Riba Pathway To Hell
Channel: Omar Suleiman
File Size: 27.18MB
So don't want to lie over a quarter
of us Milani ministry phonology mizunara Nana Haman hamdu Lillahi Rabbil alameen wa sallahu one Ilana one I mean when I argue about cinema talkin Allahumma salli wa sallim wa barik ala abogado suka Muhammad sallallahu alayhi wa sallam wider Allah he was trying to sell them to someone kathira
first and foremost I want to
thank the sisters for having me man was pantalla blessing Mashallah, this is one of the most successful I think groups of learning that we have going on in the country right now, which is the sister's wedding. So I asked the last print ads but more about aka ninja lon to continue to allow you all to grow and last on Camila which is pure sincerity element afia which has beneficial knowledge and dominance allottee, which is righteous deeds. The sister said this will be a very beautiful lecture. It's not a beautiful lecture at all. It's actually a very scary lecture because we're talking about Riba and the prophets. I send them he said that there would come a time where
everyone would be touched by the dust of Riba where even if you try to avoid it completely, you'll still find that you will be touched by it. So I hope that it's it's something that we all take heat from. Because living in this country, which, in essence, the banking system of the United States is is completely based on interests completely based on Riba it's important for us to try to fulfill what Eliza gel says in the Quran, it's Apple law has the power to interfere a lot as much as we can to try to avoid it. So I'm going to have a disclaimer from the very beginning of this lecture that you will not be able to completely 100% avoid Riba will not can now you can leave alone, Epson Illa
was Allah Subhana Allah does not burden a soul beyond its scope. Ironically, as the mama show County, Kamala said, the verse Now you Kelly, for long enough son in law is only a few verses after the verses of interest. So in particular, I think that we can we find that we're able to run away from, from the crime of Xena as much as possible, but naturally, as times Go on,
were afflicted by these things to some extent. So for example, on television, we might be watching television, unfortunately, the Zener of the eyes is looking. So you'll have people watching a woman that is half naked as a family together, and it's become something that's completely normal. So we asked the last panel to protect us every single aspect of the major sins to an extent we are afflicted by it. Many times in our foods and our drinks, we might not realize that we're consuming some of hummock, we're consuming alcohol. And I'm not saying that, that we should become paranoid about our food, but at the same time, we live in a time where we even have to investigate that where
something that looks as innocent as a chocolate bar might have alcohol. And so we find from that movie costs, which are with the profit slice of them called the seven major sins, we find that we are unfortunately tested with a little bit of each and every single one of them. But as far as Alibaba is concerned, I would definitely say Alibaba is the most underestimated of all of those things. Now, first and foremost, I want to take a quick look at this Allah subhana wa Tada. Before the I have ribbon, so tillbaka verse 275, Allah Subhana Allah says Lavina and Fiona and while a humble lady when the house several one one alania fella home AS Roma Enderby him Allah, Allah him
Allah whom he has a known those who spend their wealth in a laws way by night and by day, secretly and publicly, they will have the reward with their Lord and no fear will will will there be concerning them, nor will they grieve? With the ayat of Riba? The very next ayah Allah Vina Karuna Riba, those who consume Riba, what we see in these in the sequence of seven eight is Allah subhanaw taala mentions a verse of sadhaka, a verse of Riba versus sada versus Riba and the reason being is to show that a system can survive without Riba usually if you have this conversation with with an economist about Riba they would say the world cannot survive without interest, but actually Islamic
systems have proved to be more successful. The reason being is that Allah subhanaw taala encourages good goodwill, goodwill to this extent so you don't feel cornered and while home, several Anwar alanya and our lady wonder how, you know, they ignite meaning they're consistently engaged several Anwar alanya secretly and publicly, they're consistently engaged in giving sadaqa so that the welfare is being taken care of, because the person who gives some of us sees it as a burden on himself, he sees the money that comes to him as a burden on him and he has to take care of others. So people are not, are not placed in a situation where they have to be enslaved by loans where they
have to be enslaved by things of that sort. So we find a party abusive, I'll call the abuse of the great student of an Imam Abu hanifa. May Allah be pleased with them both. He wrote a book called Kitab and Hodge the book
of taxes, we find Islamic finance did not just start as a response to Riba. Okay, Islamic finance is not reactionary Islamic Finance, define some of the most important concepts we have in finance today. So, for example, price ceilings and price floors, that the market that people in the market should not, you know that there should be a limit
to how much they can raise up the prices and how low they can go. So that both supply and demand, the suppliers and the consumers are being taken care of they're being looked out after the first person to write in regards to price ceilings and price floors was none other than shaker. Listen, they've been telling me about him a whole lot. And I've been saying me, I wrote in his much more lots of discussion on this topic. So we find our scholars have defined pure and good accounting practices pure and good financial practices. And so that's how we counter it. But before it starts by taking care of people, so that people are not so that the student who wants to learn has people
that are taking care of him already out of goodwill. I'm the London robotics team, Allah used to finance all of the students of knowledge around the world, he found that if anyone needs to learn, he takes care of them on a purely interest free loan. In fact, sometimes he would give from his account for them if they were if they met the requirements of zakat. So that takes care of student loans we find as early as
an Imam Azhar Kashi talking about the importance of sponsoring people who are looking to get married right so all of these issues are taken care of and in Islamic environments to the point that as we know the prophets lie some of them said there would come a time where there's a cat collectors would go out giving money and they would not find anyone to give the cat to and we know this is a sighting salon and this happened one time before he saw his salon and what was that time And who's
that there's a cat collector went even to the to the depths of Africa all over the world looking for people to give us a cartoon could not find anyone does anyone know.
