Yasir Qadhi – Permissibility of Student Loans in Islam Q&A

Yasir Qadhi
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The conversation is difficult to follow and the conversation is difficult to follow. The speakers discuss loan options and the potential for a loan. They also mention the importance of finding alternatives for

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			Woman sent an
		
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			email. He saw the how
		
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			many Mina most Nene
		
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			Salam alaykum Warahmatullahi Wabarakatuh Bismillah Alhamdulillah wa salatu salam ala Rasulillah
Welcome to another episode of our regular Tuesday series in which we select some of your questions
and answer them and the email address as I have said is asked why queue at Epic muster dot orgy ask
why queue at Epic messager dot orgy and I have as I have said multiple times, I select the questions
that I think will be of the maximum benefit. So please understand I do not answer individual
questions at this email. Today, inshallah Allah we are going to tackle one of the most commonly
asked questions that my email has been bombarded with, and it is of relevance to so many, especially
		
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			students, and that is the issue of student loans. That is the issue of the permissibility or
impermissibility of students, especially here in America and generally speaking in the Western
world, because again, these types of factoids, these types of discussions I have, generally
speaking, it is meant for specifically an American audience, or if the topic allows for it for a
western audience, generally speaking, and the question that I'm going to choose today is basically a
generic one, called from many dozens of emails, literally from across the country, dare I say,
across the western world, and the the gist of it is the same, and that is that the student is not
		
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			able to pay his or her fees, or they might have been accepted to a vocational school or medical
school. And obviously, you know, the fees that are required for those are typically not affordable
for the average person. And there are alternatives, there are ways to acquire that money, some of
which might appear to be dubious or might actually be dubious. So the question arises, is it
Permissible or impermissible for a student to take loans in order to educate in order to complete
his degree or her degree? That will be our question for today? Now, obviously, the issue here we're
talking about are those loans which have riba or appear to have riba we're not talking about taking
		
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			a loan from family and friends. We're not talking about a grant that might come from a benevolent
charity or maybe even some governments might give you a grant that if you qualify, they might just
give you some money to educate yourself and they don't expect to be paid back. We're talking about a
loan in which you are going to pay back more than what you took. And there is no doubt my dear
brother and sister that the default when it comes to riba when it comes to interest when it comes to
you serious transactions is that it is haram, and the proofs for this are well known and there is
unanimous agreement amongst all of the scholars of Islam that Riba is haram, Allah Subhana Allah
		
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			Allah says in the Quran, what a * Allahu wa rahma riba that Allah has permitted trading,
bartering and Allah has forbidden Riba and Allah says in the Quran, you and Adina Amano lotta Kulu
river otter offend Medora alpha, who you who believe do not eat Riba in multitudes taking more than
what you have given and the evidence is for this are well known. So the issue is not therefore, the
issue is not therefore whether Riba is halal or haram. It is haram. The issue is this type of
contract that the student is getting involved with, firstly, is it Riba? And secondly, can an
exception be made? Is there some mitigating factor? Are there circumstances that in some times in
		
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			cases, a something that is haram might be lowered just for that person, or for that circumstance, as
we're all aware, that in dire situations, that which is haram becomes permissible, but the default
ruling is that remains held on but in dire situations, a person might be allowed to do something
that is otherwise held on? So the question therefore, should be rephrased, and that is that,
firstly, are these are these loans that are given actually Riba? And secondly, if they are, then is
there a mitigating factor that might allow such a person to take such a loan? So to respond to this
as as usual, I go into a lot of detail and I try to, you know, give the perspective of manual odema.
		
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			I've gotten some complaints in the comments that I spent way too much time talking about all these
so can I just give the answer and then explain. So I'm going to give you my quick answer, and then
I'm going to explain my quick answer is that the fatwa that has been given by a number of reputable
fifth Council's in America and in Europe is that it is permissible with conditions and therefore
that is the quick answer with conditions that if you can afford it is not permit
		
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			Sibyl, if you can get loans from other people that are non interest, it is not permissible. If you
can get a grant, which has no interest, it is not permissible. However, if you have no other option
to be educated at a level that shall, generally speaking, the presumption will be that you shall
live a better life for you and your family. And that this is an education that will benefit you in
this world in sha Allah Allah. If there is no mechanism to finance that education, other than such a
loan, then it is permitted, but you must pay it off as soon as possible. This is the whole last or
the summary. Now with that summary, I'm going to go the longer route and I will begin by stating
		
