Authored by: Saudi Fatwa Committee
Ruling:
It is not appropriate to take a loan from, or engage in financial dealings with, someone whose transactions involve interest (riba) or other prohibited (haram) activities. Therefore, one should refrain from borrowing from such individuals and avoid financial interactions with them. Instead, maintain distance and keep clear of such dealings.
However, if the individual is involved in both lawful and unlawful transactions, meaning their dealings are a mixture of permissible and impermissible activities, then borrowing from them is permissible, but it is still preferable and better to avoid doing so. This aligns with the prophetic teaching:
"Leave that which puts you in doubt for that which does not."
(Sunan al-Tirmidhi, Hadith No. 2518; Sunan al-Nasa’i, Hadith No. 5711)
The Prophet ﷺ also said:
"Whoever avoids doubtful matters has preserved their religion and honor."
(Sunan Abu Dawood, Hadith No. 3330)
Reference:
[Ibn Baz: Majmoo' al-Fatawa wa al-Maqalat: 19/286]
Ruling:
It is not appropriate to take a loan from, or engage in financial dealings with, someone whose transactions involve interest (riba) or other prohibited (haram) activities. Therefore, one should refrain from borrowing from such individuals and avoid financial interactions with them. Instead, maintain distance and keep clear of such dealings.
However, if the individual is involved in both lawful and unlawful transactions, meaning their dealings are a mixture of permissible and impermissible activities, then borrowing from them is permissible, but it is still preferable and better to avoid doing so. This aligns with the prophetic teaching:
"Leave that which puts you in doubt for that which does not."
(Sunan al-Tirmidhi, Hadith No. 2518; Sunan al-Nasa’i, Hadith No. 5711)
The Prophet ﷺ also said:
"Whoever avoids doubtful matters has preserved their religion and honor."
(Sunan Abu Dawood, Hadith No. 3330)
Summary:
A believer is encouraged to avoid doubtful matters. If it is confirmed that someone’s dealings are entirely unlawful, such as engaging in prohibited trade or business, one should neither borrow from them nor engage in transactions with them.Reference:
[Ibn Baz: Majmoo' al-Fatawa wa al-Maqalat: 19/286]