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

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