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			that the issue Dear brothers and sisters when it comes to this is that so many people make quick
judgments without understanding firstly, the soul or the parameters or the evidences and the can and
the issues of our Sharia. And secondly, without understanding the context within which within which
to apply the basic rulings. The average person who wants to know these types of issues and
questions, has not studied what Riba is in the Quran and Sunnah. They're not aware of the categories
of Riba, the types of Riba the causes of why riba has been made haram. And because it is so
confusing, as I always say, Dear brother, do sister, choose the scholar that you think knows the
		
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			best and fears Allah the most, and follow that scholar, don't get involved in the issues between the
URL Emma, you are well aware that for most modern issues, there is a spectrum of opinion, realize
when it comes to student loans, you have, again, a spectrum of opinions. And for some reason, when
it comes to these types of loans, whether it's for houses or or studying, and when it comes to, you
know, certain very few issues for some reason, I find that many people get very emotional, they get
very quickly angry, and they pronounce verdicts about the opinions they don't agree with. We using
adjectives that is simply an Islamic and unbefitting choose the opinion and the scholar excuse me,
		
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			choose the scholar don't choose the scholar based on the opinion. Choose the scholar that you trust
the most choose the scholar whom you feel is fully understanding the situation and fears Allah
subhanho wa Taala and that is your judgment call. You have to make a judgment call, and then simply
follow that Adam, and that's exactly what the Quran says. Ask the people of knowledge if you do not
know. Now, I have been asked this question by a lot of people. So I will give you my take on it. But
if you don't care about my take, then don't worry about it go to the scholars whom you do care
about. So if you have asked me, I will tell you the long answer.
		
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			Realize broadly speaking that there are three main genres of answers three main philosophies out
there three main camps of scholars when it comes to this issue of student loans. The first camp says
that student loans are haram and they don't really go into a lot of detail over conditions or
whatnot, because at the end of the day, they consider it to be haram. And they say that such loans
are rubber because you are basically given an amount of let's say 100,000 for education, and you're
going to pay back over the course of 1020 30 years 110 120 100 or 50,000. So they say this is clear
riba they say Riba is haram and haram can only be permitted in in case of life and death. And since
		
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			education is not life and death, since you don't have to go study at a university, therefore, it is
haram to take advantage of a loan that has this type of riba for educational purposes. You cannot
educate yourself based upon a loan that is haram. And this is the fatwa that and again, I'm just
being district descriptive here I'm not trying to be pejorative, I'm simply telling you as it is,
this is the fatwa that generally speaking you will find from most of the scholars from the Salafi
school and most of the scholars from the Deobandi school and I say this again with respect and you
will find many dozens of scholars of this persuasion who will give this type of a fatwa. And
		
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			generally speaking, the fetch will be very short and very straightforward. It's an open shut case
because the they say and again, their philosophy is very sound from their perspective, a student
loan is Riba and riba has been made haram in the Quran. And Allah has said that Riba is equivalent
to waging war against Allah, His Messenger, and therefore you may not take a student loan because
this is waging war against Allah and His messenger. Now again, this is the first school and you will
find plenty of Islam websites, q&a and Islam, you know, asking Islam and whatnot, lots of these
websites that have these, these fatwas and again, that's a good school out there if you follow it if
		
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			you subscribe to it, Al Hamdulillah no problem and take the fatwa and go with it. And I do not doubt
the sincerity of these are Adama and I do not doubt at all for a second their desire to protect the
Ummah from the punishment of Allah subhanho wa taala. So I have no doubt about their credentials and
their sincerity and
		
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			their desire to be pure. May I simply say that
		
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			when you look at the other philosophies and the other schools out there, one does somewhat see that
there's a sometimes perhaps a little bit of disconnect, as I say this with respect, between the
context and reality of the Ummah, between the reality of life, if you study versus you don't study,
and the hardships that might be imposed by such a fatwa, and between the ideal or the utopic, you
know, ideal that they strive for. So, you know, I think that one needs to take into account the fact
that such a fatwa will impede the religious folks, because the irony, again, is that perhaps the
bulk of the Ummah, you know, under that's a sad reality, doesn't really care about this. And that's
		
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			the sad reality. But what we are doing is that those who care, we're asking them to have a standard
in this issue that is actually going to impair them and their progeny, in all likelihood. Now, of
course, I know the response. And the response will be there should be telecoil. The response should
be that we don't care about these hardships of this world, we want to save them from the Wrath of
Allah subhanho wa taala. It's not my job to become a doctor. It's not why did you become an
engineer, it's not why you have to go study in university, they can go find a job in some, you know,
odd, you know, odd job or some manual job that does not require any education and can obtain Halla
		
