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Is a loan, which an institution grants to its employees from their savings mandatorily deposited in a usurious bank, with interest equal to the investment interest plus a 2% fee, permissible or forbidden?

1 min readAlso available in العربية

If the deduction of the amount is compulsory, then there is no sin upon you. However, you must dispose of the usurious surplus upon receiving the amount by spending it on charitable causes. It is not permissible to take a loan from the institution with usurious interest, for usury is forbidden. You must search for work free from usury, and if you do not find any, and you are in need of your current job, then there is no sin upon you.

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

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