Nasai

(1) It is permissible to take a loan out of necessity. However, one should also be mindful of its repayment, and upon having the means or when the appointed time arrives, repayment should be made immediately. In this matter, one should always act with kindness, that is, repayment should be timely, complete, and done in a good manner. If a person, upon settling his debt, pays more than what is due without the creditor demanding it, then this is not only an excellent repayment but also an act of kindness. Wealthy individuals should pay special attention to this.

(2) The debtor should, especially at the time of repayment and generally at all times, continue to pray for the creditor. Offering prayers for the creditor and expressing gratitude to him is also included in the best manner of repayment. In particular, praying for blessings in his family, wealth, and business is a Sunnah practice.

(3) It is permissible to take a loan in times of need, especially for communal necessities. This loan of the Messenger of Allah (sallallahu alayhi wa sallam) was also for a communal need, not a personal one. The condemnation is for taking a loan without necessity or when one does not intend to repay it at the time of borrowing.

Benefits and Issues:

➊ It is permissible to take a loan when there is a need.

➋ Fulfilling repayment in a good manner means that it should be done on time.

➌ To repay with something better than what was taken is also included in good character; however, if this is stipulated beforehand and the lender demands it, then this is usury (riba), which is a major sin.

➍ When repaying a loan, making supplications (du‘a) for the lender and expressing gratitude to him is also included in fulfilling repayment in a good manner.