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Is it permissible to take a promissory check from a person with whom an agreement has been made for a house building project, so that a fixed amount is paid to the lender upon the sale of the house, regardless of profit or loss?

1 min readAlso available in العربية

If someone gives money to their brother, there is no harm in taking a document or collateral for it. However, the transaction mentioned is forbidden because its true nature is a loan with interest. If someone gives money to another for investment, and stipulates that the capital be guaranteed and repaid, whether there is profit or loss, then they are a lender. And if they stipulate an increase beyond what was given, then they are a usurious lender.

Summarized from the full answer at Ftawy · reviewed Sep 2, 2026

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