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			risk, I understand the response. And as I said, I do not doubt for a second their sincerity, and
whoever wishes to follow it Alhamdulillah all I'm pointing out, please, brothers and sisters
understand as usual, the religion of Islam scholarship of Islam is much more vast than the one
strand that you might have been exposed to for the last few years. And the majority, I would say,
have rules that are engaged with these realities and are actually living in the West, because again,
many of those who are giving such fatwas again, with love and respect to them, many of them not all,
but many of them, really are not even living amongst us. And one finds that, you know, these types
		
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			of scholars generally are not quite aware of the realities of how life might be here in America, for
someone who's working an odd job, and he has the potential to go study, he has the skills, he has
the mind, he has the grades, and then he is told he cannot go study, because it is not allowed how
that's going to impact the rest of his life in all likelihood, because again, we base our photos on
the reality not on statistical oddities. But on the mainstream, generally speaking, what will happen
if you get a solid education, and what will happen to your career versus generally speaking, don't
quote me, the Bill Gates, dropouts don't quote me the, you know, the icons that have become
		
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			multimillionaires. These are the exceptions, the general rule, if you have a solid education and a
solid degree, that will help you attain a level of livelihood that will bring about the respect and
dignity and goodness for you and your and your progeny in this world, now, does the shady I require
you to give that up? That's really the question if there's such a loan involved, so this is the
first school and again, utmost love and respect, and you will find their photos all over the
internet, because they have a lot of websites out there, especially the first branch that I told
you, they have a lot of websites that have the same type of photo j, this is the first school out
		
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			there, the second school out there actually has a very interesting push back. And they say that not
every loan that you get is actually a loan that is riba we based. And there are many scholars out
there who actually say that some of the loans that are given, and this, by the way might apply more
in Europe than in America. In Europe, by the way, for those of our American audience, you're
probably not aware, in Europe, many governments give specific type of student loans, including
England, including many of the countries. In Europe, they give types of loans that have many
different conditions to them. So I'm not going to go into all of the details of which country in
		
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			which not, that's something you can look up. But I just want to point out that there are quite a few
significant scholars who say that just because it is called alone doesn't make it alone. And that,
especially if there are some key conditions in there, for example, I'm just giving you an example.
In the in the United Kingdom, if you're a citizen of that country, and you wish to take a student
loan, the government will give you not give you the government will directly pay the school you will
never actually obtain the money. The government will pay the school, your fees intuitions, and the
government then gives you a lot of different you know, scenarios or conditions in which you don't
		
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			have to pay back that that student loan if you die, if you're in a severe accident that debilitates
you if you earn less than a certain amount, even if you graduated, but you didn't get a good job,
you're earning less than their particular they have a bar they have a number. If you earn less than
that amount, right. The government says you don't have to pay us back until your salary
		
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			rate is above that amount and the loan is not transferred to your without your inheritors, right.
And also the loan comes from their own government money, the taxes that you pay. So the loan is
really it's coming from the collective pool that the citizens themselves have given to the
government. And so many other issues and conditions are added here. So a group of scholars basically
says, given these conditions now, again, I'm being very clear, I'm talking about specific types of
loans. I'm not talking about a loan that you get from a bank here in America, I'm talking about
specific types of loans that are given from governments and they have certain conditions that
		
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			forgive the paying back of it. A number of scholars, prominent scholars simply say that this is not
a shutter a riba we loan. It's not by short, I mean, it's not the definition of a riba loan, the
shady I will not consider it you this is not a loan at all. On the contrary, it is in the vested
interest of the government to educate the citizens, and the government is taking your own taxes, and
paying you the student some of those taxes, but it's not giving you cash, it's actually giving the
institution directly. And the government is basically investing in you to be a better citizen for
itself. And the payback is not just the money, it is your education. And so there are a number of
		
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			prominent scholars including Shaheed Ahmed had died in England, who basically say that this isn't
alone in the first place, you can call it whatever you will, from the shattering perspective, it's
not a loan, it is a type of investment in you. It's something that the government is doing in you.
Now, I'm aware of some people in America who hold the same view about government student loans, not
the loans that you take from a bank. And some scholars allowed this I know, but generally speaking,
there is a market difference between the American versions and the European versions, nonetheless,
you should be aware, the second category of cinema, and there are people like this and it is more
		