Omar Abdulaziz Rahim Allah Tada. No one was to be found that needed Sokka. So in essence Allah subhanaw taala starts off introducing the topic of Riba and this way then after last palletizers alladhina yoshikuni
Allah says Allah Dena yaku Luna Reba, Leia como una Illa Kamiya como la de at a hot battle Jose upon Amina illness, a loss Pattaya says those who consume interest will not be able to stand on the Day of Judgment except as the one who stands who is being beaten by shape on into insanity. This is how he will be raised. You know, when we are raised from our graves, a lot of times I says the one who is being raised, who consumed about he will be being beaten to a point of insanity to a point of almost unconsciousness that he can be under honkala enamel diet. omisego Riba that is because they say trade is like interest, a layer is just like rubber, there is no difference between buying and
selling, and there's no difference between that. So in essence, what you will find is everyone who uses the rubber within the community of believers justifies it by saying it's all the same thing. You know, this person is going from this door this person is going from that door and they are Mr. Reba. So last pantalla is saying that they that they are doubling their senses in this dunya so Allah will delve their senses and by saying enamel Bay or Mr. Reba, what a hell Allah who they are vejer what Allah Riba and Allah subhanaw taala made permissible trade, but he forbade the bat. And then the last point, I says, and I'll just I'll move forward, young, happy Allahu Riba while you're
be sober caught, Allah destroys Riba and he increases in a sadhaka we'll talk about this inshallah voila, hula you have buku Luca Ferran, a theme and a last mantra does not love every singing disbeliever so it was fantastic compared to the to a river it was solid.
Then a last pentatonic again goes back to the believer in alladhina amanu amilo sloty ha, what a formal slaughter. Well as was as euro Miranda Robbie him well, a homophone Allah, Allah. Allah switches back to the believer. Those who believe and do righteous deeds and establish the prayer and they gives the cow will have the reward with their Lord and they won't have to fear. So the people that avoid a river in essence the people that do what they are commanded to do, and avoid a river last pantai says lehle from Elena Malanga has known on the Day of Judgment, they have nothing to worry about, nor shall nor will they grieve than a loss of handler to Allah. After giving the
command to abandoned Reba says for inlanta falou then will be held in Mina la hora suli. This is a scary scary
Scary. Allah says if you don't do away with Reba instead of let hope finale him Allah has known you know you sell your your your dunya you sell your Acura for something small from the dunya just to have a house just to have a car in this world and you destroy your off you know last Pattaya says so on that day, instead of being like the people who avoided that and don't have to have any fear and don't have to grieve, then we'll be helping in a law what a suti be ready for a war a hell of a war and all out war with Allah and His Messenger sallallahu alayhi wa sallam Abdullah bustle the Allahu anhu says that when the person who consumed the river is brought forth on the Day of Judgment, he
will be beaten by the angels until he loses his senses and then he will be told to take his weapons Subhana Allah to take his weapons because he is at war with Allah and there is no other person that will be in the situation except for accurate rebar. The one who consumed the rebar and loved not busted not even the Catholic, not even the disbeliever would be told would be addressed with such humiliation take your weapons and you are going to fight with Allah subhanho wa Taala. So we ask Allah to protect us also we see in the Hadith of the Prophet slice Allah
and the hadith of jabber or the Allahu taala. And masala Islam says le and Allahu Akbar Riba. May Allah curse the one who takes Riba wamu keila. Who were cartiva who was he the who, the one who borrows it, the one who witnesses it and the one who writes it. And also last iclm said, We're home filled with reseller
while home filled wizardry sour, and they are on the scale all equal. The one who gives it the one who takes it, the one who witnesses it, the one who writes it home filled with the seller, am I speaking too fast for you? Play 100
because I have a lot of material to cover. So I feel under pressure.
In essence, so we go back when we introduce these things at labor.
The reason why it's so underestimated is because of the following reasons. Number one, it does not have the disgusting connotations or consequences that the other movie caught that the other major sins do. Right? So when someone commits Zina, it creates a societal abomination when someone drinks and creates a societal abomination. But when someone deals with the deba it's something in money and it's something in transactions. And that's why it's very, very, very hard to truly look at it in the same light. But the Prophet sallallahu alayhi wa sallam.
He said in an authentic hadith narrated by Muslim to the man.
He said one did have a dinner ham is like a penny. A dead ham is like a penny. It's the smallest coin in their currency one ditto hum of Riba eaten by men, is more severe than 36 acts of fornication with a person's Mother 36 acts of Zina with a person's mother one day at home, one penny of rebel will appear to be lost. So next, when you see something in your bank account $5 worth of muscle loss, I seldom said that's 500 times 36 times worse than Xena with a person's mother. It's a very serious
crime. Whenever you have to ask for different asylum and ask for the asylum. One of the great terbang Rahim Allah, he said, I would rather commit any one of them will be caught any one of the major sins before I would committed before I would be guilty of Riba because of the severity of the warning from the Prophet salallahu alayhi wasallam. Why is it so serious and why is it so condemned?
Number one, the entire economic crisis that we see today is because of Riba in essence, Riba creates this bubble, everybody is building on that. So this entire bubble is being created. Within a small amount of time, the bubble becomes poked, and everything collapses. And we see that the entire economy collapses. If you look at student loans, for example,
the amount of student loans in this country is over $280 billion $280 billion.
