Fatwa #170213 December 2000Pakistan
I borrowed someone money to a house.They have not paid me back. What is my Islamic right?
Question
I borrowed a friend money to buy a house with no interest.(Amount of 220 000. repayment amount of 2000 with 15% increase of the payment amount annualy) They never paid me for 2 years.(Saying they have no money).They said they can afford only 2300 a month-I know they can afford more.I have asked them pay the arrears and continue paying what we initially agreed or sell the house. What rights my islamic rights? How can I solved this problem? Can you please e-mail me with the answer? Jazakallah.
Answer
As salaamu alaykum wa rahmatullahi wa barakatuhu
Dear respected Brother in Islam,
We deeply regret the contents of your letter and may Allah Ta'ala assist you in resolving the dispute.
As a point we wish to inform you that it is not permissible to charge the 15% increase on the debt, as that is interest.
In order to resolve the dispute, we suggest you inform them that you will not take the 15% increase for the past two years as well as in the future since that will be a considerable decrease of approximately R35,000 over the approximately 114 months (nine and half years), therefore they should also consider and expedite previous & timeous payments. We hope this offer will serve as an incentive and amicably resolve the dispute.
And Allah Ta'ala knows best
Mufti E. Desai
Dear respected Brother in Islam,
We deeply regret the contents of your letter and may Allah Ta'ala assist you in resolving the dispute.
As a point we wish to inform you that it is not permissible to charge the 15% increase on the debt, as that is interest.
In order to resolve the dispute, we suggest you inform them that you will not take the 15% increase for the past two years as well as in the future since that will be a considerable decrease of approximately R35,000 over the approximately 114 months (nine and half years), therefore they should also consider and expedite previous & timeous payments. We hope this offer will serve as an incentive and amicably resolve the dispute.
And Allah Ta'ala knows best
Mufti E. Desai