Using interest funds to settle debt

QUESTION:

If a person is in debt, can another person help to pay those debts with interest money (and without an intention of attaining reward)?

ANSWER:

Firstly, it is not permissible to intentionally accumulate interest money. However, if interest funds accrued in one’s savings account unintentionally, then one should dispose of the funds immediately by discharging it to recipients of Zakaat, or poor non-Muslims without the intention of reward.

In the queried scenario, if the indebted person qualifies as a recipient of Zakaat, then he may be assisted with interest funds. He should take possession of the funds and thereafter use it to offset his debt.

عن عبد الله، قال: «لعن رسول الله صلى الله عليه وسلم آكل الربا ومؤكله (صحيح مسلم)

ان الحيلة ان يتصدق على الفقير ثم يأمره بفعل هذه الأشياء (الدر المختار ج٢ص٣٤٥)

فتاوي دار العلوم زكريا ج ٥ص٤٠٠-٤٠١

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

ANSWERED BY:

Maulana Ahmed Saeed

Date:- 12 Rabi-ul-Awwal 1445 / 28 September 2023

CHECKED AND APPROVED BY:

Mufti Mohammed Desai Saheb