The word · Law & life
رِبا
Riba
Interest or unjust increase on a loan or exchange, forbidden in the Qur'an in severe terms.
Also written · Ribaa · Sood · Reba · Ribba · Riba al-fadl · Riba al-nasiah · Riba an-nasi'ah · usury · interest · bank interest · moneylending · faiz
The meaning
What Riba means in Islam
Two forms are named: riba al-fadl, an unequal swap of the same commodity hand to hand, and riba al-nasi'ah, the increase charged for time, which is what an interest bearing loan involves. The Qur'an permits trade and forbids riba in the same breath, and the objection is to money multiplying from money with no shared risk and no real goods. Scholars differ sharply over how far the ruling extends into modern banking, and Islamic finance is the attempt to answer that.
Evidence · Qur’an · Stated directly in the Qur’an
Read beside it
Words that sit beside it
- Bay'Sale: the exchange of property for property by mutual consent.بَيْع
- GhararExcessive uncertainty in a contract, which makes the deal invalid.غَرَر
- MurabahahA sale at a disclosed cost plus markup, widely used in Islamic banking in place of lending.مُرابَحة
- MudarabahA partnership where one side provides capital and the other the work, sharing agreed profits.مُضارَبة
More from Law & life
- 'AqdA contract: a binding agreement formed by an offer and its acceptance.عَقْد
- FardObligatory: required by decisive evidence, and sinful to abandon without an excuse.فَرْض
- HududThe small set of fixed penalties named in revelation, hedged about with very strict proof.حُدود
- MahrThe gift of money or property the groom owes the bride, which belongs to her alone.مَهْر
- Mut'ahTemporary marriage for a fixed term, permitted in Twelver Shia law and prohibited in Sunni law.زَواجُ المُتْعة
- Sadd al-Dhara'iBlocking the means: forbidding something lawful because it reliably leads to something forbidden.سَدُّ الذَّرائِع