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			common in Europe than in America because of their, you know, socialist version of governments.
They're your predominantly is
		
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			socialist democracies, as you're aware, and they give a lot more perks because their taxes are
higher. We in America, we are we are vacillating anywhere, let's not go down that tangent over here.
The point is that a lot of scholars say that not every single thing that is called a loan is a loan.
And many times that which is called a student loan, does not actually meet the definition of a loan
in the Shediac. And it is more of an investment than a loan. And so they would say, and again, this
is primarily for specific European countries that it is not to loan in the first place. Now, just
FYI, here in America, there are some types of loans that the government gives you as well. There are
		
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			two main, you know, loans, there's a federal government loans, and then there's the private loans.
We're not talking in Category Two about private loans. When I say category two Sommaruga. Ma said,
that is not alone, we're talking about when the government itself gives you money, or even a
benefactor party, I don't think that is exist in America, but a third party that has certain
conditions that basically change it from being alone into a type of investment for the betterment of
you know, there might be I don't know, I'm not aware of all the times there might be a certain
charity that says, hey, you know, people have this background, people of this race, people of this
		
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			persuasion, people of this
		
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			degree engineering, or whatever it might be, we want to help them only. So if you meet the criteria,
and they might say, we're going to invest in you and your education, and these are the conditions
and if those conditions are such that go to a scholar of this category, go to a scholar who has this
view, for example, and ask them, Hey, what is your opinion, is this particular grant that I'm
getting? Is this loan I'm getting is this something that the Shediac considers a loan? Because in
the end of the day, if you're forgiven the loan, if you're not making above a certain amount if
you're forgiven if you die if you're forgiven if your ability, that's not quite alone, per se, is it
		
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			right? It's actually a gift with conditions, and that's a different category altogether. So federal
loans, there are subsidized loans, there's unsubsidized loans, there's consolidation loans, there's
PLUS loans. And again, with utmost respect to those in the first category, utmost respect, they
don't really think about all these different categories at all, and they simply lump them all
together. And in my humble opinion, taking a subsidized loan from the federal government subsidized
means that you don't have to pay interest throughout the duration of your studies. And that once you
graduate, you have an interim period to try to pay it off. That if you feel that you're able to pay
		
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			it off in that timeframe. In reality, that type of loan that's coming from the government, you
cannot have the same ruling on that type that you do from a bank. There's really too much stuff now
you can say that is, you know, a lesser type of haram if you want and if you want, you can argue
from the category of the second paradigm, the second group of scholars who will say no, it's the
government taxes
		
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			Is this is not even, you know, it's not even a type of loan that is for profit, it's the government
wanting to invest in its own citizens. So, some aroma have allowed this and that is a second
category and camp, my personal choice or opinion is the third category of aroma and I find myself
very much in line with this third category. And the third category says that the loan that is given
		
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			that is given and you give back more than what is given it is a Dubai loan, but, but in some
conditions and circumstances, it becomes permissible for some people. In other words, what they are
arguing is that the default ruling is that a rib alone is haram. That is the muscle that is the
basis. However, for some people in some circumstances, and some situations, an exception is made.
And if those circumstances are met, then an exception can be made for this person, therefore, and
now this is actually a large group of scholars and committees. And every scholar and every committee
in this camp might have slightly different you know, conditions, slightly different
		
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			conditions put there, but the gist of it is, again, category one very simplistic openshot haram
haram haram, end of story, category two and by the way, category two and three are not mutually
exclusive, because you can have some people who say that some types of loans are category two,
they're not Riba. So they're completely haram, and other types are haram, but they will be allowed
in some circumstances. So categories two and three are not mutually exclusive. IE, you can have a
scholar who in some loans will be category two, and another, those will be category three. And
frankly, that's probably where I would place myself in the ones that the loans that are found in
		
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			some lens in Europe, what I have looked at them, I am very much in agreement that they are not riba
based loans in the first place. That's my humble opinion. I know some scholars disagree. And other
scholars say the same thing that I'm saying. As for here in America,
		
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			that type of loan is not exactly riba free the subsidized government loan, I would say there is the
condition of Riba in it, the condition of Riba in is in it, but inherently it is not a riba we loan
because you can be studying for six, seven years, and you will not have to pay any interest and the
amount is going to remain the same. And they will give you six months. And in those six months when
a person knows you have a job, you might even be able to get a loan from your brother from your
cousin from your uncle say, hey, look, I need a loan now. Because I have my job as a doctor, I have
my job as something and I want to pay it off as soon as possible. So a lot can happen in those six
		
