Answered by Not Assigned
How can I borrow money from a friend and reward him, without paying interest? If he does not loan me the money he would be using it to make a regular profit in his business.
Walaikum assalam,
If such a ‘reward’ (even if called a ‘gift’) is made a condition, or expected, or implied, or understood, then this would be akin to usury (riba). It would be impermissible and sinful.
What we learn from the Qur’an and Sunna is that the basis of pure lending is that it is a form of charity or assistance–its reward is from Allah, multiplied manifold. The wisdom behind this is returns to the harms of usury, explained in many answers on www.SunniPath.com and elsewhere.
If your friend is not willing to lend you the money, it may be possible to enter in any one of many investment agreements–with their proper conditions–instead. See: Mufti Taqi Usmani’s book Islamic Finance: An Introduction. It is available on the Net.
Faraz Rabbani.
Wassalam.