A loan to clear debts

[anonymous]

Salaam

The situation is this (all numbers are made up although this reflects a real-life situation which is ongoing):


The father does not work - he is Muslim by name but does not offer prayer five times a day or do anything else Islamic. He is an alcoholic and a gambler.

The mother works. There are children involved of which only one works.

The father has incurred the sum of x in debts to various credit cards due to his gambling. The interest on these credit cards is quite high and for the sake of this example we'll say that the interest overall is around 15% per year.

The father kept all this to himself until it blew up and now that we have learnt (what we hope) is the complete extent of the damage we are trying to work to get out of the situation.

This has more or less destroyed the family. The mother is the one paying the debts at the moment. The monthly current repayments would mean that it would take around 10 years to pay back all these credit cards. On top of this the house is under threat as they are already many payments behind due to the father not telling anyone for a very long time.

The interest is quite high on the current debts and it would take 10 years to pay it all back. By taking a loan out to pay it all back immediately, the interest would be reduced considerably and calculated, would only take 3 years to pay back or even less.

I pray five times a day, I listen to the Quran everyday and I try to follow the Quran and Sunnah as much and as closely as I can. I know in my heart that riba is haraam and I want nothing to do with it. Unfortunately this situation has been thrust upon us and my immediate concern is for the wellbeing of my mother and my siblings.

In the current situation even with repayments, we are involved in a usurious debt for the next 10 years and will in all likelyhood have bailiffs take a lot of our possessions and even our home.

By taking out a loan to clear these debts, we can disconnect all ties with riba within the next 3 years or even less.

To summarise:
Situation A - Involved in riba for 10 years + bailiffs + possible repossession of home
Situation B - Involved in riba for 3 years, possibly less

Would it be permissible in this situation to take out a loan to pay back all these credit cards in order to remove the impending threat of bailiffs and house repossession and to sever ties with riba?

PS. The fathers alcohol and gambling problem is a different problem altogether. This question is based solely on the debt and riba situation.

Jazakallah Khair

[Alpha Dude]

Wa alaykum salam,

Ask a scholar. This is a complex issue and you are very unlikely to find a clear answer on a forum (there are no scholars here), unfortunately.

[Abdul Wahid]

Wa'alaykum assalam

As brother Bedouin has said such matters are complicated - so contact a scholar who would give you the best possible advice/help.

Have you thought about getting money from any of your uncles/families and then pay them back. This will not involve interest. A lot of my cousins who bought their new homes borrowed money from family to pay deposit. Suppose it depends how close your families are. It's a good option. It's the best way to avoid haram loans.

I do dua that ALLAH(SWT) makes it easy for you and your family. Ameen

[aamirsaab]

See if any of your relatives can loan you the money.

If that is not succesful, for the sake of your family, go for option B.

Whilst we should avoid riba at all costs, sometimes it is not possible.

Make sure you consult with your local imam/scholar before you do any of the above.

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[Snowflake]

:sl: May Allah remove your difficulties. Ameen. Yes consult a scholar inshaAllah. But I can't imagine any scholar advising you to take another riba based loan to clear existing ones. In the case of repossession, there is the option of renting, hence there is no threat of homelessness. Also since the mortage is riba based, it's better to let the repossession take place, freeing yourselves from the curse of riba, and earning the immense pleasure of Allah subhana wa ta 'ala. By renting a house you will be spending money in the way of Allah to avoid what He prohibited. Brother these houses are nothing but bricks and mortar. The pleasure of Allah is everything, and His rewards are beautiful palaces to dwell in forever in Jannah. Please get your family to agree to its repossession inshaAllah.


Secondly, regarding the credit card loans. If your father declares himself bankrupt, he wouldn't have to pay the loans back. Please consider this. This is good as your father won't be able to get credit in the future. Persuade your father to declare himself bankrupt. This will also remove the threat of bailiffs at your door.


Please make sure you find a reputable scholar bro. My brother told me he heard one claim that one mortgage is allowed. SubhanAllah! Be very careful inshaAllah.



:wa: