interest

As-salaam-mu-alikum respected Scholars.Is it permissble to offset the bank charges against any credit interest received from the same bank and the excess interest remaining, if any, I distribute to the needy for no reward?Jazak-ALLAH

Assalamou alaykoumI have recently come to discover that interest money generated from bank deposits and savings are not lawful according to the Shari'ah (it is Riba). In my case, I have been earning that illicit money for long years from a deposit account and, later on, from a savings account, now both closed, al hamdou lillah.  I am willing to get rid of all the interest money collected during that long period of time from those accounts. At this stage, I have three main questions:1- According to the Shari'ah, am I required to get rid of all the interest money that I earned during a period of time that go back to the 1980s?2- If so, how can I calculate the total amount of that money, especially if we know that the interest money earned year after year had been added to the principal and had produced itself more interest? What if I could not get the exact amount of that intere st money, because of the long time gone from the very first day of opening that riba-based account?3- Whatever the answer might be, to whom, or say, to what kind of people should I give that interest money? Could I give it to beggars, disabled men and women? simple persons in need? Is it necessary that those people be Muslims?I am waiting impatiently for your guidance and ask you please that your answers be as clear and comprehensive as possible so as to help me to purify my earnings for good.Thank you and may Allah reward you all.

a/a could you please answer the following question to the best of your knowledge and email me the answer. can bank interest money be spent on buying resources for public schools in UK or other countries in the world ? j/a Z Hussain (Sister) Birmingham UK

Dear scholars, as-Salamu `alaykum. Many people nowadays are tackling the fatwa of the Islamic Research Academy in which respectful scholars legalize interest on money deposited in banks. They say that determining the percentage of interest is subject to special economic studies. That is to say, it is not fixed but fluctuates according to prices and so on. The percentage of interest, they claim, is also subject to the principle of public interests. But really, I’m not fully satisfied with this fatwa. So what is your opinion on this issue?

Interest-based loans are not permissible in Islam, not to initiate higher education and not for any other purpose. Interest transactions are most condemned by God to the extent that He threatens a war from Him and His Messenger to those who do not quit such affairs. This can be known from the Qur’an 2: 279.

Salaam alaykom,I started a co mpany last year. i could not pay income tax that year because it was my first year. Therefore I had to keep it in the bank. This year I will have to pay the income tax of last yaer with interst. My question is can i use the interest the bank gave me to pay the interest the tax authorities will charge me with?And a second answer is piggelatine haram?Thanks alot for the answers.

As-salamo alaikom, when I got married about 2 years ago, my wife had about 2000 pounds to pay as a student loan. so, i paid this loan off for my wife as i had some savings. I used the interests that i had on my savings to pay the interests of her loan then i paid the actual loan with my own money. was that right? can i pay interest with interest. keeping in mind that i do not accept interest and i would have normally gave it away.

Asalamualikum Respected ScholarsMy brother who earns a living previously got himself into an interest accumulated debt.  I helped him pay some of that debt and he now owes me that money.  My brother still also has a little of the interested accumulated debt to pay off.  I also lent him money to make a pu rchase for a car, the money which he still owes me.  He is also struggling to pay his rent.I had some previous savings in my account which built up some interest which I know is not halal for me to use.  My first question is can I use this interest to pay off my brother’s debt (interest accumulated debt)?My second question is can I give my Zakah to my brother for him to pay of his rent and to pay off the people whom he owes money, including me. (So in effect if I give him my Zakah he would only be giving it back to me for the money he owes me)I hope that my questions are clear and inshaa’Allaah you can help answer these questions.Jazak’Allah Khairun

Salamu Alaykom, I would like to ask if it is possible to deal with bank interests for Muslim minorities in the United States to their best interest, especialy that there are no Islamic financial institutions currently can give loans for business. Could we apply the fatwa of Imam Abou Hanifa in non Muslim lands permitting Muslims to take interest. The system here is built in a way to assure almost no harm on business owners or investors when they can not pay. Jazakum Allah Khira

Asalaam-o-alaikum Dear Scholar, I have a couple of questions. My first question is, is the interest from a savings account with a bank, acceptable? I heard that considering that the bank is using our money and the interest to us is a very small portion of their profit, therefore it can be accepted, but I am still unsure. Secondly, i took a loan out of a few thousand pounds a few years ago. As well as having that debt and paying for the repayments every month, i also had some personal savings. I wasn’t aware of the fact that we could minus the debt before calculating the zakat. And from a last couple of years, when giving out zakat, I haven’t been deducting the debt when calculating my zakat and have been paying from both, my debt amount and savings amount. My question on this is, can I now deduct that extra amount I paid in my last zakat from my next? Thank you for your time and help.

