Question: How do we combat Riba?

“There are two forms of Riba that must be recognised. One is lending of money on interest. And the other would be a transaction based on deception which delivers a gain or a profit to which,… one is not justly entitled. That is the elegant way of describing a rip-off.

The greatest rip off that has ever occurred in human history is the rip off of the monetary system that we now have, of bogus and fraudulent and utterly Haram paper currencies and the electronic currency which is now taking over from the paper currency.

What do you do? Answer, when you have abandoned the Qur’an and Sunnah, make Tauba and return to the Qur’an and Sunnah. Meaning return to the Gold Dinar and the Silver Dirham.

Do you know that Israel tomorrow is going to mint… In fact I think they have already minted the Gold Dinar and Silver Dirham. And Israel would be using that.
Why would Israel have to do it? If you study ‘Ilmu Akhir-Az-Zaman (Islamic Eschatology) you can answer these questions.
…Every Jew knows, only that money can be used in the temple which does not have any human figure on it.
The Roman coins at the time of Nabi Isa (A) were Haram to be used in the Temple; because they had graven images… And so the Temple (at that time) used to mint its own coins, gold and silver. And the people came to the temple if they wanted an animal to be Zabiha (sacrificed); you got to pay for it. And no one could sacrifice the animal except the Rabbi. Therefore the temple got some revenue. So you had to pay the temple in this money which was Halal (gold and silver coins).

So when Dajjal stands up in Jerusalem tomorrow, and he has not brought back that Halal money, no Jew will accept him as the Messiah. This is why I believe that Israel has already minted her gold and silver coins so that these can be introduced before Dajjal makes his appearance.

So that’s the first thing you can do; bring back the Gold Dinar and the Silver Dirham as money. Can you do it in downtown KLCC? I’m not stopping you. If you want to try, go ahead.
It is my opinion based on my study on Surah Kahf of the Qur’an that the only place you can bring back the Gold Dinar and Silver Dirham as money in the market, is in the remote country side. And in those micro markets we will not accept your paper money.

In so far as money lent on interest is concerned; make Tauba if you have borrowed money on interest to buy your car, or to buy your house.
Make Tauba because if you die with that Riba, there is no way you can enter into Jannah. Why? Because the curse of the Prophet (SA) is upon you.

Get out of that Riba. Sell the car. Sell the house. Pay the bank. When you try do to that… you will know what kind of snake there is in the bank.
Make Tauba and never again borrow or lend money on interest.”

Transcribed and posted by brother Deenuzzaman Choudry

I Can Not Afford To Buy A Car Or House Without Asking The Bank, How Do I Escape Riba?


“You can if you want, go the way of the world. Let me tell you my way:

I’ve attended 5 Universities.
I was a Diplomat in the foreign service of my country (Trinidad).
I gave up that job.
Many Pakistanis told me I was a fool; only a fool will give up a job of a Diplomat to become a Mullah.
If I didn’t give up that job, I couldn’t be today with you (preaching Islam).
So there are things in life that money can not buy. I am now almost 70 years of age.
I never had a house. In 2005 I built the ground floor of my home with 1 bedroom. And then just before I left Trinidad (early 2011) to come on this lecture tour I was able to build the upper floor with 2 other bedrooms.
That’s how houses were build long time ago. I didn’t go to a bank to borrow money to build a house, no.
I lived in a rented apartment. I lived in New York for 10 years… in a small cubby apartments. Couldn’t afford (anything better). But I did that to remain faithful to Islam….

I left New York in 2011 after having lived in the United States for 12 years.
The car I was driving was worth $500.

So there is that way which is the way of the world; you want a big job, you want a big house, you need a big car, go ahead and borrow your money on interest.
And when you’re in the Hell-fire, don’t call me. Don’t call me on the phone, don’t send an email from Jahannam.

Or you can go the other way. The other way is, even if I have to give up house, and give up car and give up job, give up my home and give up my town, and flee to a cave in the mountain, I would prefer to do that. But I’m not giving up my Deen (Islam).”

Transcribed and posted by brother Deenuzzaman Choudry
Why Do You Say Murbaha in Islamic Banks is Back Door Riba?

This part is taken from lecture:
The Prohibition of Riba in The Qur’an & Sunnah, Malaysia 2011.
28 June 2011/ 26 Rajab 1432H

“Prophet (صلى الله عليه و آله و سلم) will sometimes go to the shops and buy goods. But (sometimes) he would not have the money to pay. So the shop keeper would give him the goods and he (صلى الله عليه و آله و سلم) would promise to pay him later. This is called credit transaction.

So a credit transaction; to buy now and pay later is Halal. It is Sunnah.
However because the shop keeper had to wait for his money, he was not allowed to raise the price. If you can raise the price because you have to wait for the money; then money can grow because of time. That is Riba.
Money cannot grow because of time.