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			months. And Allahu Allah, I think that's a very different category than a loan from a bank, which is
category three, the scholars here would say, if you're going to get a straight up river, we loan
because the loan from the bank really is a loan from the bank, you're gonna go to the bank, maybe
our European brothers, I'm not aware of this here in America, there are student loans from the bank.
You know, a young man or young woman goes to the bank with the father who's earning a lot of money
or the mother and they will cosign the debt. So the primary person is the student who has to pay off
the debt and the interest is charged immediately that you have given the loan and if in case the
		
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			student does not pay, the cosigner is obliged to pay under all circumstances even if the student
dies even if there's a car accident doesn't matter. The cosigner has to pay the bank back at the
agreed upon interest rate, that's a clear open and shut case of river there is no question it is the
river. Again, please understand brothers and sisters category three are Allama are not saying it's
not River from the bank. It's clearly about by the way subsidized loan. I don't think it is a river
we loan as I said it is a loan with the Riba condition that's the difference between the two, but
the loan from the bank is a riba based loan however, this group is saying in the Listen to me
		
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			carefully, not every rubber transaction is the same level of haram and some levels of Haram are
allowed in situations of need. And other levels of Haram are only allowed in life and death
situations by unanimous consensus Haram is allowed in life and death situations that's unanimously
right. Now the issue is if the level of haram goes down, right, if the level of Hajj if the level of
need lower or higher, goes down as well, can this also then become permissible? And this is where
the the third category of scholars come? And this is essentially the fatwa of the European Council.
The European fifth Council, which at the time, by the way, was headed by Chef Qaradawi you had great
		
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			RollerMouse your first and Mawlawi Shahab de Lucia Judea, I mean, great alarmists of the world they
sit on the European Council. This is what the fact what they have given and also the
		
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			American jurists Association Amager which is generally speaking, I say this with respect it is
perceived to be somewhat on the conservative side that two has given a fatwa that is essentially the
same with some minor modifications to the European Council. So both the European fifth Council and
Amgen and I know also the field Council North America is on the same wavelength, they have all given
a fatwa that would basically be in category three, which is the default of such loans is that they
should not be done. But if certain conditions are met, then a student may take such loans and pay
back as soon as possible. So let us quickly go over some of these photos. As for the European
		
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			Council, so they were asked in a fatwa 81 dash four slash 18. That's the number they have here. That
what is the ruling of a student taking loans in order to be educated
		
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			in knowing that he's going to have to pay back more than the amount that he was given. And the
response and again, I'm just making it short here that that there is no hemorrhage there is no sin
in the student taking such a loan with radically and hydrated EuroCity middle Hydra Tila ama that is
because the need to be educated is a general need of society will have to either unmet xs Zilla
Mozilla top borrower when the need becomes general it is treated like a necessity as many of the
scholars of the past have and feel understood and felt have said and the rulings of necessity and
the rulings of need are different and they are meant to lift up the necessity and the need to make
		
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			life easier. Therefore, for your juice with your body with and yet hold them I tell you who did the
rasa tea it is allowed for the student to take just as much as he needs in order for him to study
and so they are very clear in this regard. The general philosophy is that they consider they
consider the level of data again so pause here let me let me explain what I'm saying here. When the
Quran prohibited Riba, we need to understand what is the primary prohibition in the Quran?
		
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			Are you who believe do not eat Riba although alpha and modal Alpha multiple fold, and the GRE the
concept of labor, the primary Quranic riba that Allah azza wa jal revealed that it will be how do we
meet Allah who would have sold it was that a person gives another person alone for the exact same
amount? Here's 1000 Give me back 1003 months, when that three months comes, the man is not able to
pay back. The man doesn't have the money. So now the one who gives the loan says okay, I'll increase
the time, but you increase the amount. This is taking advantage of a misfortune. And this is the
Riba that Allah has said in the Quran, then will be how to be min Allahu wa rasuluh and it is the
		
00:28:01 --> 00:28:45
			worst type of Riba. Now everybody admits those types of people don't understand fifth point here and
also there for more this is the main type of Riba, the worst type of riba that you take advantage of
somebody's misfortune, and you squeeze somebody who's now bankrupt and he, you know, you had an
agreement, he's gonna pay back the amount you come and say, Aha, okay, no problem. You You You owe
me 1000 I want back 1500 I'll give you an extra year, right? This type of Riba is blatantly taking
advantage of the person situation now, the types of whatever we're talking about, are forbidden,
because they lead to the type that is explicit. And that is the type when you agree from beforehand,
		
