Shaikh Muqbil Ibn Hadi al-Wadi’ee rahimahullah was asked:
Question: What is the ruling of Islam on the Islamic banks present in Saudi, Pakistan, and Sudan along with that fact that Shaikh al-Albani viewed them to be usurious banks?
Answer: “The affair is like Shaikh al-Albani hafidhuhallah [this is before the Shaikh passed away rahimahullah] said because they take something additional. They say it is in exchange for the work of the workers. They are considered usurious banks. Our brothers who went to Sudan benefited us that the Sudanese deceive [others] regarding the usury using another trick and it is the trick mentioned before.
[For example] we want [to buy] a machine. So the bank writes to a businessman for him saying: record/process the machine to the bank for 15 000 and the bank then records/processes it the buyer for 20 000”
[https://www.muqbel.net/fatwa.php?fatwa_id=3239]
Translator’s Note:
Shaikh al-Albani rahimahullah said:
“The answer itself which you heard is that the Islamic banks and others say to you for the dealing/transaction is such and such amount. Alright, we said to you that it is allowed to take a wage for a dealing/transaction. However, why the difference between a transaction that is five months, or recorded for ten months, or half a year, or a year? Show why there is a difference according to you? There is nothing why? This is because this is usury which all banks work with. They take one hundred dinars for a month with them and for two months they will increase like this…” [Silsilatul-Huda wan-Nur (no. 142)]
Translated by
Faisal Ibn Abdul Qaadir Ibn Hassan
Abu Sulaymaan
