Riba, Mortgage, Credit Cards, Bank Loans, … is it permissible?
Riba according to correct Islamic understanding is “loan sharking”-where the interest is so high (such as 10% daily) and grows exponentially such that the individual is never able to get out this relationship. This is a form of slavery which the Prophet PBUH did not want for his nation. Modern banking system home loans create wealth for those who could otherwise never own a house. Banks take a risk by providing a huge chunk of the total cost, and charge a relatively small amount for it, while waiting for decades to get their investment back. And if the individual declares bankruptcy or dies, the loan is not passed on as an enslavement to (his/her) children. Today even a family member would not make such a bad investment. The idea of property tax is inspired from the concept of Zakaat. People who hold on to assets (cash, gold, land) break the circulation of money and take away the opportunity for others to use them. To counter this, they are forced to pay a tax.
There Shaykh Nurjan explains how this is a mercy in our age to allow Muslims and others from lower or middle classes to be able to become property owners. Property ownership strengthens a community.
A note on the subject:
أَطِيعُوا۟ ٱللَّهَ وَأَطِيعُوا۟ ٱلرَّسُولَ وَأُو۟لِى ٱلْأَمْرِ مِنكُمْ
“O you who believe, obey Allah and obey the Messenger and those in authority among you.”
– Holy Qur’an 4:59
From the Teachings of Shaykh Nurjan (q):
Alhamdulillah the beauty of following a guide in Islam is that they make ‘ishtihad’ (‘principled Islamic reasoning’) and then we as followers are free of any responsibility before Allah (awj). This is an immense mercy granted from Allah awj and the holy Prophet (s) to us. Ahlul Basira can give reasonings different than scholars of the Books, with an insight and wisdom into the real-life circumstances that we are facing today in the 21st Century. Be happy – we have been granted a Divine rope in the most turbulent time this Ummah has ever faced – the Akhira Zaman. Do not underestimate this time; and if a true scholar of ‘Baasira’ and ‘Qurb’ (nearness to the Holy Prophet (s)) gives a ruling, be thankful. Alhamdulillah there is an immense wisdom and mercy in such rulings. Many who choose to follow external scholars will have a more difficult road ahead of them in the world today, without such mercies of the wise. Wa min Allah at-Tawfiq
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Recorded : 20210211
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