What does Islam say about College Loans?

[Abdinuur]

I heard they are illegal but at the same time I see brothers and sisters taking loans to pay off their tuition for colleges and universities...or what have you.

 

Your responses are appreciated...

 

Asalaamu Aleykum,

Abdinuur.

[Thinkerman]

well unfortnately thats the sitution mosts students find themselves in these days.

I myself am in my last year @ university and @ begining of each consequtive term i take out a loan or a section of it.

How else am i suppose to get through uni? well am sure if i was more prepared and had been abale to work and save up i could have. But i couldnt so this is the situation i find myself in.

[Valenteenah.]

It's next to impossible to go into higher education in the UK without taking out a student loan. So, whatever Islam says about it, I've been forced to go into debt (which I'll have to pay back with interest, which granted is lower than the normal rate, but is interest nonetheless). Nothing much I can do bout it.

[Bachelor]

Very good point Abdi! You know i have meet an intellectual somali schoolar who graduated from Madina and get his masters from one of the IVY league school here in USA. He defintely agreed that if there is no means of getting an education its ok to borrow a loan. But he added that the intention of your persuing the education always should be toward helping the Muslim Ummah. And there are many Schoolars who disagree with anytype of interest whatsoever. As for me i took a loan and the marcy of Allah is way beyond our imagination.

[nuune]

as far as i know,most students take loans to support themselves,

anyway i take loans by means of using credit cards,but it is the same,the interest is horrible,but as barwaaqo said it is lower than the normal.i can't do anything about it!!

[Samafal]

Barwaaqo isnt the case that the loan students take here in the UK was free from interest and just pay back amount of money you are owed?

[Valenteenah.]

No Yacquub, that isn't the case. Although the interest on the loan is below market value...it still fluctuates with the base rate.

 

Like u, I thought u just paid back what u borrowed. Then I read the small-print in one of the Department of Education and Employment Services's booklets on Student loans.

[Thinkerman]

Ahh barwaaqo u bothered to read the small print, lol well goood for u you. i suppose i should really have read mine aswell

[WingA]

my friend who is a lil shiekh, asked a scholar from Saudia and he said 'the country your in should provided you with what you need for the good of your education' and they have provided the loans for us and the Interest rates are 0.1 or something in the U.K.. it would of been free but because of infaition they have to charge us interest..

 

Bachelor your spot on brother..

 

salaams..

[Haashim]

Abdinuur, brother this is very important question, first of all I think bro. BACHELOR'S ANSWER is the right one ISHA AYUU KA RIDAY, but I want to say generally there is lack of FIQI (UNDERSTANDING OF THE RELIGION) in the Somali community, this partly to do with the general ignorance but also other reasons which relates to outside influences.

 

I want to explain one of this reasons: there's a Somali saying says: MISKIINBAA MISKA LA FUULO LEH.

 

This issue (students loan) and other similar issues raised the beginning of 90's. all these issues were touching primarily to the low class people, these fatwas hindered many students to go universities The problem were exist and still exist student's loan is kind of interest credit as well as mortgage but even GULF COUNTRIES there are some similar sales which all uluma approved. such as car sales in these countries e.g. TOYOTA LANDCRUISER costs 150.000 Saudi riyal for instalment and 120.000 for cash, do you see any difference between this and mortgage system, because even mortgage if u have cash it's cheaper than the instalment.

 

While Somali sheikhs in this countries are refusing students to go university because of student loans they were silent many hotter issues such as BENEFIT FRAUD which many Somalis involved.

 

I will take an example for two things which many Somalis involved particularly WADAADADA.

1. business with benefit which some ppl think that there's difference between business and work, because work with benefit is HARAAM and business?

 

2.The most dangerous one is XAWAALADDA or money transfer to Somalia and elsewhere.

This issue is very dangerous one but it's taboo, no one does ever discussed the legality of PERCANTAGE BASED SERVICE of Somali money transfer and the reason is for me clear and it's MISKIIN BAA MISKO LA FUULO LEH.

 

I would like to hear your ideas.

 

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LACNADI HA KU DHACDO DAALIMIINTA IYO KUWA U GARGAARABA, LAAKIIN MAXAYNU NIRAAHNAA KUWA KA AAMUSAN IYO KUWA MARKA XERADOODA LA GAL UUN QAYLIYA

[StarGazer]

I once met a family friend who's a house wife. For a while she was attending college and all of a sudden stopped. She told me that getting a loan was XARAAM!!! I was shocked. Ofcourse that's when I realized the Somali sheikhs position regarding this issue.

I agree with Bachelor and I heard the same thing too. This also applies to getting a mortgage for housing.

[Rahima]

I personally don't know how the loan system for education in the states and Europe works, however if there is interest as you all say, then it is haram.

 

Without a doubt, there is daruura for issues, but it’s not with such a case because if you don’t receive this education you won't cease to exit, its not like your life (the essentials of life- food, water, shelter) are dependant on this higher education. The cases that the scholars of Islam have explained that we can take such loans are for example, unless we take a house on a mortgage we will be left homeless (no such place in the west).

 

Brothers and sisters don't fall into this trap; don't ever fall into interest. The smallest interest one takes, is equal to commiting zina 36 times . Subxanallah, and we still take it so lightly. Rasuallah wouldn’t make such a parable if it were not so serious. I swear by the Lord of the kacba, it is better for you all to return to Africa, become nomads, make a halal living and wait till malakul mawt makes him once a lifetime visit, than to face Allah subxaana wa tacaalaa with such a sin.

