Sheikh Awaida Othman, Fatwa Secretary at the Egyptian Dar Al-Ifta, addressed a question about benefiting from money resulting from a transaction suspected of involving riba, explaining the relevant distinction between the original amount and any prohibited increase.
Is Lending Money With Interest Between Individuals Considered Riba?
Sheikh Awaida Othman explained that lending money with an agreed interest between individuals is considered prohibited riba according to the established position of Islamic jurists.
He stressed the importance of avoiding such transactions because they may involve taking advantage of people in financial need.
He also distinguished between interest-based lending between individuals and dealing with banking institutions, explaining that certain banking transactions may be subject to different considerations and circumstances.
Is the Principal Amount Prohibited or Only the Increase?
The Fatwa Secretary explained that the increase resulting from the loan is the prohibited portion, while the original principal does not become prohibited simply because an impermissible increase was attached to the transaction.
Therefore, the ruling concerns the prohibited increase rather than automatically making the entire amount unlawful.
Are Children Sinful for Money Spent on Them by Their Father?
Sheikh Awaida Othman clarified that children do not bear the sin of their father's transaction when he spends such money on them.
The responsibility for the prohibited transaction falls on the person who entered into it, meaning that children are not held accountable for what their father did.
What Should Someone Who Engaged in Riba Do?
The Fatwa Secretary stressed that anyone who has engaged in such a transaction should repent to Allah and avoid returning to prohibited dealings.
Repentance involves regretting the wrongdoing, abandoning the prohibited transaction, and sincerely resolving not to return to it.
Is lending money with interest between individuals considered riba?
Yes. Sheikh Awaida Othman explained that lending money with interest between individuals is prohibited riba.
Does the original amount become prohibited because of the interest?
According to the explanation provided, the prohibited part is the increase resulting from the loan, while the principal itself is not prohibited.
Are children sinful if their father spends this money on them?
No. Children do not bear responsibility for the prohibited transaction carried out by their father.
What should someone who has engaged in riba do?
They should repent to Allah, abandon the prohibited transaction, and resolve not to return to it.
