Asalamualaikum on my bank account i have an interest free over draft for £1000, this is common with many student accounts.
Is it ok to use some of that money for a holiday like going on umrah or to pakistan.

In the name of Allah, the most Beneficent, the most Merciful.

Answer

In the Holy Quran Allah (SWA) has said:

“Allah has permitted transactions and has forbidden riba” (Surah Al Baqarah v.275)

The Prophet of Allah (Sallallahu Alahi Wasalam) has cursed the person who takes interest, who gives interest and who writes it and who witnesses it.”

(Mishkaatul-Masabeeh p.244 v.1)

“To take dirham of interest knowingly is worse than committing adultery 36 times.” (Mishkaatul-Masabeeh p.246 v.1)

If one was to take out an interest-free loan or uses the interest free overdaft facility from a bank, then that would be permissible. Scholars explain that not all the money stored in a bank is interest; rather, money stored in a bank comprises of the depositors depositing their money in various accounts, capital invested by the owners of the bank and also interest money. In fact, the proportion of non-interest money is usually more in comparison to interest money.

The conclusion of the ruling is that if the loan is not interest-based, then if you fulfil your monthly commitments and your creditors do not have any arrears claim against you, it is perfectly permissible to perform Hajj and Umrah. However, if the creditors have arrears claims against you, then you will be infringing on their rights by performing Hajj and Umrah. Hence, you should not perform Hajj without the consent of the creditors claiming arrears from you.

Only Allah Knows Best

Mohammed Tosir Miah

Darul Ifta Birmingham.