Some scholars say interest is halaal
Mu' meneen
Brothers and Sisters,
As Salaam Aleikum wa
Rahmatullahi wa Barakatuh. (May Allah's Peace, Mercy and Blessings be
upon all of you)
One of our
brothers/sisters has asked this question:
salaam,
since i got the answer that working in such financial
institutions which deal in usuary (sood) like banks etc is haraam ,i was quite satisfied by your answer but one of my teacher
who is very relegious and highly educated man,has altered my mind by saying that doing jobs in banks
are not haraam,he gave me some points which are preety solid and make one think over it again and again,so once again i am in
dilemma (because i want to take "BANKING"
as a majors in my MBA and second there is a job in bank for me right after
completion of MBA),so i am quoting some major points,please kindly help me out by the grace of ALLAH
,those points are as follows :-
1) usuary is what u
get a certain amount or ratio of profit without any workin/toiling
while in banks u as an owner and employees work (like decision making,planning,accounting ,marketing alike other finacial institutes)is done
2) In entire world,
business sector cannot survive without taking loans(no matter what is the ratio
of it,mean u invest 60% while u take loan 40%),and no
one under any circumstances gives u loan without charging intrest
on it ,specially banks cannot afford it since they have to pay to their
employees and sustain other organizational facilities.
3)If one who
deposits some money in bank has to get intrest(or
profit) not at fixed ratio according to islamic rules,but banks cannot afford this because if they do
business and give away money to other industries at fluctuated profits rates
rather fixed rates ,banks will never be able to run their functions because
industries and organizations have thousands of ways to remain showing losses in
their balance sheets ,in this way banks will put themselves at stake in this
way...they had to adopt fixed rate
4)Our whole country is being run on loan taken at highly
fixed rates of interests and furthur given to other
governmental and non governmantal institues
at fixed rates,so wont u consider the employees of
government and non government organizations earning haraam
in shape of salaries?in this way all soldiers and
even president and prime ministers are getting pay from intrest
oriented loans given by world bank and paris club?
I would highly
appreciate your reply,plz dont forwrd old forwarded stuff
relating to such topics.I could only pray for u ,only
ALLAH can give u the best jaza...JAZAQALLAH
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Answer:
Some scholars say interest is halaal
In the
name of Allah, We praise Him, seek His help and ask for His forgiveness.
Whoever Allah guides none can misguide, and whoever He allows to fall astray,
none can guide them aright. We bear witness that there is no one (no idol, no
person, no grave, no prophet, no imam,
no dai,
nobody!) worthy of worship but Allah Alone, and we bear witness that
Muhammad(saws) is His slave-servant and the seal of His Messengers.
Your Statement: since i got the answer that working in such financial
institutions which deal in usuary (sood) like banks etc is haraam ,i was quite satisfied by your answer but one of my teacher
who is very relegious and highly educated man,has altered my mind by saying that doing jobs in banks
are not haraam,he gave me some points which are preety solid and make one think over it again and again Beloved
Brother in Islam, Allah and His Messenger (saws) have unequivocally declared riba or usury as haraam. No matter what any scholar says,
and no matter how logical he may make his argument; interest is a part of riba, and will always be considered haraam
in the sight of Allah Subhanah.
The Quran
condemns riba or usury in extremely strong terms, and let no scholar
or economist or the modern educated muslim tell you
otherwise!
Allah says in the Holy Quran Chapter 2 Surah Baqarah verse 274-276:But those who devour riba
become like the one whom Shaitaan has bewitched and
maddened by his touch. They have been
condemned to this condition because they say, Trade is just like riba, whereas Allah
has made trade halaal and riba
haraam.
Henceforth, if one abstains from
taking riba after receiving this admonition from
his Lord, no legal action shall be taken
against him regarding the riba he had devoured
before: his case shall ultimately go to
Allah. But if one repeats the same
crime even after this,
he shall go to Hell, where
he shall abide for ever! Allah deprives
riba of all blessing and develops charity, and Allah does not
like an ungrateful, sinful person.
Allah says further in the Holy Quran
Chapter 2 Surah Baqarah
verse 278:O Believers!, fear Allah and give up that riba which is still due to you, if you are true believers. But if you do not do so, then you are warned of the declaration of war against you
by Allah and His Messenger!
Allah says in the Holy Quran Chapter 4 Surah Nisa verse 161:That they took riba, although they were forbidden. And that they devoured mens substance wrongfully. We have prepared for those among them who
reject faith a grievous punishment (of Hell Fire)!
Thus, brother,
in answer to your specific question,
the Holy Quran is extremely clear in its
condemnation of riba and there should be no doubt
in the believers mind about it. There
are some modern thinkers who have tried to justify the current concept of
interest as legal, but the Quran leaves no doubt about it in the least that riba is haraam and Allah and
His Messenger (saws) have warned of a declaration of war against those who
practice riba.
For a believer,
this should be enough incentive to stay far away from riba.