Within 11 years, it's expected to be over a trillion dollars, all of the people in depth in that regard. So in essence, it truly creates and so Pamela and a mom and Baba came along, he says something very important. He says that when when the economy is bad, this is so true. He says it's true in modern times also says when people are being cheated with their money, they become more susceptible to drinking, and they become more susceptible to Zina. They become more susceptible to sin, to theft, to study, to murder. So in essence, when the economy collapses, all of that starts to increase and that's that's visible today in the country as we see today. When when the economy
collapses, people are more susceptible
To all of the rest of the major sense,
also the Messenger of Allah so I sent him sudden I forgot to mention this authentic hadith in Bukhari.
He said, in the narration, the long narration of as I will cover that we came to a Red River like blood and I saw a man swimming in and another one on the riverbank had gathered many stones. So when the swimmer is in this river of blood and he starts swimming towards the man on the riverbank, when he gets to him, he opens his mouth and the other one throws a stone in his mouth and it sends him way back into the puddle of blood. And he keeps on doing this until the day of judgment. Some of the scholars they made they they analyze this had they said because the one who was who was participating in river is drowning people in dunya and their debt. So likewise he would be made to
drown in a pool of blood until he reaches Allah subhanho wa Taala the linguistic meaning So to understand this also the linguistic meaning of the word Riba is very very similar to the cap. That about means increase. Riba means increase Zakah also means increase Okay, so they both mean increase. But the difference between the two last pantai says young hapa LaHood about well, you ought to be sober caught a lot destroys the dibba as we see today, a lot destroys interest and he makes some that are profitable. The car has two meanings to it, the car has also the meaning of purity, purity and growth. The cap means increased but it also means purity.
As far as the liver is concerned masuleh sai Salaam sudden authentic hadith narrated by Eben Masood or the Allahu anhu in sunon nomada was so last lesson um, said no one takes about except that it will eventually lead him to poverty. Anyone who deals in Riba will eventually be led to poverty. So, this is true in the case of many situations that we witness around us eventually he will be led to poverty whereas the Prophet slicin um, said as far as all South Africa is concerned, man in South Africa, money is never decreased by the giving of South Africa by the giving of charity. Okay, so we see
the growth of Sadiq Khan's aka the destruction of Riba.
So even though and this is talking about Indonesia, by the way, this isn't talking about necessarily an accurate al Qaeda, he's got to deal with something but in dunya, he also finds himself in that terrible situation. Now why is it that the dust of Riba has touched everyone today? Look at the Hadith of the prophets lie Selim aka the Riba. Generally, the banks are the ones who take Reba right? the borrower's makakilo. Reba, usually that's us, that's everyone who goes to the bank to take, who are the witnesses? shall he do have? You have the lawyers, you have the notary publics, you have the accountants, you have all of the professions that document these things so documenting
of Riba then you have katiba, the clerk who even writes the receipts, okay? All of these people are involved in some way, shape or form with Reba. If you have a credit card, if you have a bank account, somehow you're going to be involved in Alibaba
and Subhan, Allah, Allah subhanaw taala has prohibited it's not that Allah subhanaw taala has only prohibited it for Muslims. But a lot tells us in the Quran that all of the previous generations, all of the previous alum were prohibited from Riba they were also prohibited from interest. So the two sphere the legislation of Mussolini set up the legislation of esala Islam, all of it contained the prohibition of labor. And in fact, what caused the anti semitism in Germany in the first place, was the fact that the Jews in Germany started to deal with it about they started to deal with interest, whereas the Catholic Church at that time still had prohibited it. It's not justifying the Holocaust
in any way. But this, this allowed for the rise in anti semitism in Germany. Why? Because one group of people took advantage at that point, or some of that group of people took advantage of the banking system in that regard. And then obviously, as we know, today, the Christians and the Jews, no religious leader, except for some of the Hasidic Jews, some of the Orthodox Jews say that it was hard on but it is head on in their books also.
But still, with that we see obviously, Luba has found itself incorporated in every single aspect of the financial system in the United States today. So inshallah Tada. I'll go through a brief overview, I'm sure we have a lot of questions. So I'll give time for questions more than more than speaking and I'll just generally cover the general concepts of Riba. And then inshallah Tada, we can have specific questions and if I can answer I'm telling you from now, there will be questions where I will say I don't know because there are very sensitive issues right now. In the discussion of what is financially a halal transaction, transaction, if I know the answer, I will say it if I don't,
then I will. I will defer
First and foremost
Riba is of two types Riba is of two types there is interest which which includes a surplus okay a surplus
and there is interest which includes a delay
surplus and delay.
So for example in an interest that includes a river that includes surplus Okay, it's when you exchange specific commodities, specific things, one of them has more value than the other.
So to explain this muscle loss I saw him said in an authentic hadith in Sahih, Muslim he said gold is to be paid for by gold, silver, for silver, wheat by wheat, barley by barley.
Dates by dates and salt by salts again six categories gold is to be paid for by gold, silver, for silver, wheat for wheat, barley for barley, dates by dates and salt by salt was the last time said like for like an equal for equal to an equivalent so are they are everything is equal. And then he sets a lot he was selam payments should be made hand to hand so he's he's emphasizing fair trade here.
Well, so last I sent him said he who makes an addition to it, or asks for an addition deals in Riba. He makes an addition to that or asked for an addition deals in Riba and he sets otherwise I'm the receiver and the giver are equally guilty. So when someone says I'm not giving it but I'm just participating, I have no no, you are equally guilty when you are the giver or when you are the receiver.
