Kitab al-Qardh - loans

Version 1.1
01/12/2023

Abu Hazim said: In the name of Allah the Compassionate, the Merciful. Qardh also means
Salaf, all of which are loans and loans are debts, giving loans is recommended. It is anything
given from the owner to a person and that person must return the exact thing back either
immediately within his contract or to a later date which will be clarified In Sha’ Allah. Allah says:
“O You who believe, whenever you contract a debt for a stated period, write it down” [2:282].

A loan is permissible with everything that is allowed to own, whether the owner has the
ownership over it by means of gifting or other manners and whether it is allowed to sell it or not.
Because a loan is not buying and selling. Buying and selling is not allowed except with a price
and it is allowed to sell something to receive a different type of item back, as for loans nothing is
allowed except to return the exact loan back in the exact same amount and same type.

It is not allowed to make it a condition for loans to receive back more and also not less, this is
Riba and the loan is annulled. It is also not allowed to make it a condition for loans to receive
better from other types or to receive less, and also not to receive a different type of property;
this is all Riba. It is also not allowed to specify a location for the loan to be returned. It is also not
allowed to make a warrantor a condition. Rasulullah ‫ ﷺ‬said: “What has led people to impose
conditions that are not found in the book of Allah? Any condition not found in the book of Allah is
false, even if there were a hundred such conditions. The Qur’an is the paramount source of
truth, and conditions established by Allah hold unparalleled authority when compared to any
other conditions created by humans” (1).

And regarding Riba Allah says: “O you who believe! fear Allah and give up what remains (due to
you) from Riba (from now onward), if you are (really) believers. And if you do not do it, then take
a notice of war from Allah and His Messenger but if you repent, you shall have your capital
sums (Ru’us al-Amwal)” [2:279].

Murtadha al-Zubaydi said in Taj al-’Arus: “Ra’s ul-Mal (singular form of Ru’us al-Amwal) means
a returned loan without any interest” (1.1).

So it is then not allowed to transgress the limits Allah set and it becomes obligatory to return a
loan or to receive it in the exact same amount and type.

If anyone voluntarily returns the loan in a larger amount than what he took, lesser than he took,
in better quality or a worse quality, this is all recommended. The one returning back more or
better is rewarded and the owner accepting a lower amount or a worse quality returned is
rewarded, this is only if the owner accepts the lower amount. Whether all of this is part of the
customs (done often) or not as long as none of it is made a condition, the same with returning
the loan in a different country, this is all accepted if it's not a condition. Jabir Ibn Abdullah said:
“Rasulullah ‫ ﷺ‬owed me a debt and he returned it in greater amounts” (2).

Abu Hurairah said: “Rasulullah ‫ ﷺ‬took as a loan a camel of a certain age to return the exact
same camel, Rasulullah ‫ ﷺ‬then returned an older camel, and he said: ‘The best amongst you is
the one who pays the rights of others generously’”. This is the view of the Salaf such as al-
Hasan Ibn Ali Ibn Abi Talib, al-Hasan Ibn Ali, Ibn Umar, Ibn Abbas, al-Hakam Ibn ’Utaybah,
Hammad Ibn Abi Sulayman, Qatadah, al-Hasan al-Basri, Sa’id Ibn al-Musayyib, Abu Hanifah,
al-Shafi’i, Dawud and others (3).

Malik allowed returning the loan in a better type as long as it is not among the customs (done
often) and he also prohibited returning in more amounts (4).

This is false because if it is allowed once it must be allowed a thousand times without any
difference, if doing it once is a good act then doing it often is also a good act. If it would be sinful
then it would not be allowed a single time, not in lesser amounts, not even once. We do not
know any creation of Allah that uttered this before Malik.

As for him prohibiting returning more, it is the view of al-Sha’bi and al-Zuhri. From the wonders
is that they allow Riba in cases where it is very clear such as when he allowed exchanging a
defective Dinar for a worthy Dinar, the same for a defective Dirham for a worthy Dirham with a
condition made in the exchange in weight, while Rasulullah ‫ ﷺ‬said: “Dinar must be exchanged
for Dinar, with no addition on either side and Dirham must be exchanged for Dirham with no
addition on either side” (5).

At the same time he prohibits making conditions of additions for returning loans while Rasulullah
‫ ﷺ‬himself did it and recommended it.

