´Suhaib Al-Khair narrated that the Messenger of Allah (ﷺ) said:` “ Any Man who takes out a loan, having resolved not to pay it back, will meet Allah (SWT) as a thief.”
Hadith Referenceسنن ابن ماجه / كتاب الصدقات / 2410
Hadith Gradingالألبانی:حسن صحيح | زبیر علی زئی:ضعيف, إسناده ضعيف, يوسف بن محمد بن صيفي و عبد الحميد بن زياد ضعيفان, و للحديث شواھد ضعيفة عند الطبراني (الأوسط 506/2 ح 1872،119/7 ح 6409) وغيره, انوار الصحيفه، صفحه نمبر 465
Benefits and Issues: ➊ A person who takes a loan and procrastinates in repayment, intending not to return it, cannot legally be declared a thief; therefore, he will be punished on the Day of Judgment.
➋ Allah Ta'ala knows the conditions of the hearts, so a Muslim should not deceive anyone. It is possible to deceive a human being, but Allah Ta'ala cannot be deceived.
Source: Commentary on Sunan Ibn Mājah by Mawlānā ‘Atā’ullāh Sājid, Page: 2410