Okay, so amongst these six categories, we can divide the scholars then divide the six categories into two there's that which is monetary, gold and silver,
golden silver, and then there are four which are non perishable goods. non perishable goods, which are the barley the dates, the salt and the wheats. So it's two categories, there monetary items and non perishable goods. And essence, what that means, as far as an increase of that, number one,
because there's, there's an important important concept here, and if a creditor loans, just a simple example, if a creditor loans $200 to someone,
but accepts $195 in return, then that's okay. To take less, but to take more, is not okay, or to ask for more is not okay if if a person though gives you because sometimes in our fear of it about there's something that's hard, which is if a person gives you $40, or gives you $39, okay, let's be more realistic gives you $39 or pays for something for $39. And when you go to pay them back, you take out your wallet, and you give them 220s and you say Don't worry about it, that's fine inshallah, because it was not expected on behalf of the seller or the buyer. So that is a sign on your part, that's a sign you don't have to worry about that. Okay, so no one will be punished for
that. So, case, one within these categories, let's look at some various cases in Charlottetown to to understand this, and then we'll bring it to a more modern understanding in terms of how we deal with currency. So, the first the first thing, so, we said there are there are six different items and they are divided into two categories. So, the first case of trade of Adebayor is between something that is the same category and the same item, same category same item. So for example, exchanging gold for gold dollar for dollar did Humphrey Delhomme silver for silver when you exchange the same item for the same item, if you do that it has to meet the following conditions it has to be as the
exact same amount
so it has to be of the exact same amount if it's dealt with in gold the same weight Okay. Now, we deal with paper currency obviously same weight, same amount.
Number two, the other condition the exchange cannot be delayed or it would be considered about it has to be an immediate exchange, it has to be an immediate exchange. Of course, this is not the case you know of a pure loan though of a pure loan where I will give you this and you pay me back later, but this is an exchange between the two.
The exchange should be immediate between the contracting parties at the same time so they have to exchange it at the same time.
Okay, so this is if it's gold for gold. So let's say for example, you want to buy 20 pounds or not, no one buys 2020 ounces of gold. For you know 20 ounces of a gold bracelet with 20 ounces of pure gold.
You cannot save because this gold is crafted and it's nice. It's 20 ounces, I have to give you 25 ounces of gold, because it's gold and it's gold. Otherwise, it's rubber. So I mean, I know I'm just trying to give you a better understanding of this, this idea with the scholars not by that, okay, even though it's crafted gold, you can't say for example,
that, you know, your dollar bill is newer than my dollar bill. Okay, so you have a $20 bill that's from the new ones, I have the older $20 bill, so I'll give you $21 to give me that 20. That would be how long that would be how long
as far as the as far as but as far as the same category, but different item is concerned. So gold and silver are in one category, wheat, barley, dates and salt are in the other category,
you can exchange a different amounts between the two. So for example, someone could exchange a gold bracelet that is 20 ounces, for a silver necklace that is 40 ounces. That's how large so you can exchange two different currencies. Okay, some people think currency exchanges Hold on, it's not on to exchange currencies to pay a little bit. So you can shop your currency in Islam, it's allowed to shop, the best rate for your currency. Okay, when you when you go to an airport sometimes and you want to see the rates that's allowed to try to shop the best exchange rate, because none of them will be exact anyway. But but the conditions of that the exchange should not be delayed and the
exchange should be immediate. Okay, so also, whenever you're exchanging silver for gold, or dollar for the hump, or dollar for whatever it is, it's going to be it has to be at the same time it has to be immediate. So you cannot place an order for for denims. For example, you cannot charge your credit card for $20. In exchange for 100 that hums later on. That's not allowed.
different category, different items, different category, different items. So for example,
gold for dates, money for dates, so with money for dates, the quantity can be totally different. So you can charge someone can charge you whatever they want to for that box of dates. At the same time, it does not have to be an immediate exchange. So you can make an order for something and you can receive it later.
Okay, so that's the that's how we deal with the river in terms of exchange on commodities. Now, that is a very rare type of river that we have today. Right? We don't really see that much today. But the other type of river which is in delayed payment is what we see today. Okay, so the first so this is where we really need to pay attention. The first is Riba on a mature loan Riba on a loan. So for example,
a loan is given with a date. And if you pass that date, you have to pay a late fee. This is the awesome this is the origin of Riba. This is how the Arabs used to practice that have a late fee. By the way, a late penalty, a late charge is Riba according to the consensus of the scholars, there is no difference of opinion amongst them on late fees, it is Riba period about that is what the Arabs used to say they used to say, give me some more time and I'll increase your return. Give me some more time and I'll increase your return. Okay, so an example of that. Also, in terms of our modern dealings, a charge card, not a credit card, a charge card, a charge card, you can, you know, you can
charge as much as you want. But if you can't pay it, then your your penalty will be increased more and more and more and more, but there is no set interest fee there, but it will continue to be increased
as far as Linda is concerned on a deferred loan, on a deferred loan.
So there are loans, there are loans whose principal, which is the amount that's owed and interest are determined from the very start, okay, and you will be paying that loan over a certain amount of time.
So for example, a credit card, a mortgage, okay,
a student loan, if an unsubsidized student loan, whatever you know, you will be paying. So a subsidized student loan falls into the first category, right a subsidized student loan where you have six months where you won't be charged interest if you over if you go over that six months, then you will have to pay interest. An unsubsidized loan is even worse, okay, where there's a set interest fee from the very beginning. So again, credit cards, mortgages, car loans, whatever it may be, where I will give you $200,000 you give me in return $250,000 whether we split this up over monthly installments, or whether you give it to me now, then, then it's still going to be rubber.
