Q: Is one sinful while studying with a Interest (ribā)-based student loan? And will one be will considered as consuming ribā? الجواب حامدا ومصليا ومسلما ومنه الصدق والصواب A: Under the current student loan agreement the student does not consume ribā. Rather, the student agrees with the Student Loan Company, that he will pay […]
Read more...Tag: interest
My father said that if he gives me money as a gift, I must buy a house. Is this a type of riba statement?
Q: My father said that if he gives me money as a gift, I must buy a house. Is this a type of riba statement? الجواب حامدا ومصليا ومسلما ومنه الصدق والصواب A: If your father gives you some money and stipulates that you must purchase a house therewith, irrespective as to whether the […]
Read more...Is it permissible to take an offset mortgage?
Q: Many conventional banks have products called ‘Offset’ Mortgages. These are mortgages whereby: If i have a mortgage of 50K and savings of 50K the savings offsets the interest on the remaining mortgage value. So in the above case 50K mortgage, 50K savings means zero interest. Hence, is it permitted to take a conventional mortgage whereby […]
Read more...Can someone stuck in a ribā-based loan give voluntary charity, or do they need to pay off the ribā-based loan first?
Q: Can someone stuck in a riba-based loan give voluntary charity, or do they need to pay off the riba-based loan first, given that is a duty, and thereafter resume with giving voluntary charitable donations? الجواب حامدا ومصليا ومسلما ومنه الصدق والصواب A: One who has taken a haram loan or a conventional mortgage should […]
Read more...Is Working as an External Auditor Acceptable?
Q: I am working as an external auditor. I have always had the conception that working for a bank is not lawful dealing in interest. I am currently looking for potential jobs and there are some well paid jobs being offered by some of the leading banks in their internal audit departments which look after […]
Read more...Is it haram to pay off interest I unknowingly accumulated?
Q: I have accumulated an interest based debt of which I had no previous knowledge. Is it haram for me to pay off this interest or am I allowed to pay it off in order to have a ‘clean slate’ so to speak. الجواب حامدا ومصليا ومنه الصدق والصواب A: You should first attempt to […]
Read more...Are you allowed to give money to pay off someone’s debt while knowing that part of that is likely to go towards paying off interest?
Q: Are you allowed to give money to pay off someone’s debt while knowing that part of that is likely to go towards paying off of interest? The recipient of the financial help is a non-Muslim. الجواب حامدا ومصليا ومنه الصدق والصواب A: In principle, if you gift or lend someone some money that […]
Read more...Can rules of Ribā/usury relate to exchanging modern day goods such as mobile phones?
Q: Does ribā only relate to money and food items, or can modern day goods come under this too? Eg swapping a contemporary item -such as a mobile phone of a lower value for one of a higher value? الجواب حامدا ومصليا ومسلما ومنه الصدق والصواب A: Ribā in trade relates to the sale […]
Read more...