Is it permissible to work for a company that reduces debts—most of which are interest-based—by negotiating with creditors to lessen the debt or facilitate repayment, knowing that the company does not purchase debts?

It is permissible for a company to mediate between a debtor and a creditor to reduce or reschedule a debt, provided that the mediation is free from usurious transactions. Therefore, it is not permissible to grant the debtor more time or reschedule the debt with an increase in the amount, as this is usury (riba). However, rescheduling the debt by extending the period while keeping the amount fixed is permissible. It is permissible for the company to take money in return for its mediation in reducing the debt, as a fee, and it may strive to waive or reduce the usurious increase for the debtor. It is not permissible for the company to purchase the debt from the creditor for a lower or equal cash amount, as this is usury.