Okay, now, when you give someone alone The reason why this is so hard on to show you the extent of condemnation here, I leave no Abby thought about the allow and who said
Every loan which brings about benefit is it ever
amount of money for him a whole lot. He wants loan someone some money. And he was passing through his his, his shade his trees, his garden, and his companions went and sat under the tree and he didn't sit under the tree said because if I benefit from his shade after I gave him that loan, it's sort of a hollow Look how careful the scholars were in that regard. But sola Sai Sallam said, an authentic hadith from NSW Malik, when one of you gives a loan and the borrower offers you a dish, he should not accept it. And if the borrower offers a ride on an animal, he should not ride unless the two of them have been accustomed to previously exchanging favors. So this is the Savior This is
this. You know, one time I gave a loan
I gave a loan to a brother and I invited him to my house and he said I can't eat from you. I said Why? He said, because you gave me a loan. I said, Well solo slice and I'm sorry, if you were accustomed to this before it's not a problem. So if you're friends, which is usually the case of giving loans to each other, if you're friends and you always give each other You always invite each other to each other's homes and things of that sort then it's not livable but but if there's an extra added benefit of all of a sudden the one who received the loan is saying you know you can borrow my car for a day you can go to my vacation home for a day and instead of just serving biryani
he's serving coffee and care now also with it then that's a problem you're adding on to it and it's obvious it's understood and that's what Mr. Mani for him hola was was
was afraid of also from even taking the shade because he said had I not given him the loan I wouldn't have even known this person. Right this was a person that remember hunting for Rahim Allah met for the first time when he gave him that loan. So this is again, anything that is excessive over the money, money for money and its excessive becomes Riba today and also on the last panel to associate you and Alina Amanullah kulu Reba, aloha sanwa Oh, you who believe do not consume Riba doubled or redoubles, meaning Riba only becomes compounded. So the most evil form of interest is compounded interest. When its interest upon interest upon interest, it only again the bubble, the
bubble continues to get bigger and bigger and bigger and bigger. muscle loss I sell them
or Alize, I'm sorry band at Amoeba much earlier than he banned the other sense. So the prohibition one was the legislation of his job.
Does anyone know when the legislation of his job was
four years after his law? Four years after his drop, the ban on rubber came two years after his law. The ban on rebar came two years after his law, okay, around the time of the battle, or this was the revelation of of sort of Bukhara.
so we have some questions that come in regards there. So I'll address some of the modern day issues now.
If you make a contract with someone, and in that contract, which is very customary in the United States in that contract, it says so for example, on your credit card on your car, if you don't pay back this amount within this amount of time, you're going to be charged such and such are your loan will start to be compounded with 5% or whatever it is, is it impermissible to make that contract?
If you know for a fact, there are two conditions that have to be met there. Number one, it's a need. It's a need. You needed to go into that contract for a hajer. For Hajji, I don't know if you all took them across the city. But in Islam, there are three levels of need. There's Laura dodoria, Bharara which is absolute dire need dire need you cannot survive without it has
something you need, but at the same time, you can live without it. Technically speaking, you can live without it. Okay, so for example, you could eat the same food every day. But it would be extremely inconvenient to eat the same food every single day you would need to diversify your your meals and tax any ads to see any ads or supplements are things that make things that make life easier, okay, they make life easier, but a person can live a comfortable life without them. All right. So if the if the loan that you need to take or if the car for example, you need to buy a car,
you need to buy something and it has this the six month clause on it. If you have a hajer for it, then it's permissible to go in it. That's the first condition if you have a hajer secondly, if you know for a fact that you will be able to pay it back and if you can't pay it back you have someone who will guarantee the payment for you. So for example, you speak to someone you speak to another Muslim, some of the scholars put this condition and to be honest with you I favorite because our our financial circumstances change so frequently. We don't know you know, I might be able to pay it back fully on my
Go into this contract knowing I can pay it back. Some of the scholars added the stipulation, you should talk to another person who can also guarantee the loan for you Who can say, look, if for some reason you fall short with this, I'll take care of it in the short run, and then you can cut and then you can pay me back instead, so that you don't incur labor so that you don't incur interest. I believe this is a condition. I think we should do this. Anytime we go into a contract like that we should have a guarantee or we should have someone who would be willing to back up the loan. The reason why the scholars say it's permissible in the first place.
I saw the low tide on her. So the books have always mentioned this, I saw the Aloha attire on her. She wants wanted to free a slave girl by the name of Betty era. That era that era was was a slave was asleep. Well, I saw the alarm on her saw much good inside of her.
And actually we read later on in a hadith that burrito used to lead Arusha in salaat, insula
holding the massage, she would lead eyes and salon in Ramadan, and pm so on so forth. Somebody It was a righteous woman, a woman who was scholarly, and it wanted to free her.
But whenever she came to free her the people that wanted the people that that owns her, they said that will free her on the condition
that once she becomes that once you pass away, her loyalty is to us. Once you pass away, her loyalty comes back to us. So I show it back to the profit slice and I'm and she asked the profits little Lori send them, what should I do and the profit slice sometimes said, you can make the contract to free her anyway, because the condition they are placing is null and void. It's bothan. It's facet, it's not an appropriate condition. Because once you purchase, then that's it. So in essence, what the scholars say here is that whenever you go into a contract, and you know that this condition is one that you won't have to resort to anyway, because I showed you the law 100 did not intend to keep
her as a slave anyway, was to free her anyway, if you know that you will not be affected in harm by that condition, then it's okay to go into that contract.
