Riba

How to Purify Interest in Islam

“…وَأَحَلَّ ٱللَّهُ ٱلْبَيْعَ وَحَرَّمَ ٱلرِّبَوٰا۟”

“But Allah has permitted trading and forbidden interest.”(2:275)

Understanding Riba, Its Ruling and Place in Islam

In Islam, Riba refers to any form of interest earned on loans, deposits, or financial transactions that is prohibited under Shariah law. The Quran and Sunnah emphasise that money should not be used to generate more money through interest, as this is considered unjust and exploitative.

If you have earned interest inadvertently, for example, from bank savings accounts or financial investments, Islam encourages you to purify this income by donating it to charitable causes where neither you nor your family personally benefit.

At Mission Relief, we provide a Shariah-compliant way to dispose of Riba, ensuring your donation contributes to charitable causes while fulfilling your religious obligations.

RIBA

Donating Riba

Why Donating Riba Is Important

Riba (interest) is considered to be one of the major sins in Islam and explicitly discouraged in the Qur’an. So, if you’ve accrued interest, it’s important to repent and dispose of it as quickly as possible. Why it’s important to donate your Riba:

Purification of wealth – Removing impermissible income from your earnings.
Earning reward – Even though the interest itself cannot be earned as reward, giving it to charity benefits others and fulfils Islamic guidance.
Supporting the needy – Your Riba donation directly aids humanitarian projects, orphan support, water projects, and more.

‘O believers! Fear Allah, and give up outstanding interest if you are true believers. If you do not, then beware of a war with Allah and His Messenger! But if you repent, you may retain your principal—neither inflicting nor suffering harm.” [2:278-2:279]

Types of Riba

There are two primary types of Riba as outlined in the Holy Qur’an and the teachings of the Prophet Muhammad (peace be upon him):

Riba al-Nasi’ah
Also known as “the interest of delay,” this is the most common form of Riba and likely the type of Riba you’re looking up. It occurs when money is lent, and an additional amount is charged due to a delay in repayment. Essentially, it is interest accrued over time on loans, making the borrower pay more than the original sum. Mortgages, loans with interest, delayed credit card payments and such would fall under this.
Riba al-Fadl
Known as “the interest of excess,” this is a less common type. It arises in trade or exchange transactions where items of the same kind are exchanged unfairly, with one party receiving a greater quantity than the other. This form ensures that exchanges are just and equitable, preventing exploitation.

How Mission Relief Handles Riba Donations

Mission Relief uses your riba donations to aid charitable causes, helping you purify your money.

When Do You Need to Donate Riba?

You are expected to donate any impermissible interest as soon as possible. Typical scenarios include:

Interest earned on bank accounts.
Interest from late payments on loans.
Interest accrued from bonds or investments.

Delaying the purification of Riba is discouraged, as it is considered a duty to remove impermissible earnings promptly.

FAQs About Riba and Purification

Can I donate Riba to my family or friends?

No. Riba must be given to charitable causes where the donor and family do not benefit directly.

How can you get forgiven for Riba?

If you have earned or been involved with Riba in the past, it is important to sincerely seek Allah’s forgiveness. Allah’s Divine Mercy encompasses all who turn to Him with a pure heart and earnestly ask for His pardon and do not return to taking Riba in the future.

Can interest from foreign bank accounts be included?

Yes. All impermissible interest should be purified, regardless of where it was earned.

Is there a minimum amount that must be donated?

There is no minimum amount. All interest must be donated, regardless of the amount, to ensure purity of your earnings.