Debt and Loan 34item If a person pays off the debt of another person without telling them, is it incumbent on the debtor to compensate the person who paid off their debt? A person who borrowed a certain amount of money refused to pay it back. The lender took him to court to recover the debt. The court ruled in favor of the lender. Accordingly, the borrower had to pay back the debt; he also paid a tax for law enforcement. Is the lender responsible for that according to shar‘? A friend of mine, who owns a factory, borrowed from me a sum of money. After a while, he returned the money with an extra amount which he paid of his own free will. It is worth mentioning, though, that we did not sign an agreement to the effect that he should give me that extra money. For my part, I didn’t expect him to give me extra. Is it shar‘ī to take that additional amount of money? I gave my brother a loan. On moving to a new house, he gave me a carpet which I, in retrospect, mistook for a present. When I demanded the money back, he claimed that he had given me the carpet in settlement of the debt. Is he justified in his action, despite the fact that he didn’t inform me of his intention at the time? If I don’t agree with him, should I return the carpet to him? And due to a decline in purchasing power of the currency, can I ask him to pay me back the debt plus an additional amount to make up the difference in the purchasing power of the currency? A person bought merchandise from another. They agreed that the buyer should pay for the goods in three months’ time. However, the buyer could not pay the debt on time. Both the parties agreed that the debtor should be given another three months to come up with the money provided that an additional amount is paid on top of the original debt. Is this transaction shar‘ī? A fund gives out loans on the condition that the member deposits a certain amount of money in the fund where it has to be left for three to six months. At the end of this period, the member can take a loan up to double the amount he deposited. After the member pays off the debt, his money is returned to him. What is your view? Because of lack of funds, the majority of Muslims find themselves forced to borrow money from non-Muslims and pay it back with interest. Is this shar‘ī? Someone borrowed a sum of money to set up a business. If the business proved a success and made profits, is it permissible for the borrower to give the lender a share of the profits? And is it permissible for the lender to demand from the borrower a share of the profits? An ex-serviceman, who is now disabled, approached the bank with a view to obtaining a loan. Since such people enjoy certain privileges commensurate with the degree of their disability, in that the greater the disability the greater the concessions and privileges, the person in question wants to utilize this. Although they do not agree with the degree of disability, which was determined by people in the medical profession, can the disabled people use the certificate in enjoying the concessions and privileges? Is it permissible for any person to deposit funds with others and charge monthly interest? Is it obligatory on one government department to pay the debt it owes to another? A woman borrowed a sum of money equivalent to one-third of the value of the house she bought. Both the parties, lender and borrower, agreed that the borrower should return the money when she could afford it. However, the woman’s son gave the lender a check for the amount of the debt as surety. In the past four years, both parties died. Their respective heirs want to settle the matter. How should they go about it? Is it by way of relinquishing possession of one-third of the property to the lender’s inheritors or would the amount written in the check do? Some people borrow an amount of money from others and give them an amount monthly as profit without this being based on any Islamic contract. It is done on the basis of mutual agreement. What is the ruling in this regard? The administrative committee of a ribā-free loan institution bought property with money borrowed from a person. A month later, the institution paid back the loan with money deposited in its trust by other people without their permission. Is this transaction shar‘ī? And to whom should the ownership of the property belong? Is there a way out of ribā in banking transactions? 123