What is the ruling of Islamic law on subscribing to a "savings fund" that is financed by fines, penalties, and bank interest, with 25% deducted from the basic salary and an annual interest rate reaching 17%, and the amounts disbursed at the end of service? And what is the ruling of Islamic law if subscription is requested according to the alleged Islamic system?
Source: FtawySummary from Ftawy's records · added here Sep 2, 2026
There is no legal impediment to deducting a portion of the salary and investing it, provided the owner's consent and approval, and that the investment adheres to guidelines. However, if the deduction is without the employee's consent or if the investment is in prohibited activities, then it is not permissible. It is a Muslim's right and duty to request that their money be invested according to the rulings of Islamic Sharia.
Summary from Ftawy's records · added here
Reviewed by El Fatwa's sharia committee.
Read the full answer on Ftawyhttps://ftawy.com/en/questions/42507
Where this answer came from
- Source platform
- Ftawy
- Original fatwa ID
- 42507
- Added here
- . This is when the answer was added to El Fatwa, not the fatwa's date.
- Text
- Summary from Ftawy's records, reviewed by El Fatwa's sharia committee.
- Read the full ruling
- Read the full answer on Ftawy