Mu' meneen Brothers and Sisters,

As Salaam Aleikum wa Rahmatullahi wa Barakatuh. (May Allah's Peace, Mercy and Blessings be upon all of you)

One of our brothers/sisters has asked this question:

Salam, My uncle had given money for my business about 10years before . Since then I have not return all the money. I am consider this money as a Loan. From last three years I am start given in small amount in regular basis . In between I also start to give charity to needed people or Organization.

My question is that Can I settle the loan from Charity money

(There may be some grammatical and spelling errors in the above statement. The forum does not change anything from questions, comments and statements received from our readers for circulation in confidentiality.)

Answer:

Charity payment of debts

In the name of Allah, We praise Him, seek His help and ask for His forgiveness. Whoever Allah guides none can misguide, and whoever He allows to fall astray, none can guide them aright. We bear witness that there is none worthy of worship but Allah Alone, and we bear witness that Muhammad (saws) is His slave-servant and the seal of His Messengers.

Your Question: My question is that Can I settle the loan from Charity money

The money that you took as a loan from your uncle will remain a debt unto you until you pay it in full, or get it forgiven by your uncle; and it would not be permissible for you to settle that debt from the money you intend to spend in charity.

The repayment of debts is considered an extremely serious issue in Islam, and Allah and His Messenger (saws) have constantly commanded the believers to strive earnestly to repay their debts.

Allah Says in the Holy Quran Chapter 4 Surah Nisaa verse 58:

Allah doth command you to render back your trusts to those to whom they are due; and when ye judge between man and man that ye judge with justice:  Verily,  how excellent is the teaching which He giveth you!  for Allah is He who heareth and seeth all things.

Abu Hurairah narrated that  the Messenger of Allah (saws) said: "A believer's soul remains in suspense (cannot enter Paradise) until all his debts are paid off." 

(Related by Ahmad,  Ibn Majah,  and Tirmidhi.)

Al-Tirmidhi Hadith 2929        Narrated by Muhammad ibn Abdullah ibn Jahsh

The Messenger of Allah (saws) said: “By Him in whose hand Muhammad's soul is,  if a man were to be killed in Allah's path then come to life, be killed again in Allah's path then come to life, and be killed once more in Allah's path then come to life owing a debt, he would not enter Paradise till his debt was paid."

Sahih Al-Bukhari Hadith 3.585         Narrated by Abu Huraira

The Messenger of Allah (saws) said, "Procrastination (delay) in repaying debts by a  wealthy person is injustice."

Abu Hurayrah said that the Prophet (saws)  said: "If anyone takes other people's money with the intention to repay it and then he or she should die without settling the debt, Allah will pay the debt on his behalf.   And if anyone takes money or property (of others) with the intention of destroying it,  Allah will destroy him."

(Related by Bukhari)

Whatever written of Truth and benefit is only due to Allah’s Assistance and Guidance, and whatever of error is of me alone.  Allah Alone Knows Best and He is the Only Source of Strength.

Your brother and well wisher in Islam,

Burhan