Okay, but as we said, as far as late fees are concerned, as far as late fees are concerned, it is by unanimous agreements, how long by unanimous agreement Riba and there are other ways I know that many times we find Islamic organizations work with late fees and things of that sort. There are many other ways to deal with a person who's not paying their fees. So you can cancel their membership, you can cancel enrollment, you can try to collect the funds today we see through lawyers or whatever it is, you don't have to put on someone late fees you don't have because this is what this call is called revenger halia. late fees, literally is that is that of the people of ignorance, the days of
Okay, another so another.
Obviously, the main thing is the house issue, how much time do I have left? Is anyone keeping time?
I wasn't keeping time.
20 minutes. Okay.
So, the first thing is with credit cards.
So we go to credit cards.
Credit cards are something that truly have caused the scholars, you know, a lot of trouble because the concept of the credit cards is is truly problematic. And some of the scholars like for example, let me lock in the law 1993 a year the festival was hot on in 1998, he gave a thought to what was hot, he changed his first one, a lot of the scholars changed their opinions on the credit cards, because it's become sort of a necessity to have a line of credit and things of that sort.
So can you take out a credit card
that gives you back cashback and according accordance with the first type of ribbit that we talked about? Can you take a credit card that gives you cashback as a reward?
No, you cannot.
cashback, I'll talk about the difference between the two. cashback because it's the same currency for the same return. You're paying this amount you're getting this much because you're using that line of money. So giving, taking out a credit card that gives you cash back rewards is not allowed. Taking out a credit card that gives you airline mileage, gift cards, hotel rewards, all of those things. That's all fine. That's all permissible. Because it's a different category. Don't worry about it.
I fly all that I need these types of things. Okay, so points, rental cars, airline tickets, hotels, recreation, whatever it is Sky Mall gift, whatever it is, that's fine, as long as it's not within the same currency but you cannot have a credit card that says spend $1,000 you get $50 back for every 1000 you spend that is Riba that's increase without justification, money on money.
Right with the cashback, you can have the credit card, but you cannot exercise the cashback option so you know you can put it into gift cards or whatever it is. I know even those cards that say cashback but I mean to take just pure money credited back to your account because you spent $1,000 would not be permissible
That's fine if it's in the gift card, because again, remember, we talked about six items, two categories, exchange between two items within the same category is fine in different quantities. That's fine. So exchanging gold for silver with a greater amount of gold or greater amount of silver is fine.
But exchanging gold for gold money for money?
Well, you pay, you're using the card. So for example, I have a balance of 1000. And then it became 950. Because I exercise the cash back reward, and I credited $50, back to my account. So that's why what's not
to pay for my bill, right. But to put it towards anything else is fine.
to exercise the $50 for anything else is fine, but don't exercise it towards just to your balance the same way you spent it, then it becomes the first available father, what's the profit slice I'm exercising, exchange of commodities, Asst.
encouraging you to do these transactions. That's why I'm saying we shouldn't do it.
That's so but i'm saying is if you have a credit card that has rewards and those types of things, if you use the rewards towards other things, that's fine. But we should not go. And this is where we get a little bit extreme, there are people that you'll find today that still have no credit cards, but there are people today that will go and open 1015 credit cards just to exercise rewards. We have resorted to credit cards, because it's a necessity, not because we approve of the system, not because we approve the system. Also bank accounts, right? There's some people that still say you have to keep your money, but it's not reasonable. Okay, we're in, it's not reasonable to say you
just have to keep your money, not put it in a bank account because of what the bank will do.
But at the same time, don't go overboard with with all of these different bank accounts and,
and things of that sort. So again, it's it's permissible, but it should not be expanded, we should not go to the other extreme of excess.
Okay, now, as far as
the housing is concerned, because I know this is a very, very, very touchy, controversial, sensitive issue. I'm not going to endorse any companies, I promise you, I don't, I'm not going to endorse any companies today. But at the same time, I hope that you'll be able to take this and you'll be able to exercise your best judgment.
Number one, we know that there's the federal law, that you can that you can buy a house on a conventional mortgage, if it's your first home.
This festival was expanded. Unfortunately, the fact was started off with the people who truly do have doTERRA, who truly do have a dire need, which were people that have 567 children and no one is willing to rent a house to them. Except that something that's abnormal, fine for those people. Yes, they can exercise that option. They have the best way to go and to just exercise a conventional mortgage. Okay. But to expand that to everyone on the concept that it is a lot older, that it is a dire need to own a house in this country is not appropriate. It's not true. It's not a dire need, we can live with up there are people that live on rent and lease their entire lives. And if we if
everyone exercise that then there would be no development of Islamic alternatives. There would be no development of us Islamic alternative because people insist on not paying Riba you find even HSBC and even conventional banks are trying to Vaughn banks are trying to find an islamically compatible packets. So if we didn't, if all of us just said, Okay, let's just lay down and take the conventional mortgage, it's literally, you know, a chef gave a fatwa, it's okay, then it's about a lot. We're destroying our future as a community. We're destroying our future as a community. So no, it's not okay for anyone to just go for a conventional mortgage if it's their first house, because
it is not in no way shape, or form. a.org. The other excuse that's used is that we live in data.