It is not ever allowed for anyone to return a loan in a different type than the loan he took, not by
making conditions and also not other than conditions, such as taking golds as a loan and
returning it as silver and everything else. Allah says: “Do not consume one another's wealth
falsely but only [in lawful] business by mutual consent” [4:29]. As anyone returns something
other than the loan he took, he took it without right and anyone that takes without right
consumes wealth falsely.

If they say: “This is only like buying and selling as if he sold to him for what the person returns
later”

The answer: This is Haram as the person that took the loan never owned that ’Ayn. And selling
is not allowed except with ’Ayn, which is the exact owned thing, else it is selling what is not
owned by someone which is prohibited as we will clarify in Kitab al-Buyu’ In Sha’ Allah this is
purely Riba as we will clarify in the chapters of Riba In Sha’ Allah.
Whoever takes any loan owns it, he is allowed to sell it and it is allowed to gift it and to spend
from it, just as anything else he owns. There is no difference in any of this.

As for Dayn ul-Hal which is a loan which is a debt with no specified date when it will be returned.
The one that gave the loan is allowed to take it back whenever he wants, even directly after the
loan and if he wants he can wait till the end of his lifetime.

Malik said: “The owner can only inquire about the loan he gave after the one that has the
property made use of it” (6).

This is false, a claim with no evidence ever presented. This is also obliging a date with an
unknown amount which Allah has not obliged. Rasulullah ‫ ﷺ‬instead ordered to give everyone
their right, whoever prohibits that by obliging delayment opposes the commandment of
Rasulullah ‫ﷺ‬.

If the owner of the debt (loan) requests his loan to be returned and the loan is available with the
one that took the loan, it is not allowed to force him to return that exact item, he is instead only
forced to return the exact amount and type in general, either that exact item or others which are
the exact same amount and type. Because he owns that which he took as a loan like all other
wealth he owns. It is then not allowed to force to return the exact same thing that he gave while
he has other wealth which is also the exact same type and amount. This is only if he does have
others which are the same. Because if he does not then he must give that exact amount and
exact type which he took as a loan. This is because he is ordered to hasten in doing justice to
his creditor.

If a loan is specified to a certain date, then it is obligatory to write it, it is also obligatory to have
at least two men of virtue witness it. Or atleast one man and two women who are all virtuous. If
this happens during a travel and no scribe is found (who are from those of virtue to witness and
write), then one that will be in debt (the one taking the loan) can take a pawn if they want and if
they don't, it is their choice. This is all not obligatory on Dayn ul-Hal which is a loan with no
prescribed date, not for travelers and also not for residents.

Allah says: “O you who believe! When you contract a debt for a fixed period, write it down. Let a
scribe write it down in justice between you. Let not the scribe refuse to write as Allah has taught
him, so let him write. Let him (the debtor) who incurs the liability dictate, and he must fear Allah,
his Lord, and diminish not anything of what he owes. But if the debtor is of poor understanding,
or weak, or is unable to dictate for himself, then let his guardian dictate in justice. And get two
witnesses out of your own men. And if there are not two men (available), then a man and two
women, such as you, agree for witnesses, so that if one of them (two women) errs, the other
can remind her. And the witnesses should not refuse when they are called (for evidence). You
should not become weary to write it (your contract), whether it be small or big, for its fixed term,
that is more just with Allah; more solid as evidence, and more convenient to prevent doubts
among yourselves, save when it is a present trade which you carry out on the spot among
yourselves, then there is no sin on you if you do not write it down. But take witnesses whenever
you make a commercial contract. Let neither scribe nor witness suffer any harm, but if you do
(such harm), it would be wickedness in you. So be afraid of Allah; and Allah teaches you. And
Allah is the All-Knower of each and everything. And if you are on a journey and cannot find a
scribe, then let there be a pledge taken (either pawning or mortgaging); then if one of you
entrust the other, let the one who is entrusted discharge his trust (faithfully), and let him be
afraid of Allah, his Lord. And conceal not the evidence for he, who hides it, surely his heart is
sinful. And Allâh is All-Knower of what you do” [2:282-283].