So a credit transaction is permissible; provided that the credit price and the cash price are the same. There can be no increase in credit price over cash price.
If the credit price is higher than the cash price; then the difference between the prices would be Riba.

What Islamic Banks around the world are doing: if you want buy a house and you do not have the money to pay cash, the cash price is five hundred thousand, the Islamic Banks say no problem. We will buy the house for five hundred thousand. (The cash price) but we will sell that house to you now on credit. We give you 20 years to pay.
But (because we have to wait for our money for 20 years) our credit price is now twice the cash price One Million.
The difference between the credit price and the cash price becomes Riba. But the Islamic Bank say, No, this is something called Murabaha.

Murabaha is a transaction in which something is sold at a profit and both the buyer and the seller know the amount of profit and accept it.
But this is not Murabaha, no. If it was a cash transaction, yes. But this is a credit transaction. And because it is a credit transaction the difference between the credit price and the cash price is Riba.

I call it Riba through the back door. And if you want to differ with me, no problem.
If people want to use Islamic Banks; sure they can do that. That’s your choice.
But if you say I am wrong and want to silence me, and you want to band me, and you want come after me with boxing gloves, remember I can challenge you, just remember that.”

Transcribed and posted by brother Deenuzzaman Choudry

I have never offered a macro-solution to our difficulties in respect of ‘money’.

I have used the Qur’an and Ahadith to define Sunnah Money and I have suggested that an effort be made to restore Sunnah Money in micro-markets that are relatively disconnected from markets using what I recognize to be bogus and fraudulent paper currencies.

Unless governments use unjust force and violence to prevent the use of Sunnah Money in remotely-located micro-markets, I see no reason why we cannot restore in micro-markets a monetary system that has already functioned successfully in the past.

Allah will hold you to account for that Riba which you can avoid even if you had to flee to the mountains sides where rain falls and take with you some sheep and goats.

Do please inform him that Allah Most High has declared in Surah al-Tagabun that we should *fear Him to the extent that we have capacity to do so*.

Although the paper currency is bogus fraudulent Haram and an amazingly dangerous instrument of oppression and universal slavery, we are permitted to use it until such time as we can escape from its poisonous, deadly and sinful embrace.

My own opinion is that such escape is possible only through the creation of micro-markets which use only Sunnah money and which are a part of

remotely-located Muslim Villages.

Money in Islam (i.e., the Qur’an and Sunnah) must have intrinsic value.

Whoever uses paper as money and in the process assigns a fictitious value (regardless of how small the value assigned) to the piece of paper, is attempting to create wealth out of nothing. That is both fraudulent and constitutes Shirk.

The simple facts regarding taking loans based on interest are:

i) It is prohibited. It is one of the two things that Allah has declared war against;
ii) The issue of whether one buys a home or does business is irrelevant: loans for any reason which has interest in it is prohibited;
iii) From amongst the prohibitions, taking and giving of interest is in the category of Tahreem al-Maqasid, i.e., prohibition by its essence. As such, it can never be made permissible unless there is a dire necessity upon someone that would lead to death or harm. Even in such a situation, an alternative must first be sought;

It is clear that interest- bearing loans is not acceptable in Islam, and its detriment effect on people who are involved in it as well as to the wider society is extremely well known. Given that you have taken such a loan, I would offer the following practical advice. I suggest that you do your best to pay off your loan and exit the situation you find yourself in. Make repentance with Allah and seek His forgiveness, and know that Allah is Merciful. Thus do not despair, but hasten to constructive means to remove yourself from the situation by paying it off as soon as it is practicable.

And success is only from Allah.

In three verses of the Qur’an Allah Most High has prohibited the unjust diminishing of value of people’s wealth (Wa la tabkhasun naasa ashya-ahum).

This unjust diminishing of value of people’s wealth is sometimes achieved through inflation. Hence it is Haram.

Inflation is defined as the constant increase in prices for a reason other than that related to market forces of supply and demand. The reason for Inflation is usually the unjust fall in value of money.

When gold and silver are used as money, the value of money remains relatively stable. The price of a sheep in gold dinars 1000 years ago is relatively the same as today’s price.

When, however, money with intrinsic value is removed from the market and is replaced with bogus fraudulent money with fictitious value then that value can be manipulated to constantly diminish. As money falls in value, prices rise. It is that phenomenon which is known as Inflation. It is an instrument through which the masses are unjustly impoverished while a predatory elite grow richer and yet richer while drinking the blood sweat and tears of the innocent masses.

There is no doubt that Riba is amongst the most abhorrent of systems and action in the Sight of Allah. Earning from it and engaging in it is simply unacceptable for a Muslim. As such anyone working in a bank really should make every effort to find a different job. This does not mean the person should put themselves in great danger and suffering, but in practical terms looking for another job which does not buy and sell Riba is not that difficult, insha Allah.

May Allah make such decisions made by Muslims one where there is ease and facilitation by His Mercy.