Al-Tirmidhi Hadith
2829 Narrated by Ali ibn AbuTalib
Ali heard Allah's Messenger (saws) curse those who
took usury, those who paid it, those who recorded it, and those
who refused to give sadaqah.
Your Statement-1) usuary is
what u get a certain amount or ratio of profit without any workin/toiling
while in banks u as an owner and employees work (like decision making,planning,accounting ,marketing alike other finacial institutes)is done Beloved brother, when Allah and
His Messenger (saws) have declared a thing as haraam;
all roads that lead to or associate or facilitate the haraam
will also be considered forbidden.
Allah and
His Messenger (saws) have declared intoxicants like alcohol, drugs, etc. as haraam. Now, if
someone who himself abstains from consuming intoxicants, but is involved in the
making, planning, selling, and marketing of the intoxicants just like any other
business; would we still call that a
legal or halaal business?? No brother, the business and whatever the person
earns from the haraam business will also be
considered haraam.
Your Statement-2) In entire world,
business sector cannot survive without taking loans(no
matter what is the ratio of it,mean u invest 60%
while u take loan 40%),and no one under any circumstances gives u loan without
charging intrest on it ,specially banks cannot afford
it since they have to pay to their employees and sustain other organizational
facilities.
Islam
does not encourage or reward the riba based system
of finance, which is unfortunately so prevalent in the world today. Islam encourages the people to invest their
money for the betterment of society. The
interest-based financial system of the world today encourages the people to
hoard money, and have created interest-based financial institutions to supply
this hoarded money on interest to the person who is willing to put his time and
energy into a business. Whether the
business thrives or fails, the lender always makes money without taking active
part in the business itself. This
interest based system of the world has developed a scenario where the rich get
richer, and the poor get poorer!
The
non-interest based Islamic system of commerce encourages the fair distribution
of wealth and rewards those who are willing to actively participate in the
risks and rewards of the business.
Your Statement-3) If one who
deposits some money in bank has to get intrest(or
profit) not at fixed ratio according to islamic rules,but banks cannot afford this because if they do
business and give away money to other industries at fluctuated profits rates
rather fixed rates ,banks will never be able to run their functions because
industries and organizations have thousands of ways to remain showing losses in
their balance sheets ,in this way banks will put themselves at stake in this
way...they had to adopt fixed rate
Firstly,
Islam does not encourage the system of hoarding money by a few individuals in a
society so that they may be allowed to increase their wealth without any risk
whatsoever, at the expense of the general society. Besides the Islamic system of commerce
protects the interests of all the members of society, and not the functioning
and protection of the banking system alone!
Your Statement-4) Our whole
country is being run on loan taken at highly fixed rates of interests and furthur given to other governmental and non governmantal institues at fixed rates,so wont u consider the
employees of government and non government organizations earning haraam in shape of salaries?in
this way all soldiers and even president and prime ministers are getting pay
from intrest oriented loans given by world bank and paris club?
Sunan of Abu-Dawood Hadith 3325 Narrated
by Abu Hurayrah
The Prophet (saws) said: A time is certainly coming to mankind
when only the receiver of usury will remain, and if he does not receive it,
some of its vapour will reach him.
Unfortunately, we live in such
times today. The Prophet (saws) said
that a time will come,
when even if one tries his utmost to stay away from riba, the whole
society and surroundings will be so much engrossed in riba, that some of its vapour
or dust will reach this pious person.
Indeed it
is unfortunately true that most of the third world and even developing
countries are bogged down with loans and therefore subservient to the policies
and commands of the rich nations who have created financial institutions like
the World Bank and the International Monetary Fund. A huge percentage of the GDP of these poor
nations is spent on servicing the loans they receive from these financial
institutions; which make sure that these poor nations never ever come out of
the debt trap and thus forever remain subservient to the whims and fancies of
the rich nations who in effect control these international financial
institutions.
The
interest-based conventional financial system of the world is based on
oppression and injustice and is bound to fail.
The Islamic system of commerce is based on the Perfect and Absolute
Wisdom of Allah Subhanah, the Lord and Creator of the
Worlds.
Beloved
brother, Islam offers an alternative to the conventional unjust and biased form
of commerce and finance which is based on equality and fairness for all members
of society. Modern Islamic financial
institutions have come a long way since the 30-40 years they have been
established, and they probably have a long way to go and improve, to compete
with the conventional financial institutions of the world.
You may
very well do your major in finance and banking in your MBA education and join
the brothers who are striving to present a financial system based on Shariah compliance to the world. If you join the Cause and keep your trust and
faith in Allah Subhanah, He will, if He Pleases, reward you
generously from His unending bounty in this world and in the Hereafter.
If one
trusts, obeys, and follows the guidance and commands of
Allah and His Messenger (saws), he can
be assured of never ever being misled;
but if one believes, obeys and
follows any other guidance, other than
that of Allah and His Messenger (saws),
he can be assured of being led astray.
Whatever
written of Truth and benefit is only due to Allahs Assistance and Guidance,
and whatever of error is of me. Allah
Alone Knows Best and He is the Only Source of Strength.
Your Brother in Islam,
Wister