There is nothing for these orders of Allah except obedience, it is not allowed to claim that it is
only recommended. And Allah says: “Write it down!”, it is not allowed to say: “If you want you
may write it”. And Allah says: “Get witnesses!”. It is not allowed to say: “I wont witness”. It is not
allowed to change the obligations obliged by Allah that it is recommended except with clear
Nusus. All of this is the view of the Salaf and Dawud, this will be clarified further in Kitab al-
Buyu’.

Whoever meets his creditor in a city whether it is nearby or far away and the loan is Dayn ul-Hal
and the time has reached, then the creditor can request to get back his property, he has a right
to take it all back. The one who took the loan can be forced into returning it by the ruler.
Whether the debt is food, gold, silver, an animal or anything else, they are all the same. It is not
allowed to not force the one that must fulfill the right and by making it a condition to only return it
at a specific place.

Rasulullah ‫ ﷺ‬said: “The Ghaniy delaying (returning the right) is oppression” (7).

Whoever claims it is not allowed to force justice except at a place they took the loan has said
falsehood and that which has no evidence, not from Qur’an, not from Sunnah, not from Ijma’,
not from Qiyas.

If the one that has to pay the debt at a prescribed date and the creditor wants to hasten it to an
earlier date, it is not allowed to force him whether it is a very short amount of time or a lot of
time. The same for the one that must return that right he can also not hasten and return it in an
earlier date, whether it is regarding tradable items, food, Dinar, animals, Dirham or anything
else. It is only allowed to make the date earlier if both of them agree to it, this is also the view of
Dawud and our companions.

Al-Malikiyyah believe in forcing people to pay the debt before the prescribed time. They use as
evidence that Rasulullah ‫ ﷺ‬said: “Take it. If you are given something from this property, without
asking for it or having greed for it, take it; and if not given, do not run for it” (8).

This is false. The condition of setting dates is allowed by Nusus of al-Qur’an and Sunnah, it is
not allowed for anyone to claim it is invalid. The manner they use the narration is a distortion of
the words from its places. As this narration is regarding gifts, we are prohibited from asking
about it for reasons other than necessities. It is not regarding obligatory rights, and asking and
seeking or waiving about it.
It is permissible to use slaves whether male or female, animals, houses, land and anything else.
As loans are in general allowed for everything. Allah says in general: “O You who believe,
whenever you contract a debt for a stated period…” [2:282].

It is not allowed to specify out anything, there is no evidence for any of that. Our view is also
that of al-Muzani, Dawud, Muhammad Ibn Jarir and our companions.

Abu Hanifah, Malik, al-Shafi’i and Ibn Qudamah prohibit using slave girls as loan. There does
not exist a single evidence for them, except that they say: “It is not allowed because he has
intercourse with her and then returns her to the creditor, this is lending a woman's private part”
(9).

This is false because lending which means ‘Ariyah means that the ownership of the lender does
not cease, it is then prohibited to have intercourse with the slave girl as she does not belong in
his right hand, but is from the lender instead. And also ‘Ariyah means returning the exact same
slave girl back while Qardh means returning the same type with the exact same mount which
can be from something other than it.

So as for Qardh, the Mustaqridh (the one taking the loan), if he takes a slave girl from the
creditor he can have intercourse with her as Qard does change the ownership from the creditor
to the one that took the loan and for loans the one that took the loan can also return a different
slave girl as long as they are similar. This is all allowed, and having intercourse with a loaned
woman is allowed. There is no difference between this and a man that had intercourse with his
slave girl, then sells his slave girl to someone who also has intercourse with her and then he
buys it back again and has intercourse with her after her Istibra’ (Making sure that a woman is
not pregnant through observing a waiting period) and in this manner forever.

There is also no difference between this and if a man marries a woman, has intercourse then
divorces her, then she is a Mu’tadda for 45 days and she marries his neighbor and has
intercourse, then gets divorced and like this the cycle can continue with no prohibition in any of
that.

Everything what either the amount, volume or weight, can be known of, it is not allowed to loan
it in random amounts, not knowing the amount or weight, because if someone does loan not
knowing it, then he does not know what he is loaning and will not know how much he must get
returned it will then become consuming false wealth.

