Hacene Chebbani – The Zakat of Loans and Debts speaker

			Salam aleikum wa rahmatullah wa barakato hamdulillahi rabbil Alameen wa salatu salam, ala Shafi
musetti, the brothers and sisters, one authority will talk. In this Halacha, we'll be talking in sha
Allah, about the Zakat of loans and debts. Whether I am the creditor, I am the one who advanced loan
to someone, I am the one who gave someone else alone, or I am a debtor, I owe someone else a sum of
money. So we have two cases here. Let's deal with the first case. First case you are the creditor,
you advanced a loan to someone so someone else owes you a sum of money. Someone else borrowed some a
sum of money from you. Now we have in this case, two scenarios, two scenarios. Usually we have only
		

			two scenarios. The first scenario. For example, let's say an example, you learned HTML amount of
$10,000 Canadian dollars 10,000. And Jamal promised He promised that he will pay you back after
three years.
		

			Now in this scenario, in the in this first scenario, Jamal is now in a state of bankruptcy.
		

			His business is doing well. He's financially we're doing well. And he doesn't deny the VA loan, he
completely admit that he took a loan from you, you have a proof you have
		

			you know, an agreement signed by both of you, you completely trust him. He's a family member or a
good friend and you trust him he's doing well and he's not denying the loan. So in this case,
		

			in this case, you have to pay the Zakat for this 10,000 for this amount of money you have to include
it in your calculation of zakat every year. And you need to pay is a category it is like a money
saved for you like money that is saved for you it's your money and you decided to give it to him as
a loan. Allah subhanaw taala will reward you for this loan. It's It's It's superb. It's it's an act
of riba you're helping one of your brothers. Right. But at the same time since as your man is
financially doing well, and he's not denying the loan, then you have the obligation to include this
10,000 Canadian dollars in your calculation of zakat every year. Until of course you receive your
		

			money back. And then you start automatically including it in your savings and and you know paying
zakat for it in a normal way you will not count it as as a loan. So this is the first scenario. The
second scenario here Jemelle is either in a state of bankruptcy or
		

			or he is not he's not able to pay you the loan back if for whatever reason he's not able to pay you
		

			or he denies the loan. He completely denies it. He said No, I didn't take anything from you. In this
case, you shouldn't worry about zakat.
		

			Either more syllable local Arabiya, merci au Martin, more Syria, and he's not doing well, he's not
able to pay you your loan back. Number one, or number two, he he admits that he took a loan from
you. But he is not sorry. In the first case, he's not able. But he admits in the second case, he
denied he's denying the loan. He said I didn't take anything from you. So in these two cases, you
don't have to worry about the circuit. But if he if you receive your loan, your payment your money
back after 10 years or 15 years, then you pay for one year, when you receive this money in your
head. You pay the cat for one year, you don't have to worry about the last 10 years or 15 years.
		

			This money you didn't have access to it for the last 10 years or 15 years. You don't have to worry
about it. So you just pay zakat for one year for this 10,000 All the other option if you want. You
have two options. You add it to your savings, or you pay zakat on it once in a while it is time for
you to pay your zakat on your wealth in general. So you either add it to your your to your savings
and you pay zakat on it when it is time for you to pay zakat. For example, if it is your habit to
pay zakat in Ramadan, then you keep it with you until Ramadan comes and you pay zakat on it with the
rest of your wealth. This is one option. A better option is that
		

			You immediately pay zakat on it for one year. And the rest you add it to your savings will Allahu
taala. So, this is the first the first case. Now let's deal with the second case. The second case,
you are the debtor, you owe someone else money Gani, you borrowed some money, you are the borrower,
and you will that could be long term or short term debt. It's either long term or short term. Now,
the question is, are we allowed Of course we are allowed to, you know, to deduct debts from your
from our the total amount of our wealth, and then not to pay zakat on it. But are we allowed to
deduct the total amount of our debts from our wealth and not to pay zakat on it? No, that's not
		

			right. The right answer is that you are allowed to deduct the any short term any short term debt,
which is which is a debt that you are planning to pay back within the next 12 months. Any debt that
you are planning to pay back within the next year before next Ramadan. Let's say you're paying zakat
in this Ramadan, before next Ramadan, you are paying planning to pay methanol for example 5000 or
3000 from the total amount of your debts. So you are allowed to deduct that amount of money which is
5000 only, or 3000 Only because you're planning to pay it back within the next 12 months. So that's
the money you deduct from your debt from your wealth and you don't pay zakat on it. That's Allah
		

			subhanaw taala and you were gonna liquidly fail when it's Allah and you have to have a word with
hamdu Lillahi Rabbil Alameen