Darul Iftaa Mahmudiyyah

want to intend to borrow some amount from provident fund and will return in monthly installments with some mark up. Is it permissible for me to take such loan and pay mark up ?

· 21 Jumada II 1427 AH1 min readFatwa 14387English

Question

I am a salaried person working with a private company. I contributed 10 % of basic salary in provident fund and same amount is matched by the company. The provident fund is optional.

I want to intend to borrow some amount from provident fund and will return in monthly installments with some mark up. Is it permissible for me to take such loan and pay mark up ?

Answer

If the loan is an interest bearing one, it is not permissible to make use of the facility.

And Allah Knows Best

Muhammed Zakariyya Desai

Answered by
Muhammed Zakariyya Desai
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Source: Darul Iftaa Mahmudiyyah — https://askimam.org/public/question_detail/14387
Fatawa SA: https://fatawa.co.za/fatwa/askimam-14387

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