O you who believe, fear Allah and give up what remains of your demand for riba if you are indeed believers. If you do it not, take notice of war from Allah and His Messenger. (Quran 2:278-279)
Allah (swt) has made the receiving, paying or benefitting from Riba strictly forbidden. In fact, in the Quran Allah (swt) declares war on those who deal in Riba. As such it is imperative that Muslims separate their wealth from Riba.
Living in a non-Islamic economic system that is built on interest-based finance; it is imperative that we appraise our own financial affairs to understand where we may be charged or are benefitting from Riba.
Some of the most common areas where Riba accumulates include:
I have acquired interest, what do I do?
If one has accrued interest, it is imperative to dispose of it in a Shariah-compliant way. You can do this by donating your Riba to Muslim Aid. Not only does this relieve the burden of having haraam income but it also enables us to use your interest to continue saving and improving lives.
Whilst donating your Riba will not carry any direct reward of charity for you, Allah (swt) may reward you for cleansing your income of haraam sources.
Why is Riba haraam?
There are many wisdoms that underpin the prohibition of Riba. Riba is considered a gross exploitation of the poor and a type of economic injustice.
As a way of life that so heavily promotes the regular giving of charity to relieve the burdens of the poor, one can intuitively understand why the economically abusive mechanism of charging interest is strictly forbidden. It is a protection for the poor against being mistreated and a lesson for the richer to be fair and equitable in all their dealings.
What will my Riba money be used on?
Riba donations will be used to support the essential delivery cost of the organisation, for example card processing fees. However, Riba money is restricted so will never be spent on activities such as building a mosque or buying a copy of the Qur’an.