Topics: Islamic Finance

The Islamic Ruling on Using Interest Money to Repay Debt

Repaying Debt: The Prohibition of Using Interest-Based Funds

Question: Can a debtor use interest money to pay off their debt if the debt is very large and there seems to be no other way to repay it?

Answer: A debtor cannot use interest money to pay off their debt. Interest (riba) is haram (forbidden) and is not permissible for anyone, including a debtor. Often, people take on more debt than they can handle, which is why it is said that one should live within their means.

However, while a debtor cannot use interest money to repay their debt, they can seek Zakat (charitable donations) to pay off their debt, which is permissible.

Sheikh Maqbool Ahmed Salafi

Jeddah Dawah Center – Al-Salamah – Kingdom of Saudi Arabia

Author: IslamicHelper

IslamicHelper

Recent Articles

Hashr on Day of Resurrection Explained

The Gathering (Hashr) and Resurrection (Ba'th) on the Day of Judgment "The Righteous Answers to Wise Questions" — (Part 17)… Read More

2 weeks ago

Souls in Barzakh: Ranks After Death

In Part 16 of “The Righteous Answers to Wise Questions,” Allamah Zaid al-Madkhali explains the various abodes of souls in… Read More

2 weeks ago

Scenes of Day of Resurrection in Islam

In Part 15 of “The Righteous Answers to Wise Questions,” Allamah Zaid al-Madkhali details the major scenes of Qiyamah —… Read More

2 weeks ago

Best & Worst Gatherings in Islam

In this part of “The Righteous Answers to Wise Questions,” Allamah Zaid al-Madkhali explains the most virtuous gatherings — sitting… Read More

2 weeks ago

Who Can Skip Ramadan Fasting? Qada & Fidyah Rules

Who Can Skip Fasting in Ramadan: Qada and Fidyah Explained Question: For which people is it permissible to skip fasting?… Read More

2 weeks ago

Shariah Ruling on Rape

In Islam, suicide is strictly forbidden (Haram) even to protect honor, as life belongs to Allah. A woman forced into… Read More

2 weeks ago