Abu Hurairah (RA) reported that when the body of a dead person having burden of debt upon him was brought to Allah's Messenger (ﷺ) he would ask whether he had left property enough to clear off his debt, and if the property left had been sufficient for that (purpose), he observed funeral prayer for him, otherwise he said (to his companions): You observe prayer for your companion. But when Allah opened the gateways of victory for him, he said: I am nearer to the believers than themselves, so if anyone dies leaving a debt, its payment is my responsibility, and if anyone leaves a property, it goes to his heirs.
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This hadith has been narrated on the authority of al-Zuhri through another chain of transmitters.
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حَدَّثَنِي
مُحَمَّدُ بْنُ رَافِعٍ ، حَدَّثَنَا
شَبَابَةُ ، قَالَ : حَدَّثَنِي
وَرْقَاءُ ، عَنْ
أَبِي الزِّنَادِ ، عَنْ
الْأَعْرَجِ ، عَنْ
أَبِي هُرَيْرَةَ ، عَنِ النَّبِيِّ صَلَّى اللَّهُ عَلَيْهِ وَسَلَّمَ ، قَالَ : " وَالَّذِي نَفْسُ مُحَمَّدٍ بِيَدِهِ ، إِنْ عَلَى الْأَرْضِ مِنْ مُؤْمِنٍ إِلَّا أَنَا أَوْلَى النَّاسِ بِهِ ، فَأَيُّكُمْ مَا تَرَكَ دَيْنًا أَوْ ضَيَاعًا ، فَأَنَا مَوْلَاهُ وَأَيُّكُمْ تَرَكَ مَالًا ، فَإِلَى الْعَصَبَةِ مَنْ كَانَ " .
Abu Hurairah (RA) reported Allah's Apostle (ﷺ) having said this: By Him in Whose Hand is the life of Muhammad, there is no believer on the earth with whom I am not the nearest among all the people. He who amongst you (dies) and leaves a debt, I am there to pay it, and he who amongst you (dies) leaving behind children I am there to look after them. And he who amongst you leaves behind property, that is for the inheritor whoever he is.
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حَدَّثَنَا
مُحَمَّدُ بْنُ رَافِعٍ ، حَدَّثَنَا
عَبْدُ الرَّزَّاقِ ، أَخْبَرَنَا
مَعْمَرٌ ، عَنْ
هَمَّامِ بْنِ مُنَبِّهٍ ، قَالَ : هَذَا مَا حَدَّثَنَا
أَبُو هُرَيْرَةَ ، عَنْ رَسُولِ اللَّهِ صَلَّى اللَّهُ عَلَيْهِ وَسَلَّمَ فَذَكَرَ أَحَادِيثَ مِنْهَا ، وَقَالَ رَسُولُ اللَّهِ صَلَّى اللَّهُ عَلَيْهِ وَسَلَّمَ : " أَنَا أَوْلَى النَّاسِ بِالْمُؤْمِنِينَ فِي كِتَابِ اللَّهِ عَزَّ وَجَلَّ ، فَأَيُّكُمْ مَا تَرَكَ دَيْنًا أَوْ ضَيْعَةً ، فَادْعُونِي فَأَنَا وَلِيُّهُ وَأَيُّكُمْ مَا تَرَكَ مَالًا ، فَلْيُؤْثَرْ بِمَالِهِ عَصَبَتُهُ مَنْ كَانَ " .
Hammam bin Munabbih reported: This is what Abu Hurairah (RA) narrated to us from Allah's Messenger (ﷺ) . And he narrated many ahadith, and one was this: Allah's Messenger (ﷺ) said: I am, according to the Book of Allah, the Exalted and Majestic, nearest to the believers of all the human beings. So whoever amongst you dies in debt or leaves behind destitute children, you should call me (for help) ), for I am his guardian. And who amongst you leaves property, his inheritor is entitled to get it, whoever he is.
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Abu Hurairah (RA) reported Allah's Apostle (ﷺ) as saying: He who leaves property, that is for the inheritors; and he who leaves behind destitute children, then it is my responsibility (to look after them).
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This hadith has been narrated on the authority of Shu'bah with the same chain of transmitters
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Related hadith on this topic
Explanation & Benefits
Shaykh Maulana Abdul Aziz Alvi
Hadith Commentary: Benefits and Issues: This hadith establishes that the matter of debt is very serious. A person should not be negligent or lazy in the repayment of debt. If, due to some necessity or compulsion, there arises a need to take a loan, then one should strive to repay it, because one never knows when the message of death may arrive. And if someone, due to his poverty and destitution, is unable to repay his debt, then the government should arrange for its payment, or at the very least, his heirs should accept this responsibility. According to the Malikis and Shafi'is, the government can arrange for this from the category of zakat as well, while according to the Hanafis and Hanbalis, repayment from zakat is not permissible. However, according to Allamah Taqi, the reasoning of the Hanbalis and Hanafis is based on "lam tamlik"—that is, in ﴿لِلْفُقَرَاءِ وَالْمَسَاكِينِ﴾ ("for the poor and the needy"), the "lam" is for possession, meaning it should be given into their ownership, whereas in ﴿فِي الرِّقَابِ وَالْغَارِمِينَ﴾ ("for freeing slaves and for those in debt"), there is no "lam." Therefore, in the case of prayer (for the indebted), the condition of transfer of ownership (tamlik) for the expenditure of zakat funds is not required.
This means that zakat can be spent for the freeing of necks (slaves) and for those who have incurred fines, so here the question of transfer of ownership does not arise. It is said that the property of a deceased cannot be transferred into ownership, therefore, on his behalf, debt cannot be paid from the category of zakat. Furthermore, when the Imam (government) has collected the zakat, it has come into his ownership, so there is no need for new ownership.
(Takmila, vol. 2, p. 45)
Source: Tuhfat al-Muslim: Commentary on Sahih Muslim, Page: 4157
Maulana Ataullah Sajid
Benefits and Issues:
➊ The fact that the Prophet (sallallahu alayhi wa sallam) did not perform the funeral prayer for a person in debt was for the purpose of admonition.
➋ The Islamic government should provide financial assistance to those indebted individuals who are unable to repay their debts.
➌ If a person dies in debt and his heirs are destitute and unable to pay, it is the duty of the Islamic government to pay the creditors from the public treasury (Bayt al-Mal).
➍ The care of the destitute, orphans, and those unable to work is the responsibility of the Islamic government.
➎ For further benefits, see Hadith: 2407.
Source: Commentary on Sunan Ibn Mājah by Mawlānā ‘Atā’ullāh Sājid, Page: 2415