00:28:45 --> 00:29:26
			that type of Riba. And now, again, I'm going to say something that there are multiple opinions. I'm
being simplistic here, one group of scholars, and this is the position that I'm sympathetic to. One
group of scholars says the type of riba that we are accustomed to was not known to the Jahai the
Arabs, they did not give 1000 and take back 1100 From beginning of the contract that was unknown to
them, rather, they would give 1000 hoping that a disaster would happen and then they'd squeeze more
at the end of that not having pre agreed now, the fact that you pre agreed doesn't mean it's not
riba it is still riba but this riba as our chef doctor recommended, we said under the security you
		
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			can listen to it I gave with him. Dr. Our community we explained this very nicely when I had the
interview with him and he said this type of Riba, it is a riba that is forbidden because it is a
means to the end it is not forbidden in and of itself. It is not forbidden directly it is forbidden
indirectly. And the philosophy that this group of Allah and group three have is that listen to this
carefully, that which is forbidden indirectly. That which is forbidden because it leads to the
bigger haram It is haram but it is a lesser haram and because it is a less
		
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			haram. Therefore, it may become permissible for a lesser thing than Ebola than a life and death
situation, which is called a Hajra. So though Rudra if you don't have it, you're gonna die a Hydra.
If you don't have it, life will be extremely difficult Bonura if you don't have it, you're gonna
die. And Allah says in the Quran, if you have no option except to eat a dead animal except to eat
pig except to drink something haram then if you're going to die, then go ahead and eat what you have
to That's the rule. What these scholars are saying. The type of riba that we find in the banks is a
type of liberty that is haram because it is a stepping stone to the worst type of Riba. It is still
		
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			haram, nobody's saying is halal in this camp, it is haram, but because it is haram indirectly It is
haram as it was sila at the point the technical term, it is meant made haram not leave that to him
not because in and of itself, but rather it is we'll see that that that which is greater haram. So
they say because it is made indirectly haram it is made haram because it is a stepping stone.
Therefore, when there is a Hajer when there is a strong need not a life and death situation. The the
Hajah may overcome that the Hareem level, the Haram level for that particular person. And this is
the photo that the European Council has given Dr. communality has given shahada Lucifer Judea has
		
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			given the as I said, the field Council of North America has given and m j has a fatwa that has a
similar type of wording as well. And on its website, there's a nice paper by Dr. Michael Kula, which
he wrote in December 2015. And he has a very nice photo, which again, with utmost respect to the
first category of scholars, if you read this photo, and I would want to ascribe this as homework to
those of you that are truly interested, go find the first one, category one, and you will find it to
be literally one two paragraphs is Hadith haram. And that's it. Now go read Dr. Meinel, called us
fatwa, who I think has written a very nice photo in this regard. And you will find it in English on
		
00:32:03 --> 00:32:42
			Amazon's website and contrasted to write with utmost love and respect to the first category. They're
coming from a totally different mindset and paradigm. And as I said many times for those who know
me, once upon a time, I used to be of that same mindset 25 years ago, 20 years ago, but life and
experience and being with the people and reading and whatnot, I've shifted from that category to
this one now and in all aspects of FIFA as your for my q&a. And I think that this is the shorter a
basis here is that it's really not that simplistic. Dr. Mind begins by talking about the problem he
talks about, he talks about the modern reality, that the cost of a college education is increasing.
		
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			And the need to be educated in the western world is something all intelligent people understand and
agree upon. So looking at the fact that the cost is rising, and that really it is a strong need,
then when will it become permissible, he also brings in statistics that
		
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			Muslims in America are around six to 7 million, and in 10 years, you know, this number might even
double and the average age is such and such, and the statistics of you know, education is such and
such. And this makes it clear that there's going to be a demand for higher education and a demand
for loans. And then there's a brief our article or the brief paragraph about the rising cost of
education. And he mentions that an average cost is around 23,000 in Texas, where he's really writing
the article from then he goes on and he says the ruling concerning student loans. Before giving a
ruling on such a loan, one must have a complete conception of the need of these loans in general,
		
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			and the need for them by Muslim students in particular, notice this paragraph here. And this is I
think, the fundamental difference between category one scholars versus category two and three,
category one like it's really they're not really thinking about the situation. And they're having a
very again, I say this with respect, simplistic attitude of the verse says It's haram, it's always
haram. No, the verse is talking about a specific type of Riba. And that type of Riba is not what
we're talking about. We're talking about a different type and it is the Riba I'm not saying it's not
the scholars are not saying it's not it is riba but it is not the same type that the Quran mentions.
		
