Why is depositing money in banks for investment purposes considered usury, while jurists differ on this ruling?
Source: FtawySummary from Ftawy's records · added here Sep 2, 2026
It cannot be said that there is no difference between Islamic banks and interest-based banks regarding investor deposits and the profits and interest resulting from them. Islamic banks invest depositors' money in permissible ways according to legitimate investment contracts such as , whereas interest-based banks borrow money in exchange for usurious interest. Allah has permitted trade and forbidden usury, and therefore, it is not permissible to claim that there is no difference between them.
Summary from Ftawy's records · added here
Reviewed by El Fatwa's sharia committee.
Read the full answer on Ftawyhttps://ftawy.com/en/questions/150718
Where this answer came from
- Source platform
- Ftawy
- Original fatwa ID
- 150718
- Added here
- . This is when the answer was added to El Fatwa, not the fatwa's date.
- Text
- Summary from Ftawy's records, reviewed by El Fatwa's sharia committee.
- Read the full ruling
- Read the full answer on Ftawy