Interest

Interest, in finance and economics, is payment from a borrower or deposit-taking financial institution to a lender or depositor of an amount above repayment of the principal sum (that is, the amount borrowed), at a particular rate. It is distinct from a fee which the borrower may pay the lender or some third party.

111212

Interest . Investment

If a company's core business is Halal but they have interest income reported in their financial statements, is it permissible to buy their shares in the absence of clarity whether that interest income is from bank or lease agreement or from other sources?

Sayyed Mohammad Al-Musawi, Sayyed Mohammad al-Musawi is originally from Iraq and heads up the World Ahlul Bayt Islamic League in London. Other than being involved in various humanitarian projects, he frequently responds to... Answered 4 years ago

Yes you can buy shares of such company as far as their business activities are lawful according to Islam and you don't know that they take interest from Muslims in usury.

Wassalam.

112352

Interest . Bank . Non-Muslims

I understand that a Muslim is allowed to receive interest from non-Muslims who give it as part of their usual financial dealings. On this basis, is it also allowed to buy shares of non-Muslim banks?

No. There is a big difference between these two situations. Receiving interest from non Muslims as part of their practice, does not mean that you can invest your money in the bank as a share holder. Muslim is not allowed to buy shares of any company indulged in unlawful (Haraam) business.

Wassalam.

105051

Interest

Is it allowed to pay rent to someone whose main business is lending money on the basis of interest?

As far as you are renting his property, you must pay the rent to him, no matter what is his business.
Wassalam.

104598

Interest . Investment . Stock . Loan

Is it allowed to invest in stocks of companies that are financed by interest-bearing loans even though the company produces Halal products?

If the company is dealing with Halal products only and the finances were taken from non Muslim banks or financial institutions, then it is allowed to invest in its stocks.

Wassalam.

101730

Interest . Loan . Western Society . Investment

As someone who lives in the West, can I buy shares of American companies that have debt and pay interest on their loan that is taken to finance or expand their business?

It is allowed to buy shares of any company which does not do Haraam business like alcohol, gambling, pork etc.

Company with whole allowed business but taking loans from the non Muslim banks, does not make the company Haraam.

Wassalam.

80114

Husband . Bank . Interest . Employment

My husband works for a bank. We keep arguing about his job as it is based on interest but he does not wish to change it. Is it permissible for a wife and children to eat and spend from this money as I don’t want to leave him?

Working in interest in not permissible in Islam, but banking jobs include trade, investments, import and export etc which are permissible. If your husband works only in interest and nothing else, then his work is fully unlawful and his income is unlawful, but if he works in interest and other lawful jobs, then his income include lawful money from which you can utilize.

Wassalam.

80247

Bank . Interest

I wish to donate bank interest credited by my bank on the understanding that I am not allowed to utilize it. Can I deduct bank charges and give away the net amount?

Yes you can do so although it is not forbidden to utilize any amount added on your money if you did not put a condition of usury or interest.

Wassalam.

74075

Interest . Bank

Is it allowed to take interest from non-Muslim banks? If so, how is it any different from a situation where alcohol was offered by a non-Muslim without being demanded?

Alcohol is absolutely forbidden for us as Muslims. Even if we meet or work with non Muslims who drink alcohol, we are always not allowed to drink alcohol.

Interest has different situation. It is not allowed between Muslims, but when they deal with Non Muslims who usually take interest from Muslims, the Muslim scholars say that Muslim is allowed to receive interest from Non Muslims who give it as part of their financial dealings.

Wassalam.

75703

Bank . Interest

Can I know the reason why it is allowed to take bank interest from non-Muslim banks? What is the evidence for it from Shia and Sunni scholars?

We have many Hadeethes in our books that it is allowed to take interest from non Muslims who consider interest as permissible for them.

You need to follow the verdict of the Marji' of Taqleed.

Wassalam.

74791

Loan . Bank . Interest

If we are going through financial difficulties, are we allowed to take a loan from any Islamic bank that does no interest?

Seyed Ali Shobayri, Seyed Ali Shobayri is of mixed Iranian and Scottish descent who found the path of the Ahlul Bayt (a) by his own research. He holds a BA in Islamic Studies from Middlesex University through the... Answer updated 5 years ago

Bismillah,

Asalamu Alaykom,

Such loan is permissible to take. Some scholars also allowing taking loans with interest if it is absolutely necessary and the person is in much hardship.

May Allah grant you success

70816

Interest

Can I give the amount of money that I received as interest from my bank account to my poor father to repair the toilet in his home?

If your father is poor, you must provide him with whatever he needs. It is compulsory on you to bear the expenses of your family (wife and children) including your parents if they are in need.

Money given to you with out your condition, by non Muslim bank can be either used by you or given t the poor.

Wassalam.

71226

Interest . Loan

Is it permissible to charge interest on money loaned to someone?

Abbas Di Palma, Shaykh Abbas Di Palma holds a BA and an MA degree in Islamic Studies, and certifications from the Language Institute of Damascus University. He has also studied traditional Islamic sciences in... Answered 5 years ago

as salam alaikum

usury, or charging interest on money loaned, is one of the major sins and therefore it is not permissible.

With prayers for your success.