 

Remember the following brothers and sisters:

 

"Allah will deprive Riba (interest) of all blessing, but will give increase for deeds of charity" (Quran 2: 276).

 

Narrated Jabir ibn Abdullah: Allah's Messenger cursed the accepter of interest and its payer, and one who records it, and the two witnesses; and he said: They are all equal (Muslim).

 

Abu Huraira related that the Prophet said: On the night of the Miraj I came upon a group of people whose bellies were like houses. They were full of snakes, which could be seen from outside their bellies. I asked Gabriel who they were, and he told me that they were the people who had practiced Riba (Interest). (Ahmad, Ibn Maja)

 

Abdullah ibn Hanjalah related that the Prophet said: A dirham of Riba (interest) knowingly taken by a man is a sin worse than committing Zina (fornication) 36 times (Ahmad, Daraqutni).

 

So now i ask you fellow nomads, who is able to answer to Allah on the day of judgement knowing they took part in Riba? None of us i'm sure.

 

Day in day out we ask Allah to alleviate the problems of the Muslims, but how can we expect to benefit this ummah when we take routes Islam has prohibited? Islam is not just on intention (although of course it is very important), but also action. For an action to be accepted by Allah not only must we have a clear intention BUT ALSO it must not be in contradiction with the Quran and Sunnah, Riba clearly is!

 

As for the Muslim man (graduate of Madina) that sanctioned the taking of such loans, fellow nomads, Islam is not about opinion. Ones opinion when it comes to Islam does not matter; it is about the Quran and Sunnah. Therefore, when you hear a person saying anything in regards to Islam, always ask for proof. Believe you me, you will die alone, enter your grave alone and face Allah alone. It is your responsibility to learn your religion, rather than taking the words of others.

 

Of course nomads, there are ways to go around this, work all summer and save so as to pay off the fees of the coming year. I have many friends in the states, canada and the UK who get themselves through university.

 

If i have offended anyone then i do apologise in advance for that was not my intention.

[Rahima]

A fatwa:

 

Question:

What is the ruling on taking an interest-based loan from the bank for an urgent need such as continuing university studies, or buying a car for one who has a family, or buying a house for a family, knowing that the person who is taking the loan cannot find anyone to lend him money without interest?

 

Answer:

Praise be to Allaah.

Firstly: ribaa (interest, usury) is haraam wherever it exists and whatever form it takes. It is haraam for both the owner of the capital and whoever borrows it from him with interest, whether the borrower is rich or poor. Both are guilty of sin and indeed both of them are cursed. Whoever helps them in that, the one who writes down the contract and the one who witnesses it are also cursed, because of the general meaning of the aayahs and sound ahaadeeth which indicate that it is haraam.

Allaah says (interpretation of the meaning):

“Those who eat Ribaa will not stand (on the Day of Resurrection) except like the standing of a person beaten by Shaytaan (Satan) leading him to insanity. That is because they say: ‘Trading is only like Ribaa,’ whereas Allaah has permitted trading and forbidden Ribaa. So whosoever receives an admonition from his Lord and stops eating Ribaa, shall not be punished for the past; his case is for Allaah (to judge); but whoever returns (to Ribaa), such are the dwellers of the Fire — they will abide therein.

Allaah will destroy Ribaa and will give increase for Sadaqaat (deeds of charity, alms). And Allaah likes not the disbelievers, sinners” [al-Baqarah 2: 275-276]

‘Ubaadah ibn al-Saamit (may Allaah be pleased with him) narrated that the Prophet (peace and blessings of Allaah be upon him) said: “Gold is to be paid for by gold, silver by silver, barley by barley, dates by dates, like by like, payment being made hand to hand. He who made an addition to it, or asked for an addition, in fact dealt in usury [ribaa].” (Narrated by Muslim in his Saheeh).

It was narrated that Jaabir (may Allaah be pleased with him) said: “The Messenger of Allaah (peace and blessings of Allaah be upon him) cursed the one who consumes ribaa, the one who pays it, the one who writes it down and the two who witness it. He said they are all the same.” (Narrated by Muslim).

... Whoever is unable to work and is poor is allowed to ask for help, and to take zakaah and social security.

Secondly: The Muslim, whether he is rich or poor, is not allowed to take a loan from the bank at 5% or 15 % or more or less, because that is ribaa and is a major sin. Allaah has caused him to have no need of that because of the ways that He has prescribed such as means of earning a halaal income by working as an employee for company owners, or as a civil servant in permissible work, or by dealing with the money of another on a profit-sharing basis.

 

Fataawa al-Lajnah al-Daa’imah li ‘l-Buhooth al-‘Ilmiyyah wa’l-Iftaa’, 13/269 (www.islam-qa.com)

[WingA]

thanx Rahiima_as-Somaali..

 

so walaal, what your saying is that we should forget education and go back home to our land?? continue being a nomad??

 

or get minium education and work in factory??

 

coz i dont wanna brake my back for a low paid job, to look after my future family!!

 

i have spoken to alot of ppl about this and its 50/50 coz some are not sure and some say they sure!! i got confussed and decided myself and may allah forgive me and others if we took the wrong path!!

 

salaams..

[Haashim]

Any FATAWA for XAWAALADDA.

 

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LACNADI HA KU DHACDO DAALIMIINTA, LAAKIIN MAXAYNU NIRAAHNAA KUWA KA AAMUSAN.