We live in enemy territory. And because of that, you know hunting for a Haman Lhasa. If you live in data, you could deal in rubber. If you benefit you can benefit from River. Now. First and foremost, a nominee for Ohio law said that if you live and he was this was his opinion, and it's not the majority opinion, but it's his opinion. So we respect the opinion, but it doesn't apply here. Remember hunting for him. The law said if a person lives indoors, I'm going to explain what enemy territory isn't a minute and Donald However, they are allowed to benefit from the interest of the people not to give but some benefit who benefits from interest here, right? So there are lots of
benefit from the interest the interest system because they're living in data. In essence in enemy territory. They need to build themselves up by any means necessary because there's a sense of urgency there. We do not live in doubt on how to because if you want to open up that door and say we live in data, that means it's haram to get started.
How many people do we see today that buy houses on Libya but would not would refuse to get citizenship? Right? So we can't play the the pick and choose convenience festival game here. Okay, if you wanted to open up that we cannot own property here in the first place. So you can do a nova but you can't own property here because it's not allowed. You cannot become a citizen of this country because it's not. So we should kick that excuse out of the window from the very start. Okay, if you're on PC, yes.
a checking account, and interest free checking account is okay.
I'll talk about that. I'll finish the house and shower the housing and then we'll just open it to questions. I'm sure we'll talk about the bank accounts and those types of things in shot law.
But the short answer is a checking. interest free checking account is okay. But as far as the house is concerned back to the house. In You know, a lot of high value condemns those who say in an LBO Mr. Reba, that there is like rubber, it's the same thing. trade is just like, the way that a conventional mortgage works in essence is that you will go to a bank, you will secure a loan, you will take that loan to buy a house and you you place your house as collateral you place your house as as collateral against that loan, if you fail to if you default on your payments, the bank will repossess your house and take it away from you.
There's absolutely no exchange there. Except for money, you took a loan, you use that loan, your house is collateral, everything is will be taken away, auctioned off, whatever it is foreclosed if you're not able to pay that law. As far as an Islamic financial system, and Islamic financial system, there has to be an exchange of commodity there, the company would have to fully purchase the home assume all of its liabilities, assumed all of its liabilities and then sell it to you.
And the muscle loss I said I'm sad
that they are attained PBR that there is no to sales in one sale, meaning a person cannot say, look, if you give me this amount of money, I'll go purchase this house, and then sell it to you essentially using the money you gave to me at a higher price. Okay, before any exchange of money takes place, they have to purchase the house and sell it to you, they have to purchase the house and sell it to you. So that's the first thing that we see, which is obviously problematic, sometimes. The second thing is assuming liabilities in masataka, or murabaha. In a true shediac compliance system, they have to assume the liabilities of that house, they have to assume the loss of that
house. So if the house takes a profit decrease, if the market value of the house goes down, then the company that's selling you the house, or the person that's selling you, the house should feel the effect of that just as much as you do when you're making your payments. So let's say you purchase a house for $300,000 you're making payments on that house, and then you know you're making payments to accompany that purchase that house and then later on whenever you come to sell the house you sell it for 280 You don't owe the company $300,000 you should only owe them 280 at that point because as co owners of the house they assume liability at the same time. So this is one of obviously the key
flaws that we see in the system today as work. And by the way, you know as for so we go to extreme sometimes also, if the word interest is on your because what is allowed in Islam is if decide if the solid, which is installments. So aside from the whole Profit and Loss thing, and those types of things, if they thought if I tell you, I will sell you this Kleenex box for $10 now, or I will sell it to you over six months for $20. That is Helen, that is allowed in accordance with all form of the hub to sell something at a higher.
Okay, five minutes, I'm a rush to sell something at a higher price is halaal. Because there's exchange of goods here, you're not going to increase you don't say I'll sell it to you for $10 or $20, over six months. But if you can't pay in six months, then I'm going to I'm going to charge you a 9% interest rate and a late fee and mark it up and mark it up and mark it up. No, but you can set a price from the very start. So a company can come and buy a house for $300,000. And tell you I will sell it to you
with at the same rate of a conventional mortgage of 3.3% or whatever it is. So it will end up being $320,000 over 15 years. No strings attached. I own the house. So I'll sell to you we compute that that comes out to $320,000 or whatever it is I'll sell to you for 320 that's fine. That's a lot. That's the thought even if it says in the contract the word interest. That's fine. Okay, so we have to be fair with the it's not we always jump on this. I also have my issues very severe disagreements with the Islamic companies. That's not one of the objections, the word interest is not one of the
objections. The problem though, is whenever they give you two contracts,
fill out this contract for the conventional mortgage and then fill this one out, say, you know, basically, which just redefines the equation.
But it's the exact same thing. That's a serious issue. That the, it's the so you fill out the conventional mortgage, your company will actually belong to Freddie Mac. But here you can fill this one out to to make yourself feel better. That's like Benny is slightly putting out there fishnets on Saturday on the on the subs on the Sabbath, it's the same thing, we'll just redefine the equation, so that we can assign a size that is not permissible, there has to be exchange, they have to buy the house, assume the assets, liabilities and sell it to you. Okay.
Unfortunately, I think sometimes we don't put our companies to the proper whenever you want to buy something, you need to check it surely our compliance.
One other halaal alternative. And this is this is something that scholars disagree with, disagree upon. The majority of scholars in this country say it's okay is to buy a foreclosed home directly from the bank at an installment price.
