Wednesday, October 18, 2006

Riba (Interest) ..

"'Riba' has seventy parts, the least important being that a man should marry his mother."

The above quotation was said by Prophet Muhammad (peace be upon him)  Al-Tirmidhi Hadith 2826          Narrated by Abu Hurayrah

 

 

 

 

 

 

 


 

A simplistic definition of Riba would be: any fixed increase in the exchange of one's wealth or property or commodity within a stipulated period of time will be considered ' riba' in Shariah(Islamic law). 

 

An increase in the commodity exchanged in itself would definitely be 'riba'.  It there is even an iota of injustice suffered in the exchange of a commodity by a condition attached whereby it being increased unjustly, it would constitute ' riba'.

 

A fixed guaranteed increase over a stipulated period of time is what constitutes a 'riba' transaction.

 

Any deal or transaction where the same commodity is exchanged with an increase (regardless of the percentage) within a stipulated period of time would make it a ' riba' transaction

 

Riba' is Usury , and interest is only one of the faces of Riba.   Riba has a much broader and wider meaning, and the closest English word for it would be Usury .


 

 

 

"A time is certainly coming to mankind when only the receiver of usury will remain, and if he does not receive it, some of its vapor (or dust) will reach him."

The above quotation was said by Prophet Muhammad (peace be upon him Sunan of Abu-Dawood Hadith 3325          Narrated by Abu Hurayrah