Can usurious money be used to cover part of the interest on a car loan?
Firstly: Borrowing with usury is a grave sin that requires repentance, which involves regretting the act, resolving not to return to it, and getting rid of usurious transactions as much as possible.
Secondly: If the usurious money came from a repentant person who wishes to get rid of it, and you are in hardship and need it to pay off a debt or an essential expense, then there is no harm in benefiting from it to pay off the usurious loan. However, if the usurious money consists of interest that you yourself deposited in the bank, this is one of the grave sins, and you must repent from it and convert the account to one without interest. You must dispose of this interest by spending it on charitable causes and for the benefit of Muslims. It is not permissible to benefit from it for oneself, unless the repentant person is poor and in need of this money, such that they have nothing to meet their needs and pay off their debt.
Summarized from the full answer at Ftawy · reviewed Sep 2, 2026
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