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			And therefore, if it's not the same type, well then what level of headin what level of
impermissibility Does it have and therefore, what will require that impermissibility To become
permissible for various people what level of need is there that will overcome that level of to
headin and then you know, Doctor mind basically, you know, has you can read it on his website, and
he says that this is Dr. Man's fatwa This is not under the official position is Dr. Man's fatwa that
firstly, a subsidized government loan in which the interest payments are covered by the government
means that such a loan is not riba we in essence, as the government who gave the loan pays the
		
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			interest as well. So
		
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			Second interest does not enter into the subsidized loan through any other means the student agrees
to pay the interest on the loan, if he does not pay off the entire principal by six months after his
education, so, Dr. Mann is saying this is not an interest loan in the first place that with that,
what you get from the government that is subsidized. And then, thirdly, he mentioned the principle
that is well known, you know, sort of that that which is prohibited on its own merit is permissible
only in cases of dire necessity, whereas that which is prohibited indirectly prohibited as a means
to something else is permissible. In the case of overwhelming benefit. This is a maxim. This is a
		
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			pie though, this is a rule that many famous folk AHA including Mr. Qadhafi has shown, based on this
principle education is a need as we have shown, therefore, it is permissible for a Muslim student to
receive a subsidized loan, if he believes that he will be able to repay all of it during the
specific period. If he has a true need for such a loan, he would be a need. If neither he nor his
parents have the money to pay for his education, he is not able to get a scholarship or be able to
get a grant to cover his costs. Additionally, he's not able to earn enough money through work to pay
for his schooling. In other words, she Dr. Mann is saying, a rich person who has access to wealth
		
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			can't just go and take a loan because of convenience, or a person who has access to an education
that if he works, he's able to pay it off that too, only when you really don't have an alternative,
then such a loan would be permissible. Now, shucks Allah has sawI, who I think is one of the senior
scholars living in North America and the founder and the senior scholar of the American Muslim
jurist, association, Shukla how sawI has the official Amager fatwa and the position and of course I
say this again, with utmost respect I'm not trying to be but factually speaking, is viewed to be
somewhat on the conservative side. And I say this because even Amgen is giving this fatwa. So what
		
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			do you think then again, we have this dismissive attitude, especially amongst our youth, Subhan
Allah, may Allah grant us all wisdom and maturity, there is this level of cynicism and skepticism,
when effectual comes that they deem to be a bit lacks, as if, as if the Sharia wants in every issue
to be stricter and stricter and stricter. And the Sharia did not come to make life unreasonable, the
shitty I did not come to make life almost impossible. And too many of our youth are flirting with
types of extremism and fanaticism. That is dangerous for them, because frankly, they're not going to
last in that bubble and is dangerous for the OMA and my advice to them is to look to the senior
		
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			scholars, people who are double triple their age people who have studied this idea so much more than
them and who live amongst us and I've given you a number of names in this very talk here people that
are senior to me in age and the wisdom and the knowledge and I look up to them, and they are all
saying that with these conditions it is allowed. So what does your Salah household we say listen to
this, this is directly from Shell Salah has always website and he is the founder of Amgen and this
is the footwear that Amazon itself has approved and Oslo who had the honeymoon corrode arriba we're
the default is that it is not allowed It is haram to take Uber we loans regardless of whether it is
		
00:38:27 --> 00:39:13
			for a student or other than that because there's clear Riba in this. And in current situations and
the universities in the West, there are many available opportunities for grants for those who are
smart or for those who are coming from socio economically underprivileged backgrounds as well. There
are opportunities to work and so basically, there's a whole paragraph try your best to get access to
wealth in other ways possible, try your best to get to get loans that are interest free. Try your
best to the best to get subsidized loans that you can pay off for six months without interest. This
is the second paragraph the last paragraph of the fatwa is an idea much Kulu had the hit by that in
		
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			water I learned a lot through the river. We're at Seville and Wahid and if all other avenues are
shut, and the only way possible to study Italian will January, the only way possible to get a
university education is to take riba we loans then in this case, in the DECA, this is considered to
be loadall Ra It is a need data for who is Mareeba is going to lift the sin of riba we're in
Berkeley or look more at the heading even though the general rule that it is haram shall remain. In
other words, it is how long but for a student who has no other alternative and there is no access to
wealth, it is not going to be sinful, even though the default remains if any
		
