Scholars of Islamic Finance quote the Hadith:
المسلمون على شروطهم إلا شرطا حرم حلالا أو أحل حراما
Where is this Hadith located and what is the strength?
Answer:
Imam Tirmidhi (rahimahullah) has recorded this Hadith and has graded it authentic (hasanun sahih).
(Sunan Tirmidhi, Hadith: 1352)
Imam Bukhari (rahimahullah) has cited the first part of the Hadith ta’liqan (without a chain).
(Sahih Bukhari, before Hadith: 2274 and Fathul Bari, Hadith: 2274)
Translation
Muslims abide/are held by their conditions, except those conditions that make the lawful unlawful, or the unlawful lawful.
Note: I have merely answered your question regarding the authenticity of the Hadith. This should therefore not be viewed as a Fiqh ruling. Kindly contact a reputable Mufti/Darul Ifta for clarification regarding the application of this Hadith.
And Allah Ta’ala Knows best.
Answered by: Moulana Suhail Motala
Approved by: Moulana Muhammad Abasoomar
Checked by: Moulana Haroon Abasoomar