What is Islamic rule regarding working invesment companies in the west. I recently graduated from University and I am un able fo find job except these companies.

is taking a personal loan with fixed inerest and fixed monthly repayments for the whole period of the loan repayment considered userious(riba)?For example:the loan is for £20000, the rate is 6.4%, monthly repayments £394.72, the number of re payments 59, the total amount payable £23288.48

salaam, i recieved compensation in september,which included some interest money.(£160).. could you please advise me on what to do with the interest money?jazakallah khairMa'salaamah

Is interest based transaction allowed in a country like India, specially for housing purpose and educationRegards In India it is very difficult to buy a house without a loan. If one buys it outright the income tax department will take the person's toll

Asalamualiakum ,Please  let me know what is islamic ruling on taking Loan from a BANK and using it to buy  property or car.taking into account the point that  i will not able to arrange huge amount of cash to purchase a CAR or HOUSE.

Assalamu AlaikkumMay allah bless you for your valuable service. My question is regarding interest in Credit Card.I Purchases Gold thru my Credit Card from Dubai and hope torepay the money in 55 days credit period.But unfortunately i wasunable to pay and Bank charged me 45 UAE Dirhams as interest.Now i am able torepay it and i want repent to the Almighty, what i paid as interest.Kindly give me your advice for repentance. jazakumullah khyran..ShihabDubai

Since two years, my husband and I, we have stopped all interest transactions of every kind, whether bank or mutual fund or whatever and deal only with Sharia-based institutions. We have, of course, made tauba for our previous sins in this regard. Is there anything-else required of us to do to make full amends for our sins so that Allah forgives us completely and the Day of Judgment we are free from this major sin. Thank you for your reply

Respected scholars, as-salamu `alaykum. Why is interest prohibited? It would have made life so much easier. Jazakum Allahu Khayran.

Can i get rid of bank interest through charities such as Oxfam? Regarding bank interest, You state that this money can be donated to charities (Poor) or for public projects. I for example get rid of my money through charities such as Oxfam. My intention is that this is Interest and unlawful for me, i always get a monthly statement of my bank balance and then get rid of the interest. Is this ok for me. Some say to me i am not allowed to donate this to the poor or muslim charities since its unlawful and must be used for road maintenance etc. I cant find any organisation in the uk carrying out public projects so i chose Oxfam to get rid of this. Is this ok for me to do. I have put the effort to prevent interest coming into this account and it has so far failed, I will inshallah move to a islamic bank account. In the meantime is what i am doing accepted in islam, especially that many of us face many hardships living in a non muslim country.

Dear,      I would like to know the difference between interest and profit. can you please clearly distinguish the two for me.

Es selamu alejkum! I want to know if it is forbidden to borrow money from a bank without paying interests for it. Jazakallahu hajren!es selamu alejkum

Dr. Monzer Kahf, a prominent economist and counselor, states the following: “If interest, whether at a fixed or variable rate, is given on your savings, this interest is certainly Haram and when you withdraw any amount from this Provident Fund, you will need to calculate the amount of interest added to your account and distribute

Respected scholars, as-salamu `alaykum. I have a question regarding riba (Arabic for: interest or usury): Why does the Qur'an every time it mentions riba, addresses taking, not giving, interest? Jazakum Allahu Khayran.

Respected scholars, as-salamu `alaykum. In Australia, most members of the Muslim community are purchasing cars and homes through commercial bank loans and mortgages. This is justified in two ways: First, one has no option in a Western country that does not have Islamic banking - and hence you need to borrow to be able to acquire a car and a home. Second, the prohibited interest refers to excessive interest over and above an acceptable rate (usurious rate). Interest at or below the average is acceptable. Please comment on the above, especially on the notion of interest and riba in Islam.also, please comment on what riba encompasses (interest, excessive profiteering, etc). Jazakum Allahu khayran.

As-salamu `alaykum. My question is on usury.Allah has said in the Qur'an that usury is totally haram, and that anyone who defies this is in direct defiance to Allah. I have read and heard many scholars advising people to give away interest money earned in conventional banks to charities and the like without any intention of reward.Is that not already defying Allah?also, if interest is haram to consume, how can one give his or her poison to someone else?I have also read an article in which a scholar argues that if the interest money is left with the banks, it will strengthen the banks. Does Almighty Allah need your help to take that money to another place? Is that not defying Allah? Should it not just be left alone for Allah to decide the future of it or the financial institution? Jazakum Allahu khayran.

