Etiquettes related to debtand loaning – I

Many social problems result from loans becausemany people overlook the
etiquettes which Islaam legislated for the debtor and the creditor,
and should the debtors and the creditors adhere to such etiquettes,
then many problems would besolved.
Some of these etiquettes regarding the creditor are to delay the
debtor who is unable to pay on due time and to drop the debt from the
needy. On the other hand, the debtor should rush and repay the loan as
soon as he is able to and not to procrastinate repayment.
Giving respite to the debtor:
When the time of repayment is due, then the one who was kind to his
brother and loaned him some money should remember the saying of Allaah
)which means(:"And if someone is in hardship, then ]let there be[
postponementuntil ]a time of[ ease. But if you give ]from your right
as[ charity, then it is better for you, if you only knew."]Quran 2:
280[ In this verse, Allaah enjoins patience and tolerance for the one
who is poor and cannot repay on time and that the creditor should
postpone the deadline. This command came to change the old practice
during pre-Islaamic era were the creditor used tosay to the debtor:
"Either you pay or I start calculating interest on the loan". Also,
the verse comes directly after the verses addressing the issue of
Ribaa )i.e. interest and usury( in which Allaah Says )what means(:"O
you who have believed, fear Allaah and give up what remains ]due to
you[ of Ribaa )i.e. interest and interest(, if you should be
believers. And if you do not, then be informed of awar ]against you[
from Allaah and His Messenger. But if you repent, you may have your
principal-]thus[ you do no wrong,nor are you wronged."]Quran 2:
278-279[
It is a known fact that theworld's main economical problems resulted
from Ribaa )usury and interest( and dealing with it. This caused
hunger and poverty amongst people in countries which were )at a given
time( rich countries and its people were rich, but the promise of
Allaah came true in which he threatens those who dealwith Ribaa )which
means(:"And if you do not, then be informed of a war]against you[ from
Allaah and His Messenger."]Quran 2: 279[
Allaah did not specify the type of war He would wage against those who
deal with Ribaa; whetherit is in the form of afflicting them with
diseases, making them suffer famine and poverty or a military war.
Jaabirreported that the Messenger of Allaahsaid:"May Allaah show mercy
to a man who adopts a kind attitude when he sells, buys and demands
for the repayment of loans."]Al-Bukhaari[ Thisperson deserved the
mercy of Allaah because he dealt with people kindly and postponed
theone who could not repay him and whenever askedfor his money, he
demanded it gently with kind words as not to heart the feelings of the
debtor.
These prophetic narrations deeply affected the companionsand they
acted upon them. 'Abdullaah the son of Abu Qataadahreported: "My
father )i.e. Abu Qataadah( went to a man who was indebted to him, so
the debtor hid from Abu Qataadah. LaterAbu Qataadah saw the debtor and
requested hismoney but the later informed him that he could not repay
him because he did not possess the money and that his financial
situation was very tight. Upon hearing this, Abu Qataadah, asked the
mansaying; `Are you really in a tight situation?` the man responded
with the affirmative. Thereupon my father said: I heard the Messenger
of Allaahsaying:"He who likes Allaahto deliver him from the calamities
of the Day of Resurrection, let him either give respite to a debtor or
grant him remission )of loans( in straitened circumstances."Then he
cried."]Muslim[
In another narration hesaid:"He who gives respite to someone who is in
straitened circumstances, or grants him remission, Allaah will shelter
him in the shade of His Throne, on theDay of Resurrection, when there
will be no shade except its shade."]At-Tirmithi[
Abu Qataadahwas notthe only one who behaved in such a manner. Rather,
this was the way the entire community of the companionsdealt with each
other.
Many of the Companionsdelayed the debtors who could not pay on time
for long periods, and in many cases they even dropped and waived the
entire debt altogether.
This was so because they lived the prophetic narrations practically in
their lives. Some of them used to lend others just to get the reward
mentioned in some narrations like the sayingof the Messenger of
Allaah:"Any Muslim who lends another Muslim twice will get a reward as
if he has spent this money in charity."Anothernarration that was an
encouraging factor is thesaying of the Messenger of Allaah:"He who
gives respite to someone who is in straitened circumstances, will geta
reward as if he has spent this amount in charity for every day he
delays him until its due date, and after it becomes due he will get
double such reward."
Giving respite and delaying those in tough situations can be the
reason of rescuing oneself from Hell. Abu Hurayrahreported that the
Messenger of Allaahsaid:"There was a person who used to loan money to
the people and he used to say to his servant: `When an insolvent
person comes to you, show him leniency so that Allaah may forbear our
faults.' So when he met Allaah )i.e., when he died(, Allaah forgave
him."]Al-Bukhaari & Muslim[
Abu Mas`ood Al-Badrireported that the Messenger of Allaahsaid:"A
person from amongst the people who lived before you was called to
account by Allaah on the Day of Resurrection. No good deeds were found
in his credit except that he being a rich man had )financial( dealings
withpeople and had commanded his servants to show leniency to those
who were in straitened circumstances. Upon this Allaah, the Exalted,
and Majestic said: `I am more entitled to this attribute, so waive
)his faults(.`"]Muslim[
The abovementioned narrations and verses area great encouragement for
the creditor to postpone and give respite to the debtors who can not
repay on time due to their strenuous situations. They are messages to
the rich who lend others and embarrass them and humiliate them, and
may even be the cause for their imprisonment. Indeed, the creditor has
the right to do so, but Allaah Says )what means(:"… But whoever
pardons and makes reconciliation his reward is ]due[ from Allaah
…"]Quran 26: 40[ Undoubtedly, the reward from Allaah is far better
than money whichis an interim pleasure.
Repaying the creditor on time:
The debtor should take initiative to repay the creditor as soon as the
loan is due. If the debtor is financially unable to repay it all, then
at least he should start paying in installments if he possesses the
money to do so. One should rush in repayment, because loans will be a
hard thingon him in his gave.