Everything from that which is used for loans and the amount, volume or weight from it is known.
If the one who took the loan returns it in unequal parts and it is known with certainty that that is
the case, if it is lesser and the Muqridh (creditor) is pleased with it, or if it turns out to be more
while the returning the loan is pleased, then it is allowed and valid as mentioned before. If he
returns the loan not knowing with certainty the amount and none of them agree to it then it is
invalid. Because taking property from people in general is not allowed except with their
approval. And if it is not known with certainty property can be consumed by false means.

It is not allowed to hasten some of the debt with a prescribed date in order to free him of the
remaining debt. If this occurs then it is rejected and that amount is given back to the creditor.
Because this is a condition that is not in the book of Allah. Rasulullah ‫ ﷺ‬said: “Every condition
that is not in the book of Allah is false”. If he hastens what is on some that he is obliged to return
without a condition and the creditor accepts it, it is valid as there is no condition made here,
there is only that one of the two hastens to fulfilling the rights and the other hastens in freeing
him from the right which are all good acts.

Whoever has Dayn ul-Hal (the creditor did not stipulate a date to return the loan) or if a
stipulated loan, after that the creditor seeks to set an other date, whether there are witnesses or
not, it is invalid and the debt remains Dayn ul-Hal if it was Dayn ul-Hal, then the creditor can
take it whenever he wants. And if the date was already stipulated it is not allowed to oblige an
earlier or later date, even if the creditor is curious. THis is also the view of al-Shafi’i, Zufar,
Dawud and our companions. This is because it is setting conditions that are not in the book of
Allah, and any condition that is not in the book of Allah is false.

Everyone that dies with unreturned debts which had a prescribed date, or if people had debts to
return to someone that passed away which had a prescribed date, all of that is the same, in that
case the dates become invalidated and all debts become Dayn ul-Hal, whether this is debts of
loans or buying and selling.

Malik said: “As for debts that a person must return to a creditor, and he passes away, it
becomes Dayn ul-Hal. But as for a person passing away with debts unreturned to the creditors,
the prescribed dates remain” (10).

The answer: This is a difference with no evidence ever presented.

As for the certain evidence of our view, Allah says: “No person earns any except against
himself” [6:164]. And Rasulullah ‫ ﷺ‬said: “Your blood, wealth are for each other prohibited”. And
Allah said regarding the ruling of inheritance, when he mentioned the inheritance shares: “After
any bequest which was made or debt” [4:11]. It is then known that the death of a person
invalidates his ownership over his property and that the ownership moves to the creditors,
bequeathed, inheritors and will. The prescribed date between the creditors and debtors (the one
taking the loan) is then without any doubt during the lifetime only. As he passes away the
ownership moves, it is then not allowed for a dead person to earn against others. It is not
allowed for the creditors to take the money of the inheritors, bequeathed and will. It is also not
allowed for the inheritors to take the money from the creditors except with their approval.

If the one that has debts gives gifts to the creditors or extends hospitality, it is both Halal as long
as it is not made a condition of the debt, if it was made a condition it is Haram.
Rasulullah ‫ ﷺ‬said: “Anybody who believes in Allah and the Last Day, must serve his neighbor
generously, and anybody who believes in Allah and the Last Day should must his guest
generously by giving him his reward, hospitality is up to 3 days, whatever is done after that is
Sadaqah” (11).

This is general, creditors are not specified out. Some of al-Sahabah prohibited giving gifts,
feeding and extending hospitality to creditors and none of that is an evidence as there is nothing
Marfu’ regarding its prohibition from Rasulullah ‫ﷺ‬.

We finish everything here and we say, all praise be to Allah, the Lord of the worlds. Peace and
blessings of Allah be upon our master Muhammad, his servant, his messenger. There is no
power or strength except by Allah. The Most High, the Most Great.
Sources:

(1) Sahih al-Bukhari 2168

Sahih Muslim 1504
(1.1) https://shamela.ws/book/7030/8236
(2) Sahih al-Bukhari 2168
Sahih Muslim 1504
(3) Sahih al-Bukhari 2305, 2392, 2393
(4) Al-Mudawwanah 3/35
(5) Al-Musannaf by Abd al-Razzaq 8/125, 14572
(6) Al-Jami’ Li Masa’il al-Mudawwanah 18/448
(7) Sahih Muslim 1564
(8) Sahih Muslim 1045
(9) Al-Mughni by Ibn Qudamah 4/238
(10) Al-Mudawwanah 4/83-84
(11) Sahih al-Bukhari 6019