Students loans : student loans with an interest rate that equals inflation rate
Fatawa Question
Assalamu 'Alaikum, and May Allah reward you greatly for this blessed service. This question consists of two parts. Nearly 3 years ago I took out a student loan. The only interest on this loan is that corresponding to the rate of inflation (i.e. the natural increase / decrease in the value of currency). (I) Was this loan Halal / Haram ? (ii) Should I repay this loan as soon as possible ? Why I ask this 2nd question is because the Student Loan Company is lenient in how it wants repayments to be made. They take a small amount from your wages (if they are over £ 10,000 pa) every so often. One can of course repay all the loan at any time. However, if you die or reach the age of 65 before your repayments have been completed then the loan if "forgiven" !
Fatwa
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Publication Date
2002-06-10
Main Subjects
Financial and Accounting Sciences
Islamic Studies
Topics
No. of Pages
1
Data Type
Fatawa
Language
English
Record ID
BIM-725754
American Psychological Association (APA)
Qahf, Mundhir. 2002-06-10. Students loans : student loans with an interest rate that equals inflation rate. .
https://search.emarefa.net/detail/BIM-725754
Modern Language Association (MLA)
Qahf, Mundhir. Students loans : student loans with an interest rate that equals inflation rate. 2002-06-10.
https://search.emarefa.net/detail/BIM-725754
American Medical Association (AMA)
Qahf, Mundhir. 2002-06-10. Students loans : student loans with an interest rate that equals inflation rate.
https://search.emarefa.net/detail/BIM-725754
