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Let us continue with selections from Chapter 25 of “A Manual of Hadith,” by Maulana Muhammad Ali. In this chapter, the Hadith reveals examples and guidance on transactions and social relations between Muslims, known as Muamalah. The goal is to attain Allah’s pleasure through all forms of interactions and transactions in social life in order to attain reward, blessings, and peace. Chapter 25 Debts and Mortgage “Lending and borrowing are a necessary condition in human transactions, and the rules relating to them are laid down in the Holy Qur'an. Every such transaction should be written down, and the writing should be dictated by the person who owes the debt. This latter direction guards against injustice being done to the debtor. Mortgaging of property is also allowed, but the apparent condition of being on a journey or there being no scribe is simply a statement of the difficulties under which it becomes a necessity. The carrying on of a trade and drawing profit therefrom is placed on a different footing from lending money on interest, the first being the fruit of labor while the latter leads to ease and inordinate love of wealth. A debtor in straitened circumstances must be dealt with leniently, and if he is unable to pay, the debt should be remitted. Contracting debts was discouraged. […] Granting respite to a debtor and the remission of debt when the debtor is in straitened circumstances is recommended. Payment in excess of the actual sum which a person owes is not interest; on the other hand, it is considered goodness. Deferring payment by one who has the means is condemned as unjust, and may even be punished. The Muslim state is required to pay the debts of those who contract debts due to need; it must even maintain uncared-for families. Mortgaging of property as security for payment of debt is allowed and the mortgagee is allowed to derive benefit from it. […] Usury, even interest, is forbidden, but it is prophesied that a time would come when people generally would be involved in it. […]Abū Hurairah reported, The Prophet, peace and blessings of Allāh be on Him, said: ‘Whoever contracts a debt intending to repay it, Allāh will pay it on his behalf, and whoever contracts a debt intending to waste it, Allāh will bring him to ruin.’ […]‘Ā'ishah said. When the verses of the chapter al-Baqarah, relating to usury, were revealed, the Prophet, peace and blessings of Allāh be on Him, went forth to the mosque and recited them to the people, then He forbade trading in intoxicating liquors. […]’”
