Is it permissible for an employee to take a personal loan with interest paid by the employer?
Source: FtawySummarized from the full answer at Ftawy · imported Sep 2, 2026
The contract that the company made with the bank is an usurious loan, which is forbidden and impermissible. It is not permissible for the employees to take it, as it involves aiding usury and consenting to it. This is based on the saying of the Messenger of Allah, peace and blessings be upon him: "Allah has cursed the one who consumes interest, the one who pays it, its two witnesses, and its scribe. They are all equal in sin."
Summarized from the full answer at Ftawy · imported
Read the full answer on Ftawyhttps://ftawy.com/en/questions/36882
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- Ftawy
- Original fatwa ID
- 36882
- Imported
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- Source text, unreviewed
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