Credit-Card Debt

QUESTION:

I used an FNB Credit Card in my business around the year 2005. The business subsequently closed down around 15 years ago due to financial problems. The initial amount owed was around R120 000, but with interest accrued, it accumulated to R150 000.

The current law has allowed for credit-card debt over 5 years old, either to be prescribed or written off. I am currently not in a position to pay this debt. What is the ruling from an Islamic perspective in this regard ?

ANSWER:

In the light of Shari’ah, when you owe someone money, it is necessary that you pay back every cent that is owed, irrespective what the law of the country states, as we are governed by Islamic Shari’ah and not any man-made law.

As such, it will still be necessary upon you to pay the amount back to the bank. Yes, if the bank voluntarily writes off the debt or overlooks a certain portion, then that will be permissible.

Furthermore, it should be borne in mind that taking a loan on interest is impermissible. Hence, it is necessary that you seek repentance and try to settle the debt as soon as possible.

لَا يَحِلُّ مَالُ امْرِئٍ مُسْلِمٍ إلَّا بِطِيبَةِ نَفْسٍ مِنْهُ

(كنز العمال #397)

The wealth of a Muslim is not permissible except that he gives it with a happy heart.

لا يحل لامرئ مسلم أن يأخذ مال أخيه بغير حقه

(كنز العمال # 30343)

It is not permissible for a Muslim to unjustly take the wealth of his brother.

قال الفقيه – رحمه الله تعالى – لا بأس بأن يستدين الرجل إذا كانت له حاجة لا بد منها وهو يريد قضاءها ولو استدان دينا وقصد أن لا يقضيه فهو آكل السحت كذا في القنية.

(الهندية 5/366)

 ALLAH TA’ALA ALONE IN HIS INFINITE KNOWLEDGE KNOWS BEST!

ANSWERED BY:

Mufti Abdul Kader Fazlani

Date: 27 Muharram 1447 / 23 July 2025

CHECKED AND APPROVED BY:

Mufti Yacoob Vally Saheb