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What is the ruling on signing on behalf of the employer for the mortgage and release of mortgage for a usurious loan and an Islamic loan that violates Sharia?

1 min readAlso available in العربية

Lending and borrowing with usury (riba) are forbidden and constitute one of the major sins, for the Prophet, peace and blessings be upon him, said: "The Messenger of Allah, peace and blessings be upon him, cursed the one who consumes riba, the one who feeds it, its scribe, and its two witnesses, and he said: 'They are all equal (in sin).'" Muslims have unanimously agreed that stipulating an increase in a loan is usury.

It is forbidden to sign a mortgage if the loan is usurious or the transaction is impermissible, as this constitutes aiding in usury, based on the Almighty's saying: (And cooperate in righteousness and piety, but do not cooperate in sin and aggression). However, signing for the release of a mortgage is not objectionable, as it occurs after the transaction has concluded.

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

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