So so for example, Chase Bank owns a home, it's on foreclosure, they sell you the home for $280,000. It's not permissible for me to go and secure a loan from another company or another bank, because that create that that creates the wheel again, that redefines the whole wheel. But if I make a deal with Chase Bank, okay, you're selling him for 280, I'll give you 260, over 15 years, Chase Bank owns the house and they're selling you the house. So even
an amendment to the assembly of Muslim jurists of America, which is a very qualified federal issuing body, the assembly of Muslim jurists of America, they said that that is permissible. If you're buying directly from the bank, there's only two contracting parties, and you have a set installment price, that would be permissible. So there has to be buying and selling a true purchase and a true sale, it cannot be just on paper, it has to be a true purchase and a true sale. And you should do your homework on these companies, you really should do your homework on these companies, because some of the major companies are really just playing games. At the same time, I don't say that, we
should just forget about the whole Islamic finance thing and just say, you know what, let's just whatever, let's just rent or buy can because it has become where, you know, it's gotten to a point where people will exercise purchasing homes. So it's important for us to try to find Islamic alternatives. But also, especially, you know, sister mentioned at the beginning, she said that it was usually a top for men, I was so happy. so so happy whenever I found that I was giving a lecture on river to sisters, because the sisters can sway the household and shala exercise your your, your power over the husband and keep on you know, if he tries to go for something, that's how you get on
him and you jump in and you say I will not accept to live in a hot home home, I will not accept that your income is hot, um, I will not accept this money. That is the river. A final note, which is very, very important.
A final note, if you have an if you happen to accidentally incur some interest, some rubber,
you should give it in charity, it's not going to count as charity, but at the same time you get rid of it. Even if it's 13 cents. If you incur some form of Riba on your bank accounts, you should try to invite the way there isn't a single bank, I promise you there isn't a single bank that if you insist upon an interest free account, that will not give you an interest for your account. I've done it with I've been with three different banks, okay, because I've moved I've switched banks each and every single one said, Oh, we can't do that. Talk to the manager, tell them Well, okay, I'll just have to go to another bank, then that will work with me, then they'll call the supervisor, they'll
take off the interest off of your account. So insist upon it, you have to insist upon it. Even if it's going to take you an extra hour of your life, you have to insist upon it so that you don't incur it up on your account. But if you happen to encourage somebody, but then you should give it to charity, it does not have to go towards something filthy. Okay, because some people that they say that well, if you give off the snuba then you should make sure no one eats a river. No one eats a lot of Riba. That is a literal understanding of the Hadith, but it's not the proper way to understand that because in any head on money, any hot on money, it is hot on for you hold on for
other than you this is a card in an axiom and look how long enough see halali like that, it is how long for you Helen for other than you. So for example, if a person has dealt with it about their entire lives, as a scholar, see if a person has dealt with it about his entire life, and then he passes away and his children inherits from him. All the money they took is hella because they acquired it through a halal means, which was from the inheritance, but he will still be punished for dealing in Nova. Okay? Likewise, if someone
So there's two types of HUD on money here.
I have I'll take one more minute and show a tie there's two types of how money there's how long money that is how long as in seized. So someone stole something. So if someone stole money through volume, no matter who gets it, it still needs to be returned to its rightful owner. Then there's a lot of money that has improper sources interest alcohol, whatever it may be, that money falls under the guise of a clear haraam University Hello lady that it is how long for him and allowed for other than him. Okay, that's how long for him and Helen for other than Him, even I know that sometimes we use just to show the importance of giving from our peer sources. For example, in building massages,
yes, it's important we should get from our peer sources to build massage and things of that sort. But you cannot say that it is how long to accept money from a person who has a grocery store or deals in it about to build the master, because using the incident of Abuja, announcing to the chorus before Islam, announcing to crush before Islam, that whoever builds or not, when we rebuild the cabinet, let not your money come from, you know, prostitution or interest or whatever it may be, it has to come from pure sources. There is not a single scholar in the history of Islam, that uses a Buddha has tishler as legislation.
So ethically speaking, yes, we take the ethical message of that, that yes, you know, even a Buddha has said when you build them as build it with pure sources, but from a filthy perspective, you cannot there is nowhere in Quran, Hadith Sahaba set out in public that comes what Buddha has said. It doesn't exist as a form as a source of legislation. So we use it to encourage people to get from their best sources for the bubblegum but at the same time, we don't say Tom to accept money for an Islamic project, for example, because they dealt an interest or they dealt an alcohol that's their sin before last panel and the way that it was taken was a permissible thing.
So lastly, I remind everyone that you know, try your best to deal in Hadar in whatever way that you can. It will benefit you in dunya it will benefit you inocula inshallah, push your households towards halaal. That way, there will be more blessing in that in sha Allah.
Any mama Shivani Rahim Allah,
the great Hanafi scholar, Imam Mohammed shibani. I will have to say Bernie, his students asked them they said, How come you never wrote a book on teskey
nama shibani was one of the great scholars of
the heart softeners and tuska. But he never wrote a book on teskey. He authored many books in the Hanafi filco he offered the most comprehensive book manual and mop sort of Hanafi Fiqh, but they said you never authored a book on Tesco. He said, Yes, I did. I wrote Kitab boo boo, the book of trade, and that is the greatest book of Tesco because a person who learns how to trade and holiday will be successful in purifying himself. So he asked last contacts to purify us and Sharla to purify our income to purify us from all of the dust of Riba and all of the sins the major and the minor sins alum I mean, does that come along? heighten inshallah tada if I said anything wrong then please
forgive me if I said anything right. From hamdu Lillahi Rabbil alameen. I'll go to questions. Now, inshallah.