Ulema)) (5/223), ((Majmu Fatawa ibn Baaz)) (19/179). the Permanent Committee of Saudi, [2038] The resolution from the Permanent Committee for Scholarly Research and Iftas is: Depositing money in a bank aiming to get an interest is deemed as a forbidden as it is usury (riba). ((Fatawa Lajna al-Da’imah – al-Majmu’ah al Uwla)) (9/200). and this is the position of Bin Baaz, [2039] Ibn Baz mentioned: Depositing in banks to get interest or to borrow with interest is not allowed as it's clearly usury (riba). ((Majmu Fatawa ibn Baaz)) (19/416)). Ibn Baz also said: (It's not permissible for you to engage in usurious transactions with what's available at the bank, but if it's only a deposit, there is no sin as long as there are no other alternatives. ((Majmu Fatawa ibn Baaz)) (14/129)). and ibn Uthaymeen, [2040] Ibn Uthaymeen mentioned: Storing money in the banks isn't called a deposit; instead, it is a loan and people calling it a deposit is wrong, because if you give the bank some money, do they keep it as it is until you come to withdraw it, or do they use the money elsewhere? They use the money elsewhere, so then it is a loan, and if it is a loan then it is not permissible for the creditor to take anything extra for giving the loan. ((Liqaa’ al-Baab al-Maftooh, meeting no. 196)), also see: ((Al-Sharh al-Mumti, by Ibn Uthaymeen, 10/298)). and this is because the institution receiving this deposit is responsible for it, and as such they are bound by the Sharia to return it upon request, and if they are responsible for it then it is a loan on which it is impermissible to take interest on.  [2041] Decision No. 90 (3/9), obtained from the Islamic Jurisprudence Assembly website, regarding bank deposits (bank accounts), at its ninth conference in Abu Dhabi, UAE, 1-6 Thu al-Qida 1415H corresponds to 1-6 April 1995CE. The decision mentions: (Loans on which interest is paid on, as is the practice of interest-based banks, is a forbidden usurious loan, irrespective of whether these loans are in the form of demand deposits (current accounts), time deposits, notice or savings accounts). ((Islamic Jurisprudence Assembly Magazine, 9th issue, 1/932)).

Thirdly: Payment of interest on term deposits, [2042] Term deposits: These are amounts of money deposited in a bank for a specific period that varies according to the agreement between the bank and the depositor. Typically, the interest that the depositor will earn is tied to the time frame. Refer to ((Mu’jam al-Musthalaha al-Iqtisaadiyah al-Islamiyyah)) by Ali Aljamea (P: 485), ((Mu’jam al-Uloom al-Maliyyah wal Muhasabah wal Masrafiyyah)) by Mahmoud Attwan (P: 835). notice deposits, [2043] Notice deposits: Deposits from which money can't be withdrawn until after the bank or the bank has been notified a period specified at the time of deposit. Refer to ((Idaratul Bunuk)) by Sulaiman Ahmed and others - Amman - Dar Al-Fikr - 1997 (P 133), also to ((Tahleel al-Wadai al-Masrafiyyah Namuthaj Muqtarah)) by Abd Alsalam Lafta Said, research published in the journal of the College of Baghdad for Economic Sciences, issue eleven, 2006. and saving accounts [2044] Saving deposits: These are small cash deposits deducted by individuals from their incomes and paid to the bank to open a savings account. The account holders can withdraw all or part of it at any time. Refer to ((Al-Mi’yaar al-Shariah)) (P: 1003).
It is not permissible to pay interest on term deposits, notice deposits, and saving accounts, as confirmed by the Islamic Fiqh Council affiliated with the Organisation of Islamic Cooperation, [2045] Decision No. 90 (3/9) on Bank Deposits (Bank Accounts) was made in the ninth conference in Abu Dhabi, UAE, from 1-6 Thu al-Qida 1415H, corresponding to 1-6 April 1995CE. The resolution stated: (Deposits on which interest is paid on, as is the practice of interest-based banks - are forbidden usurious loans, whether these loans are of demand deposits (current accounts), term deposits, notice deposits, or savings accounts". [(Islamic Jurisprudence Assembly Journal, 9th issue, 1/932)]. and the Accounting and Auditing Organization for Islamic Institutions, [2046] It is stated in the Sharia Standards: "The prohibition of increase on the loan (interests) that the lender takes additional to his capital is a forbidden usury. Accordingly, the decision of the International Islamic Jurisprudence Assembly was issued." ((Sharia Standards)) (999). and this is because these deposits take the ruling of loans, and for a loan the exact amount must be returned, and so any increase stipulated over the original amount is considered usuary. [2047] Resolution No: 86 90 (3/9). [(Islamic Jurisprudence Assembly Journal, 9th issue, 1/932)].