Depositing trust money into interest bearing accounts
Q: I am asking a question on behalf of a trust who runs musjids and madressas, schools and clinics. We had a executive committee meeting in which couple of members said to deposit excess money which we have in an interest bearing account and use that money for Roads, Toilets, Walls, etc. There was disagreement, most members disagreed and but was agreed to ask Mufti to address the question.
A: Interest is Haraam and forbidden in Islam. Taking interest and giving interest both are equally impermissible. Hence, to intentionally invest the money in an interest bearing account with the intention of acquiring interest is Haraam. Hazrat Jaabir (Radhiyallahu Anhu) reported that Rasulullah (Sallallahu Alayhi Wasallam) cursed the one who consumes interest, pays interest, the scribe for the interest transaction and the witness to such a deal. Rasulullah (Sallallahu Alayhi Wasallam) said that all are equal in the sin.
And Allah Ta’ala (الله تعالى) knows best.
عن جابر قال لعن رسول الله صلى الله عليه وسلم آكل الربا وموكله وكاتبه وشاهديه وقال هم سواء (صحيح مسلم # 1598)
Checked & Approved: