I would like to know that i have some fixed dipposite in Bank & Insurance and the bank and the insurance companies are returning some interest on my fixed dispposite. Is banks or insurance companies interest is valid in Islam or can i have take the amount of interest.
Answer
(Fatwa: 899/899/M=1432)
It is not right to open fixed deposit account in a bank or insurance company. If you have availed this facility unknowingly and it is difficult to terminate it before the fixed time, then you should give the interest money to the poor and needy ones without the intention of reward.
لأن سبيل الكسب الخبيث التصدق إذا تعذر الرد على صاحبه (شامى)
Allah (Subhana Wa Ta’ala) knows Best
Darul Ifta,
Darul Uloom Deoband