00:40:00 --> 00:40:38
			to ask you what is the ruling on an interest loan? You say it is haram. Okay. May a student who has
no other option, take an interest loan, that student is overlooked and forgiven, and the default
remains to him. Do your brothers and sisters this is what you call the fifth. This is what you call
knowledge. This is what you call wisdom, not like some people who make everything haram and gopher
and bit anxious Subhanallah Calm down, calm down, the OMA has to survive and the OMA has to rise up
in this world and the next and the type of riba that Allah is Lana and the curse of Allah and the
war that is being waged that type of Riba is the one who is giving riba we loans the one who is
		
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			taking advantage of the poor situation. As for the types of riba that are common in banks, it is
also a type of Riba. However, this type of riba as Dr. Carson would have that conversation, it is
forbidden according to the Sunnah, and it is something that is of a lesser degree than the Quranic
prohibition, and it is haram, but it will become overlooked or permissible or more bad for that
person who is basically in that needy situation. And this is the third category and is the one that
I am very comfortable giving a fatwa on in this regard. And like I said, don't take it from me take
it from the European Council from the third Council, North America, from the American Muslim jurists
		
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			Association, all of them and these are all councils, all of them have reputable aroma on board, all
of them are groups of people. And they're all in the same. Now again, to be a bit academic, each one
of them has slightly different wordings. But the gist of it is the same. And that is, the student
who has no other alternative, to get a wealth in order to pay for an education is allowed to take
such loans, but still, they should try to find alternatives. And even if they take such a loan, they
must prioritize paying it back. And that's something that they refer to I mentioned that even if
they do take such a loan, they must prioritize paying it back bottom line brothers and sisters,
		
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			those of you that need to take a loan, try your best to find an alternative, by the way, you're
going to medical school or something of this nature. There are programs that you know, if you sign
up for the government, you know, they will pay for you and then you have to, you know, work for the
government for three, four or five years something like this. This is without a doubt this is halal.
It's not even alone. It's that the government is helping you so that you can help them. These are
don't come under the prohibition anyway. There are, as we said, subsidized government loans. Again,
in my humble opinion, that's not even a riba we loan in the first place, a subsidized government
		
00:42:35 --> 00:43:12
			federal loan for you to study, it's your own taxpayer dollars coming back to you. And there are
certain conditions which you know, the condition inside of it is that ever we condition but the
contract the essence of them, giving you the money in and of itself, you can avoid a river loan by
paying it back in six months, and you make the knee I'm going to try Allah will find a way out for
me. So try to get a subsidized loan, if you cannot get a grant, if you cannot get loans from family
and friends, if you cannot get a subsidized in that particular order, right family and friends and
grants is the same if you cannot get any of that. And the only alternative is to get a straight up
		
00:43:12 --> 00:43:48
			loan, either from the government and unsubsidized or whether you go to biller Yanni. And I say this
because I don't want to open this door. But if you feel there is no alternative other than an actual
straight up loan for an education that will potentially change your life and career. Again, that's
another key point your your education has to be one that is going to benefit you. And the community
in other words is sustainable jobs, stable income, as you presume it to be right, don't choose a
field that is, you know, not something that is going to be of benefit in this world. If that is the
case, that third group of scholars says it is permissible and indeed Allah subhanho wa Taala knows
		
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			best. Last point brothers and sisters do think long and hard and praise the Hara. And ask family and
friends about this issue because there are many issues that also come with being in student debt.
It's not good being a student debt. And if there are alternatives and perhaps by asking around you
might find such alternatives then that is better for you. Nonetheless, in the end of the day, if
there is no alternative than indeed and Allah knows best it is not going to be considered sinful
even though the default ruling remains that such a loan. If it does have a river in it is a riba we
loan wala Huhtala item until next time is Auckland locket cinematic Morocco to la hora Koutou in
		
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			mostly me now almost Lima de one meaning Mina team will quantity now I looked on it that thing was
slowed in pain I was logged in Ponte one saw the Rena was Slavia rod Do you want before she you know
when she
		
00:44:46 --> 00:44:59
			was before she I mean I want to call she is the one downside BMP no one no downside. The importing
was slow or any now was all
		
00:45:00 --> 00:45:00
			Oh
		
00:45:02 --> 00:45:09
			wouldn't have you Lena photo gentleman one Hatfield law D was that good enough? Guess
		
00:45:11 --> 00:45:15
			what the guilt or I don't know hula hoop
		
00:45:19 --> 00:45:20
			now Eileen