Is converting usurious transactions into Islamic transactions considered an exit from "war with Allah and His Messenger" after repentance and remorse?
The characteristic of repentance from usury is that the usurer only recovers their principal, along with the well-known conditions of repentance: regret and the firm resolve not to return to the sin. As for money borrowed with usury, the usurious transaction must be undone as long as the money exists. If the money is lost, an equivalent amount should be returned without interest if possible. The way to dispose of unlawful money after repentance is to give it as charity to the poor and needy, or to spend it on public Muslim interests such as paving roads and building schools. Simply converting the money into a permissible investment is not sufficient. A Muslim should not hesitate to get rid of this money due to its dire consequences.
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