Debtor paying more than the loan

Nov 5, 2023 | Banking/ Interest

QUESTION:

I had a client who had owed me a certain amount of money and paid me after a long time. Due to the delay, she decided to give me a certain amount extra than what was owed. Upon enquiry, she said that the balance was with interest and “love” as a gesture of being kind. Is this extra money considered interest, and if so, should I dispose of it?

ANSWER:

The extra amount received from the debtor is interest and should be given out in charity to recipients of Zakaat or poor non-Muslims without any intention of reward.

 ألا ترى أن ربا النساء حرام لشبهة مبادلة المال بالأجل، فلأن تحرم حقيقة أولى

البناية ص26 ج10  

وَقَوْلُهُ: رِبًا أَيْ حَرَامٌ، أَيْ: فَضْلٌ خَالٍ عَنْ الْعِوَضِ (المبسوط للسرخسي ص111 ج12)

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

ANSWERED BY:

Mufti Mohammed Desai

Date:- 19 Rabi-ul-Aakhir 1445 / 04 November 2023

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