What is the ruling on one who gives charity to the poor while owing debt to people?

It is permissible for a debtor to give charity if his debt is deferred and he hopes to repay it when due. However, if the debt is immediate, or a deferred debt that has become due, he is not permitted to give charity before repaying his debt. This is because repaying debt is obligatory, while charity is supererogatory, and a recommended act is not given precedence over an obligatory one. This is based on the Prophet's (peace be upon him) saying: "The delay in payment by a rich person is oppression," and his saying: "No charity except from the back of richness (i.e., after satisfying one's needs)." Scholars have made an exception for small charities that do not affect the repayment of the debt.