Q: Is the system of committee in which a huge sum of money is collected by members of a group and given to one person at a time and then this person has to pay back the money he received at monthly intervals lawful in Islam? What is it’s ruling in shariah?
A: If it does not involve interest and there is no other wrong associated with people assisting the person with the loan, it will be permissible.
And Allah Ta’ala (الله تعالى) knows best.
Answered by:
Mufti Zakaria Makada
Checked & Approved:
Mufti Ebrahim Salejee (Isipingo Beach)