I have been working in Dubai for almost three years now and I have bought a house in Sri Lanka. The deal, however, was made through a bank, which gives loans on interest. Is such a deal permissible in Islam?

1. I am an engineer working for a private American consulting engineering firm that is owned by 6 partners. The company designs construction plans for projects such as highways for public clients and residential developments for private clients. The company does not do construction. The company pays me a salary like other employees.As part of the benefits of advancement in this type of company, the company gives bonus money to the good employees. The company can keep a portion of my bonus money and put it towards ownership of the company to allow me to become a small partner. Since this is an American company, sometimes they buy equipment like computers or cars with loans and pay interest. The company also has a line of credit with a bank which means when the company does not have enough cash flow to pay the salaries of the employees in a certain month or week, they borrow from the bank and pay it back with interest.Is it halal for me to become a partner in this company with the bonuses they save for me? Is it halal to become a partner in this company if I purchased a portion of it with my own money and without the bonuses they save for me?

Respected Scholars, As-Salamu `alaykum. I would like to know whether I can pay my annual income tax with the interest I get on my saving account. Jazakum Allah khayran.

Dear scholars, as-Salamu `alaykum. My father has taken a loan on interest, as we have no other means available. We have property but are not willing to sell it. I am a doctor, and in sha’ Allah I will be earning in a couple of years. Someone said that taking a loan in a non-Muslim country is permissible. Is that right? Jazakum Allah khayran.

I am living in United States and I have a bank account. I don't take interest but just I am thinking why should I leave that interest money with bank, why not I use it to give Sadqah to poor people. Is it permissible to use bank interest in Sadqah?

As-Salamu `alaykum. I have sold a property with interest. I wanted to contribute it for building a Mosque, but lately I have learned that this money is haram. What shall I do?

As-Salamu `alaykum. I have been thinking to set up a company where I can provide interest-free mortgages to the Muslim Ummah. I have spoken to some people and they told me it would only work if a house could be bought for the lender and then rent it to him till he pays up the whole loan. Obviously, I need to look into the future value of the property and also I would like to make money so I can help other people. Could you please guide me, how this type of system can work in the west so I can start something quickly. I know there are so many needy people out there and I would like to help them.

Are Muslims allowed to take interest that banks pay on their money? As we know, banks in US pay interest, so what should Muslims do with the interest ea rned on the money they keep in these banks?

I would like to know about Riba or usury in Islam. Allah Almighty says in the Qur’an that “those who devour usury will not stand except as stands one whom the Satan by his touch hath driven to madness.” (Al-Baqarah : 275). The Qur’an describes the grievous sin of dealing in usury by describing those who deal in it using the word ‘devour’, what about a victim of this action? Is it similar to devouring usury or it is not sin? As a Muslim I can't run away from taking a loan from bank, as we know that bank will charge us an interest. Are we sinners or not? And how can we escape from such bad dealing that is prohibited in Islam?

As-salamu `alaykum. Suppose that I have a bank where I save my money. The problem is that they put interest money into my account. I know to receive or give interest is forbidden in Islam, but I know that I can take out the money and use it for other purposes. I believe I can't donate to the mosque, but please confirm this. Can I give it to the following: (1) orphanage school, (2) p oor people, (3) a person who is indebted? Can I add some of my own money to the interest money to feed the poor? What if the interest money is so much that I can feed 100 poor people—can I use it for that purpose? The reason I don't want to give them in cash is because I have the fear that they might use it for the wrong purpose.

Bismillahirrahmanirrahimassalamu aleykum wa rahmatullah Dear ALL, We have got such a situation here,the question is related about what kind of service a company can provide to banks in Azerbaijan, since there is no islamic bank here. First of all, banks in Azerbaijan has two kinds of function. First, customer service of cash withdraw or etc. Second, credit and loans (RIBA).therefore the issue of banks creadit and having interests making us think about what kind of service can we provide to them, since we have companies and organizations too. Some banks are requesting our services. For example, we have a large company, under this we have got ofice furnitures stores, audit and accounting services, other sales stores. If we assume that any bank wanted to get one of ours services, can we offer them any of our services? Is it halal? Or is there any conditions and rules?The other question is, if a person got an offer to work only in bank, but not in a credit section, but in customer service section (cashier), is it possible?

As-Salamu `alaykum. Is it permissible to pray in a mosque, which is built by money gained from interest (riba)?