´It was narrated from 'Abdullah bin Ja'far that the Messenger of Allah (ﷺ) said:` “Allah will be the borrower until he pays off his debt, so long as it (the loan) is not for something that Allah dislikes.”
Hadith Referenceسنن ابن ماجه / كتاب الصدقات / 2409
Hadith Gradingالألبانی:صحيح | زبیر علی زئی:إسناده حسن
➊ It is permissible to take a loan with the intention of repayment.
➋ If the intention is good, the help of Allah Ta'ala is attained.
➌ A loan should be taken for a good purpose. To spend on frivolous, un-Islamic customs at weddings and funerals, or on infidel celebrations such as Basant and birthdays, is sinful even without taking a loan. To take a loan for such customs would be an even greater sin; one should completely avoid such practices.
➍ It is never permissible to take a loan on interest (riba) under any circumstances.
Source: Commentary on Sunan Ibn Mājah by Mawlānā ‘Atā’ullāh Sājid, Page: 2409